How to protect yourself from property fraud

The mere fact that someone has a copy or even the original of a deed should not be a problem unless that person commits a crime such as forgery or using the deed to transact business without the owner's knowledge. Modern technology and the constant circulation of personal data in the public domain only compounds the problem. Even municipal authorities often require copies of owners' deeds for various procedures, even though they can check directly with the Registry Agency.

Choosing an agency to buy a property

Before you start with an agency to help you with finding your property, check the history and reputation of the agency in the first place. This will protect you from dishonest and fake agencies that can harm you.

Keep your personal details and documents

Documents should be kept in a safe place. Do not easily provide personal details and copies of your ID. The original deed or a copy of it should not be given without good reason. Do not sign documents without reading them carefully and, if necessary, seek advice. Avoid signing blank sheets of paper because fraud can be committed without a notary – for example by a preliminary contract which is valid even without notarisation but may oblige the owner to transfer the property.

Subscribe to SMS notification service

One of the easiest ways to protect yourself is to subscribe to the Registry Agency's "SMS Disclosure" service. This service is free to owners and provides notifications of any changes to the Land Registry relating to their property. Notifications include entries, notations, deletions, refusals and court orders, the issue of a certified copy and any correction to a record in the system.

The subscription procedure is described on the Registry Agency website. The service shall be requested in person or through an attorney with a notarized power of attorney, with a paper application. The owner must indicate his/her EIN (or UIC for companies) and a mobile telephone number to receive the communications. Notices cannot cancel entries, but allow the owner to respond quickly by filing a civil action for ownership and recording the claim with the AB, or referring the matter to the prosecutor's office.

Advise the tax office of restrictions on the issuance of tax assessments

If you have concerns about fraud, you can warn the tax office not to issue property tax assessments to anyone other than yourself. A tax assessment is required for any disposition transaction and its issuance may be limited to the owner or his or her designee. This can make it more difficult for fraudulent transactions to occur on your property.

Issue a new title deed

One measure of protection is to transfer a small beneficial interest in the property to a close confidant – parent, child. This makes it difficult for fraudsters because any disposition transaction will require the participation of all owners. Buyers usually check the legitimacy of the owner and whether there are subsequent transactions with the property.

Documents should be arranged

Just as you have an ID, you should also have regular documents for the property. Many people who have received property by inheritance prove their ownership with a bunch of old documents. This can make them easy prey for fraud as they do not appear on the property register as the owners. It is advisable to issue a new title deed to avoid future problems.

Mortgage

A property with a mortgage is more difficult to sell without the owner's knowledge, as the mortgage needs to be paid off in order to cancel it. This is an additional security feature that every owner should keep in mind.

To protect yourself from property fraud, it is important to be careful and do your due diligence before making important decisions such as buying a home. Familiarize yourself with all documents related to the property. Do not hesitate to consult a lawyer or real estate agent if you have any doubts or questions.

Don't make quick decisions. Listen carefully to all parties and analyze each piece of information before making a final decision. Be informed and objective in the property buying process to avoid potential problems in the future.