What is a forged property deed?
A forged deed is a fraudulent scheme that someone creates by falsifying the homeowner’s signature and, using bogus documents, claims that title to the property has been transferred. This person will even go as far as acquiring the notarization by an individual who is participating in the scam. The forged deed can be recorded in the public records and, once this happens, the scammer can use the false document to take out a mortgage loan against the property. They will then disappear with the profit before the bank begins the foreclosure process against the homeowners.
Although forgery is a felony, it’s still your responsibility to ensure the safety of your home and investment. So the question is, how do you know if you’re a victim of fraud? Well, there are two things you can look out for:
The first, is if you receive a document (or documents) by mail for a mortgage loan that you’re unaware of, or if the county recorder alerts you of the registration of a deed that you haven’t signed.
The second, is if out of the blue you stop receiving property tax bills, or if you get a notice of default when you’re not overdue on your mortgage payments.
The good news is that the problem can be solved and you can protect yourself with an owner title insurance policy! We highly recommend the enhanced owner title insurance policy, as it protects the homeowner against things that can occur after your purchase. This policy will cost a fraction higher than the standard owner title insurance policy, but the benefits of it are great.
Your first step, if you find yourself in this situation, is to report the forgery to your local law enforcement. The second step would be to report this fraud under the terms of your owner's title insurance policy to their claims department. The claim department under your title policy handles the claim process through their attorneys without the necessity of you hiring an attorney.
Owner's title insurance is your product of protection in instances like this. Consider it your safety net! An owner title insurance policy is designed to protect you against issues such as forged deeds, unrecorded liens, or a missing signature of an heir. Your policy can reimburse you for the loss, as well as covering legal costs to prevent you from losing your property.
At Skyway Title Services LLC our goal is to always serve our clients to the best of our ability. We want to make certain that the purchase of your dream home, or the piece of property that you have big dreams to own, will be protected against title defects such as this.
For a list of the services we provide, or to meet with one of our experts, call or visit us
5069 New Hwy. 68, Madisonville, TN 37354