The last two months Board Briefs looked at the purpose and value of Title insurance companies, as well as, Title Theft Insurance companies.This month, we look at who is most at risk in a Title theft scheme and why it’s not you.

Who's Most at Risk? Title theft criminals try to dupe the buyer. Their play is to pose as the owner of a property and to get someone to purchase the property from them. Usually that means they are looking for a cash sale, rush to close without the usual real estate institutions involved (meaning there is no mortgage lien on the property).

If you live on the property you own, very few purchases are done “sight-unseen” AND for cash! That is why the risk of Title fraud increases if the property is vacant or is owned by an absentee owner.

Who's normally involved in a real estate deal? Most real estate transactions involve a representative of the buyer and seller (a real estate broker or equivalent), their respective attorneys (in NY State’s case), a financial institution (assuming you are not paying cash) and a Title search company. The Title search company ensures the Title is legitimate, in order and does not have any disputes. If the normal players in the sale of a property (mentioned above) are not involved, the loser is the purchaser who was scammed by the would-be seller (the criminal). In either case, it’s not your problem.

Our Advice So, as we have discussed here, Title fraud can occur, but it is rare and circumstantial. Title fraud does happen, but most homeowners are not at risk. If you suspect an issue of tampering with your Title and you own your home outright, first visit the Erie County website (https://www.countyoffice.org/property-records/). It’s a matter of public record. If you are not listed as the owner of your property there, immediately contact the County office (as well as your Town Assessor’s office).