Have you seen scary commercials promoting protection against deed theft or property title fraud? They frequently claim that there is an increase in this kind of crime, where robbers take possession of a home. However, there isn't any conclusive proof to support this. It's also not worth paying for a title protection service for your house when you can perform most of this monitoring yourself for free. Tampering with your property won't attract the attention of the FBI or the country, unlike the attempted deed theft of Graceland.
Deed theft is a serious problem. Is the issue becoming worse? Is the situation becoming worse? Since the FBI collects generic data on real estate fraud without revealing specific fraud types, it is challenging to answer. In addition to title fabrication, instances of real estate fraud can involve borrowers fabricating their eligibility to purchase a property or defrauding renters of their security deposit. However, one thing is certain: this type of real estate fraud is becoming more common.
In the US, real estate fraud affected 11,727 people, according to the FBI's 2022 Internet Crime Report. Of the approximately 87 million homes held in the US, this represents a tiny portion (keep in mind that some of those schemes may have targeted renters). The aggregate amount of losses from real estate fraud increased to $400 million in 2022 from $350 million in 2021, according to the data.
Deed theft is a kind of identity theft wherein criminals forge the owner's signature on the deed to "sell" a second home, rental, vacation property, or vacant property to themselves or a trust.
To register the transaction at the county recorder's office, they will use the internet or other personal information to represent you. Fake IDs, notary signatures, and immoral registered notaries will be used for the scheme. After they have taken title of the property, they are free to do anything they wish with it, including selling it to a buyer who is legally entitled to purchase it.
After acquiring a title, thieves can do anything with your home. Everyone's worst dread is someone selling or borrowing against your property and taking your equity. If they default on a debt secured by their property, they may lose their home or be unable to sell, refinance, or pass it on.
Homeowners should verify their mailing address with the authorized authorities. Mail should be sent or picked up by a trusted person if you're away for a long time. Regularly check vacant houses for unauthorized occupants. It would help if you looked for deeds, loans, and liens of contractors, subcontractors, real estate brokers, and attorneys you didn't hire.
Vacation homes are attractive targets for thieves, especially if the owner is dead. Elderly folks are often targets since they have more significant home equity and may not be tech-savvy or aware of online threats.
1. Monitor Your Bills
Regularly check mortgage, tax, and water bills. Some criminals alter bill addresses to mask wrongdoing, allowing them more time to take advantage of the property. Keeping track of when senior family members receive monthly invoices might help you ensure they keep arriving.
2. Check Your Property Deed
United States land records and property deeds can be searched online at local registers or county recorders. Verify your deed’s status often to prevent unauthorized ownership transfers. Consider setting up registry notifications that notify you of changes.
3. Monitor Credit Records For Identity Theft
Most people only check their credit files when applying for a mortgage or loan. It would help if you were more careful and check this regularly to avoid deed fraud.
4. Check Or Acquire Title Insurance For Refinancing
The American Land Title Association offers enhanced title insurance if you buy or refinance a home. Their Homeowner's Policy covers forgery and impersonation: request price and enrollment assistance from your title company.
5. You May Consider Paying For Monitoring Assistance
Some companies offer to monitor your deeds 24/7 to avoid title fraud. However, you may save yourself from paying by periodically reviewing your property record on your county's Register of Deeds website.
5 Deed Theft Signs You Should Never Ignore
The good news is that there are indicators you can spot that deed fraud has happened or is happening. If you suspect fraud, act quickly. Act immediately when you suspect something to prevent criminal damage.
Some signs include:
Additional Information
Lots of counties offer consumer notifications. Visit your local registrar's website to learn about their services. Check your property title at your county registrar's office and notify the register of deeds and local police of any issues. Deed fraud victims should report the crime to the local sheriff, receive a certified copy of the fake document from the register's office, report to the property's district attorney, and consult an attorney to validate homeownership.
It makes sense to keep a watchful eye on your property and to pay even more attention to the assets that are being targeted by fraudsters these days. Although you can pay for services to keep an eye on your title, these businesses don't stop title theft.
You can do a home title search by yourself. To do this, go to the county clerk's office in the area where your property is located and get relevant property information. You may also visit our website or call us at 317-214-6023 to learn more.
Caroline Soriano