Home title theft is an increasingly prevalent form of identity theft and fraud, putting homeowners at significant financial risk. This type of theft occurs when a malicious individual gains unauthorized access to one’s property’s title and makes fraudulent changes, potentially leading to severe consequences for the rightful homeowner. Therefore, homeowners must employ various strategies to protect one’s home from this growing threat. Here are some practical ways to safeguard against home title theft.

What is a home title?
Home title is also called deed fraud or property title fraud. In real estate, a home title is one of the most important legal records establishing one’s ownership rights to a specific property. A title document contains essential information about the property, including its boundaries, ownership history, and any mortgages or liens, and is recorded with a government authority. One must produce this document for property-related transactions, including renting out, sales, loans, or mortgages.

Can a home title be stolen?
Yes, there are different ways that fraudsters can infiltrate the property title system and gain unauthorized access to a homeowner’s property title. They can then transfer ownership of the property, take out loans against it, or sell it without the owner’s consent.
The thief may use various tactics to steal a home’s title, including hacking into online systems or forging signatures on deeds, mortgage documents, or legal papers. Another way this can be done is by impersonating a legal homeowner and breaching the data through different means, including phishing scams, intercepting official mail, or stealing physical documents. Insecure online data can also make a homeowner vulnerable to title theft from cybercriminals.

What is the consequence of a stolen home title?
Once the title is stolen, it can lead to significant financial and legal consequences and hefty damages for the legitimate homeowner, including the loss of the property, financial liabilities, and a complex legal battle to prove ownership.

Ways to prevent home title theft
It’s important to employ different means to ensure that one’s home title is secured from fraudsters. Undertaking the following simple precautions can save one from financial losses.

Regularly monitor one’s home’s title
Vigilance is key in preventing home title theft. One should routinely check their property’s title information for any suspicious activity. It can be done by obtaining a copy of one’s title deed from the local county clerk’s office or through online services. Ensure that the information matches one’s records and that no unauthorized changes have been made.

Invest in title insurance
Title insurance is an essential safeguard against home title theft. This insurance policy can protect one from financial losses arising from fraudulent title changes. Purchasing title insurance when buying a home or refinancing a mortgage is advisable. This protection can provide peace of mind, knowing that there is coverage in the event of title theft.

Strengthen online security
Many title theft attempts occur online, where hackers or identity thieves try to gain access to one’s personal information. To protect oneself, one should strengthen online security measures. Using strong, unique passwords for online accounts, enabling two-factor authentication wherever possible, and regularly updating antivirus and anti-malware software can be helpful. One should also steer clear of any unsecured open Wi-Fi networks. Moreover, a home Wi-Fi network must be password-protected to prevent unsecured access.

Be wary of phishing scams
One should exercise caution when receiving unsolicited emails, phone calls, or text messages requesting sensitive information. Never share personal or financial details with unknown or unverified sources over the phone or via email.

Secure physical documents
Physical copies of one’s property’s title and related documents should be kept in a secure location, such as a locked safe or a bank safety deposit box. Ensure that only trusted individuals can access these documents and are well-protected against theft or damage.

Educate oneself and family members
Homeowners should educate themselves and their family members about the risks of home title theft and the precautions to take. Teach family members about online safety, the importance of secure passwords, and the potential consequences of sharing sensitive information.

Monitor financial statements
Frequent monitoring of financial statements can help detect any unauthorized transactions or suspicious activity related to one’s home. Regularly review bank, mortgage, and credit card statements to spot discrepancies.

Hire a professional title company
When buying or refinancing a home, consider hiring a professional title company to handle the title search and transfer process. These companies have experience ensuring the legitimacy of property titles and can provide extra protection against title theft.

Signs that indicate home title theft
Several red flags can indicate that one may be a victim of deed theft. These signs include receiving unpaid utility bills for a vacant property, notices of foreclosure on a property that one doesn’t have a mortgage on, unexpected changes in property ownership records, unfamiliar or suspicious signatures on property documents, signs of movement in vacant property, and difficulty accessing one’s property.

What to do in case of a home title theft?
In case one suspects home title theft, one should:

• Approach a local police department and file an identity theft complaint
• Alert creditors of potential fraud
• Contact title insurance company or bank to investigate the fraud
• Credit freeze

A credit freeze through Equifax, Experian, and TransUnion essentially puts a lock on one’s credit report. A credit freeze adds an extra layer of protection by requiring anyone seeking access to the credit report to provide a unique PIN or password. Without this passcode, even legitimate attempts to apply for loans, credit cards, or other financial services may be denied unless the freeze is temporarily lifted. This lock makes it nearly impossible for unauthorized parties, like identity thieves, to access the individual’s credit information.

Any discrepancies or suspicious changes should immediately be reported to the concerned authorities. Consulting with a qualified attorney or a professional title company can provide valuable guidance to homeowners in rectifying title issues and ensuring the security of one’s homeownership.