Help Protect Your Property from Fraud

Local officials in Delaware are warning consumers about a crime that could jeopardize their homes — often the most valuable asset a person owns.

Known as deed fraud, it happens when criminals impersonate a homeowner and forge documents to transfer property to themselves or someone else. They can then try to sell the home or take out loans against it — all without the real homeowner’s knowledge.

“In Delaware, deed fraud is a growing concern, and homeowners need to take measures to protect themselves,” says Michael Kozikowski Sr., the New Castle County recorder of deeds.

To help homeowners spot this type of scam, each of Delaware’s three counties has an alert system that will notify enrolled residents if their deed has been accessed or changed in any way. Kent County Recorder of Deeds Eugenia Thornton says the alerts are especially important for older adults who have paid off their mortgages. With no lender monitoring the title, it’s easier for scammers to make unnoticed changes.

“Citizens over 65 with a fully paid mortgage and those who own multiple properties — especially vacant ones — are the most vulnerable to this type of crime,” Thornton says.

Though registering for alerts will not prevent theft, she adds, a homeowner’s best bet for mitigating possible damage is to be notified as fast as possible after the crime happens.

Criminals use various tactics to transfer property titles — from forging signatures on deeds to filing fraudulent documents with county recorders’ offices. Scammers can also list a property for sale using real estate websites and try to sell a property online for cash only.

Thorton says that Kent County has 3,000 residents registered for alerts so far. She is aiming to get 100 percent of those over 65.

Other ways Delaware homeowners can protect their property include checking county records to make sure all information is accurate. They can also check on vacant land or unoccupied properties often, and not let mail pile up. Additionally, people should disregard letters asking for money to obtain a copy of their deed, because counties provide this information free of charge.

Sussex County Recorder of Deeds Alexandra Reed Baker says there has also been an uptick in the posting of fake home listings by scammers impersonating homeowners. These scammers fraudulently list homes or land that they don’t own and then contact local real estate agents.

Baker says that local real estate agents know this is happening and remain vigilant. “Usually, it gets caught before it escalates to a contract and then to the settlement table,” she says.

Sign up for alerts at the following sites:

· New Castle County: newcastlede.gov/2398/AlertMe.

· Kent County: pfa.uslandrecords.com.

· Sussex County: sussexcountyde.gov/deed-fraud-alert.

—Michelle Cerulli McAdams