Buying a home is a goal that many of us eagerly anticipate. A home enables you to create a personal space while also offering a significant amount of security and stability. The property serves as an excellent supplement to your assets and long-term financial strategies as well. Considering that it is one of the largest investments you will make, it’s vital to protect it with a home insurance policy.
Homeowners encounter various threats and risks, such as theft, natural disasters, fire, etc. Nevertheless, there is another risk that may cause homeowners some anxiety. It is known as home title theft. Home title theft represents a form of identity theft and is becoming an increasing concern for numerous homeowners.

What is Home Title Theft?

Home title theft, otherwise referred to as fraud theft, typically occurs when someone acquires your personal information and uses it to transfer the title of your home to themselves. Once this is accomplished, they have the ability to use the documents to rent out the property or even sell it. The stolen information can additionally be utilized to secure a mortgage on the property. All of this can happen without the homeowner’s awareness.

What are the Consequences of Stolen Title or Deed?

If someone has taken the title of your property or its deed, they can impersonate you. This enables them to change the ownership to someone else’s name, potentially without your awareness. Numerous outcomes can occur if the deed or title is compromised. The individuals who have stolen your title or deed can borrow against your property, which is especially common with senior property owners. If there are no loans secured against the property, they can obtain further loans as well. This often happens because some homeowners are not particularly vigilant with their bills and documents. If they do not inhabit that property, there is a chance that someone else may access the documents and exploit them. As a homeowner, you must be extra cautious to prevent bills and tax documents from landing in the wrong hands. In the direst scenario, the fraudsters can use the documents to sell the property to another person. This can create a chain of victims, from the original owner of the home to the new buyer and the lender; having property insurance can be incredibly beneficial in such cases.

Is Home Title Theft Common?

Fortunately, title theft is not as prevalent as one might assume. It remains relatively rare. However, you should maintain your vigilance. Protecting your property with homeowners insurance is essential, as it provides extensive protection.

Here are some of the factors that fraudsters consider before attempting a title theft.

1. If a property or house is not regularly occupied or is mostly uninhabited.
2. If a house or property is owned by someone who may be somewhat vulnerable, like the elderly or those facing challenges.
3. If the property or house is completely paid off and there are no existing mortgages.
   Protect Yourself from Title Theft
   Even though the occurrence of such crimes is relatively low, as a homeowner, you should always stay vigilant. There are several straightforward measures through which you can enhance the security of your property or house. Purchasing property insurance is one of these measures.
   As a diligent homeowner, always make sure you are managing all bills, tax statements, and any other correspondence that may come your way. This will significantly deter fraudsters as they would not have direct access to these documents. Additionally, it is wise to regularly check your credit history and other governmental records. If any form of fraud occurs, you will be able to easily detect it through these checks. If your home insurance policy includes liability coverage, it might provide you with protection in such situations.
   Things to Do If You are a Victim of Home Title Theft
   If you suspect that you or someone you know has fallen victim to title or deed fraud, you should consider freezing your credit line as a first step. This will help mitigate the damage caused by the fraud. Next, you can contact local government agencies to inquire about any transactions involving your property and report the situation to the local police.
   Why Should You Buy Homeowners Insurance Plan?
   Owning a home can provide significant stability and peace of mind. However, it also comes with its own set of risks and hazards. Purchasing homeowners insurance is one of the most effective methods to protect your house from such unanticipated threats. Here are some reasons you should consider a home insurance policy.
4. The policy not only provides coverage for your house but also covers the garage, fence, shed, and even the deck.
5. The plan can safeguard your house and its contents against natural disasters such as earthquakes, landslides, cyclones, and more. Natural disasters can severely damage your house, and in such instances, the repair costs can be quite high. However, the policy will reimburse you for any repairs necessary due to natural disasters.
6. Contrary to what many people believe, obtaining a home insurance policy is not prohibitively expensive. When you take into account the level of protection it provides along with the duration of the policy, it is rather cost-effective.
7. If a theft occurs in your house, the policy will reimburse you for the replacement of the insured belongings.