How does real estate title fraud occur?
When real estate title fraud happens, a fraudster has typically done the following: • Forged the property transfer/deed; • Registered the title in his or her name; • Forged a discharge of the home’s existing mortgage; and • Borrowed against the clear title. Real estate title fraud is when someone could make a claim against a homeowner’s ownership of the property. Here is one of many stories that illustrate how title insurance can protect you. Situation Real estate title fraud is widespread across Canada. Real estate industry insiders estimate the average case of real estate fraud at $300,000. In comparison, the RCMP estimates the average credit card fraud case in Canada to be $1,200. Industry insiders also estimate that real estate title fraud costs Canadians between $300 million and $1.5 billion each year. If real estate title fraud occurs, the onus is on the homeowner to prove the crime and it can be very costly, financially and emotionally, to restore title. However, despite the ris
