Fraudulent Transfer of Property: How it Can Happen and How to Address it

This article briefly discusses fraudulent property transfers, the warning signs people can look out for, and steps you might take in order to safeguard against fraudulent transfer of your Florida real estate property.

For further discussion and to receive formal legal advice on your own real estate litigation matter, contact an esteemed real estate litigation attorney at Suncoast Civil Law.

What is Fraudulent Transfer of Property

A fraudulent transfer of property occurs when real property (homes, business offices, etc.) is transferred or deeded away without the knowledge or consent of the rightful owner. People committing a fraudulent property transfer might forge the owners’ signatures, falsify records, or otherwise make it appear that a property has transferred ownership. Once a fraudulent scheme has been successfully carried out, untangling the fraud and resolving the situation can be legally complex, and take a lot of time and money.

Florida has a lot of property owners, and a lot of out-of-state residents in that pool as well. With such a robust property market, instances of fraud can slip into the mix undetected. vulnerable individuals such as the elderly or absentee property owners can be particularly susceptible to these schemes.

Different Types of Fraud

Some of the methods utilized by fraudsters include forging deeds: if a fraudster successfully forges a property owner’s signature on a deed and files it with the local clerk’s office, ownership could transfer to themselves or a third party.

Identity theft, straw-buyer schemes, or those posing as “foreclosure rescue” are also key items to look out for.

Ways to Prevent Fraud

As is so often said: an ounce of prevention is worth a pound of the cure.

Detecting fraud and fraudulent activity early is critical to stopping and mitigating any damage that can come from these schemes. Actively work to be aware of unfamiliar activity on public records, suspicious mail or email, including being wary of “phishing” attempts via those methods. Common sense advice applies here as well: safeguard your personal information. Do not freely share identifying information such as your social security number. Vigilance is key.

Florida Law

Florida law has developed to provide many protections against fraudulent real estate transfer. However, it is up to owners to take proactive measures to protect their own interests. For example, Florida requires property transfers to be recorded in the county in which the property is located. This means a record is created and available to discover for those searching for fraudulent activity.

Before signing any documents related to your property, it is wise to seek counsel from a qualified attorney. This is especially true if you suspect fraud.

Contact Suncoast Civil Law

If you suspect that your property has been fraudulently transferred, you should immediately file a report. Fraudulent property transfers are a serious threat, and should be on every Florida property owner’s radar. In cases where fraud does occur, seeking professional assistance and taking swift, assertive action is essential to righting the situation as quickly as possible.

If you have questions or want to speak with a legal expert on the specifics of your own real estate litigation matter, contact an experienced Sarasota real estate litigation attorney at Suncoast Civil Law.

Sources:

islandernews.com/realestate/the-rise-of-real-estate-fraudulent-transfers/article_8ab8277e-d9fb-11ef-b94e-d70d90eebb12.html

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0726/0726.html