More Fake News

By Jim Palmer Jr.

Recently there has been a flood of radio ads promoting a company called Hometitlelock.com, who claims you are at risk from thieves who can easily swindle you by using the deed to your home. All they want is $14.99 per month in exchange for protection from sneaky characters who could “steal your home.” This scare tactic sounds like a bully who offers neighborhood protection in exchange for the money they steal from business owners!  Hometitlelock.com asserts on their website that, “all a thief needs to steal your home is your street address and the name on your title, both of which are public record. A thief can simply go online or visit your County Recorder’s office… and legally obtain a copy of your deed.” They also say that “thieves can utilize the Recorders online document recording system to digitally record a forged deed, transfer your deed into their name, then take out loans against your home and disappear.”

While there are many ways to steal money in a real estate transaction, it would be virtually impossible to “steal your home” as suggested by this questionable company. There may be other states where property owners are more vulnerable, but in Washington State it would be a most difficult task to defraud a homeowner or a lender in the manner Hometitlelock.com suggests.

While it is true that anyone can go online and obtain all of that recorded information, since it is public record, systems are in place in Washington State that would be difficult to penetrate. First of all, any deed must be original with wet signatures that are notarized and recorded in person. Additionally, lenders are not easily fooled by such fakers, since their qualification process for home and borrower is extremely stringent, including the requirement for a legitimate title search and title insurance. This process would easily uncover such fraud. Besides that, the thief would have to qualify for the loan and survive the scrutiny of a lenders investigation and cross checks. That is even difficult for legitimate borrowers!

Let’s assume that the thief actually obtained a loan(s) and then disappeared. How would the lender collect from the legitimate home owner when the loan is not even in their name? A duped lender may be able to start a foreclosure process, but it would be easily rebutted and nixed because of title insurance or legal action. It would also be very unlikely that a lender could be defrauded by using the legitimate owners name and credit.