"Home title fraud is where a criminal steals a home by forging a deed," according to David Chang. Chang continues by stating they illegally transfer ownership of the home without the real owner's permission and either sell it or take out a loan against it. Then when the mortgage is not paid, the property enters foreclosure.
According to the FBI, criminals find a vacant home, like a rental property or a vacation home and find out who the owner is by doing a little research. They then steal the owner's identity, transfer the title to their name, and pocket the proceeds from selling the property or getting a Home Equity Line of Credit. Home title fraud combines two crimes: identity theft and mortgage fraud.
The FBI reported that in 2017 there were 9,654 cases of real estate fraud, resulting in more than $56 million in losses. In 2021, 11,578 cases were reported totaling more than $350 million.
How to protect your home against home title fraud.
1. Be vigilant, open any letters you receive from a mortgage company, even if your name is not on it.
2. Periodically check all information pertaining to your property through county records.
3. If you own vacation property, have someone check the home regularly for sale signs or unauthorized activity at the property.
What to do in the event you are a victim.
1. Act quickly and contact the financial institutions so they can freeze any funds that the criminal might try an access.
2. Contact the county deed recorder and send then any documentation they need.
3. Contact the local authorities, including the FBI and Federal trade Commission.
4. Contact your attorney to begin taking whatever legal steps are necessary.
5. Focus on protecting yourself, monitor your credit, and be on the lookout for suspicious documents.
Bottom Line:
Home title fraud is a silent crime that you may not even know has occurred. It is important to be diligent and alert to all activities which may jeopardize your home's title.
No comments:
Post a Comment