A few instances of homeowners returning home to a sold or listed home without their permission have sadly occurred this year.
It’s critical to be aware of the hazards because property fraud is a problem that is spreading across the globe. Property fraud, commonly referred to as deed fraud or “house-stealing,” happens when someone fraudulently creates phoney paperwork that seem to transfer ownership of a piece of property from its legitimate owner to themselves in order to sell the residence to another person. Victims of this kind of crime may face serious financial and legal repercussions.
When someone deceives you into giving them the title to your home in exchange for a loan that doesn’t help with mortgage payments, they are committing foreclosure fraud. The fraudster keeps the title to your home, which they can then sell or refinance.
Fortunately, there are precautions you can take to guard against property fraud.
Keep Your Identity Safe
Being cautious with your money and personal information will help you avoid fraud. The trick is to take preventative action! Never give out personal information over the phone or on the internet, and be suspicious of strangers soliciting you for minor loans.
Shred or burn any documents containing personal information, and keep crucial identification documents in a secure location. Keep track of bills that are mailed, or have mail delivered to a post office box rather than your home.
Conduct research
Anybody who contacts you about a real estate deal should always have their identity confirmed, and you should never sign anything before carefully reading it.
Get the identity of the property owner and any mortgages or liens that have been registered on the title by doing a land title search with your provincial or territorial land registry office.
It’s also crucial to be aware of typical frauds involving real estate deals.
Title Protection
When buying or selling property, think about getting title insurance as an additional layer of defence against title fraud or mistakes in the public record that can result in bogus claims on your property. Although not mandated in many provinces, title insurance can shield property owners from damages connected to the real estate.
Create alerts
Ask TransUnion and Equifax, Canada’s two credit reporting companies, to add a fraud alert on your file. Moreover, get in touch with the businesses and financial institutions where you believe accounts may be affected.
Keep in mind to study anyone who tries to offer you a loan, keep your mortgage information secure, and consult an attorney before granting anyone the right to your house. You may lessen your risk of falling victim to property fraud by following these easy actions and remaining aware about potential scams.
