Specially trained staff are available to speak to worried home owners and offer practical advice about what to do.
Property fraud can happen in many ways. Fraudsters may attempt to acquire ownership of a property either by using a forged document to transfer it into their own name, or by impersonating the registered owner. Once they have raised money by mortgaging the property without the owner’s knowledge, they disappear without making repayments leaving the owner to deal with the consequences.
Properties most vulnerable to registration or mortgage fraud are usually empty, tenanted or mortgage free, the land registry said.
Individuals at a higher risk of fraud include owners who do not live in the property because they live abroad, buy to let landlords, owners in long term hospital or residential care or where a relationship has broken down.
Examples of property fraud include situations where a buy to let landlord gets a call from a local estate agent saying that one of his rental properties seems to be being marketed for sale or where a relative learns the property has been ’stolen’ by a fraudster impersonating the deceased proprietor.
‘Fraud affects all parts of today’s society and everyone in it, costing the UK an estimated £38 billion each year. Government has a zero tolerance to fraud against the public purse but in order to fight fraud, everyone needs to work together. The need for everyone to play their part is just as relevant in the fight against property fraud as in other contexts,’ said Alasdair Lewis, director of legal services at the Land Registry.
He explained that the organisation’s award winning Counter Fraud Unit works closely with the police and other agencies to reduce the risk of property fraud.
‘Since September 2009, our measures have prevented fraud valued at £52 million but with an average indemnity payout of some £150,000, fraud is still a fundamental risk to our business,’ he added.
Additionally, as part of its commitment to a range of counter fraud measures, the Land Registry’s trial of a free restriction for absent owners is being continued. Around 5,000 properties have been protected in this way since the trial began in February 2012.
Designed to help prevent forgery, the restriction requires a solicitor or conveyancer to certify they are satisfied that the person selling or mortgaging the property is the true owner. There is no Land Registry fee for home owners who wish to register this restriction as long as they do not live in the property. Owner occupiers pay a small fee.
Land Registry’s top tips to help owners protect their property from fraudsters include making sure a property is registered. If you become an innocent victim of fraud and suffer a financial loss as a consequence, you may be compensated
Once registered, owners should have up to date contact details so officials can reach them easily. Owners can have up to three addresses on the register. An email addresses or an address abroad can be used.
The telephone number is 0300 006 7030 and the line is open from 8.30am to 5pm Monday to Friday.
