Safeguards against property fraud
The Land Registry has been looking at ways to help home owners protect themselves more securely against the growing risk of property fraud, in which fraudsters attempt to 'sell' properties that they do not own.
This risk has emerged since the Land Registration Act 2002 came into force in October 2003, which made it no longer necessary to hold the title deeds to a registered property in order to sell or transfer it in some other way. The growth in fraud has been the direct result of the ease with which counterfeit identification documentation can be obtained, particularly on properties that are either mortgage-free, vacant or let to tenants.
One safeguard that the Land Registry has already introduced is the requirement for proof of identity accompanying applications made in person, rather than through a solicitor. Before other security measures are brought in, property owners are being advised to ensure that the Land Registry has full contact details for owners, particularly those with more than one property, so that they can be informed of any strange dealings.
It is also advisable to secure a mortgage or other charge over a property, which complicates the opportunity for someone perpetrating a fraud to sell a property they do not own.
Call Julia Smart on 0117 9290451 or email jsmart@metcalfes.co.uk for further information.
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