We are getting inquiries regarding title fraud due to the recent events that have taken place in Ontario.

In one instance, a couple went out of town only to find out when they returned that their home was sold while they were away and the owners were then living in their home, all their equity was lost.

Title fraud is the deliberate misrepresentation of information to obtain mortgage financing that would not have been granted if the truth had been known.

Fraudsters use false identification, then approaches a realtor to list the property. The contract of purchase and sale is entered, and again all necessary documents are signed using the false identification.

Neither the realtor nor lawyer/notary is aware that the identification is false, resulting in a transfer of title from the true owner to an innocent third-party purchaser. By the time the true owner learns of the transfer, the fraudster has vanished.

How to protect yourself from title fraud:

· If you make a deposit on a home, don’t give it directly to the seller. Make sure it is held “in trust” by the seller’s realty company or a lawyer/notary.

· Before you buy a property, get its sales history through the land titles office or consider having it inspected and appraised. Check with a lawyer to see if anyone other than the seller has a financial interest in it or if there are any outstanding liens or tax arrears.

· Always know who you are doing business with. Deal with a licensed Mortgage, Real Estate Professionals and Lawyers offices.

· Pull and secure the Duplicate Indefeasible Title Certificate (DIT) from the Land Title Survey Authority (LTSA). By pulling the DIT from the LTSA, the title to the home is effectively frozen, ensuring no party (even the homeowner) can place a charge on the title, or transfer the title to a third party.

· Contact your Real Estate Lawyer to place title insurance on your property if you do not already have Title Insurance