According to the FBI, real estate fraud is the fastest growing crime in America. And equity theft is part of these nefarious criminal acts. Let’s scope out what it is and how it can affect you as a homeowner.
Home Equity Defined.
Equity describes the value of an asset after subtracting the value of any liabilities on the asset. Commonly used to describe the value of a home and help purchase a new one, equity will be considered in taking out loans or paying off large bills.
Home Equity Theft Defined.
According to LegalMatch.com, “Real estate fraud occurs when one party intentionally uses false information or makes a false representation relating to real estate. In general, home equity fraud occurs when someone tries to steal the equity a homeowner has built up in their home.”
How Home Equity Theft Can Happen to You.
One of the most common criminal scenarios involving equity theft occurs when a thief poses as a homeowner and proceeds to take out a fraudulent home equity line of credit (HELOC) and then runs with the cash. How can this even happen? A crafty thief can simply obtain your personal information from public records, forge your homeowner’s signature, and reroute the loan so the line of credit is sent to them and not you as the real homeowner. Chances are you won’t know you’re a victim until it’s too late!
The second most common equity theft scenario occurs when a homeowner falls behind on their mortgage payments. This type of fraud is unfortunately committed by seemingly legitimate financial agencies and lenders, who may require the homeowner to put up ‘fishy’ amounts of cash against their home, falsify information or actually take out your home equity to pay off debt or other concocted situations so you basically hand over your hard-earned home equity dollars.
Who Are the Most Vulnerable Targets of Home Equity Theft?
Powered by the DomiDocs Homeowner Enablement Platform®, HomeLock™ has identified and ranked the most vulnerable victims of equity fraud as being high equity, no mortgage homeowners, and beloved senior homeowners, which could be you or a cherished family member. And no one wants any vulnerable senior to be taken advantage of.
The Best Way to Protect Yourself from Equity Theft is By Being Proactive.
Regularly monitoring your credit reports is a great way to start protecting yourself from any type of property fraud. But seriously, in today’s busy world, who has time for that? HomeLock™ is here to provide scanning and monitoring of 200+ data points 24/7/365. Immediate detection is the best defense only HomeLock™ has an early warning system that alerts you before, during, and immediately after fraud or errors occur. HomeLock™ has a 5/5 rating with both Google and the Better Business Bureau, plus we’ll provide you with a free 7-year title scan history report when you sign up for HomeLock™ today.
HomeLock™ Also Provides Fraud Resolution Services
Generally, if you’re a victim of equity theft or another form of property fraud, you’re out there on your own wondering what to do next. Our dedicated HomeLock™ Fraud Protection team will assist you with up to 2 hours of data correction services per membership including research on alerts found. Membership also includes $25,000 in legal services for fraud defense and a $1 million Cyber Insurance Policy.
The Free Bonus with HomeLock™
HomeLock™ membership provides access to our award-winning digital home management platform where you’ll find everything from homeowner tips and tricks, to document organization and actionable recommendations personalized for your property.
Think of the DomiDocs homeowner platform as your secret weapon that will get and keep you ahead of the curve.
Don’t be a property fraud victim, sign up for HomeLock™ today!
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Author – Connie Motz