Safeguarding Your Florida Property Investment Against Fraud
Real estate fraud in Florida usually takes one of two forms: someone records a forged deed or mortgage against property they do not own, or someone steals closing funds with fake wiring instructions. Both can be stopped early if you know the warning signs and act fast. Joseph S. Hughes of Hughes Real Estate Law handles every matter himself. He earned his J.D. at the University of Miami School of Law and has more than 10 years of practice in Florida real estate law.
Deed Fraud and Seller Impersonation
In deed fraud, a scammer forges the owner’s signature on a deed and records it, then tries to sell or borrow against the property. A related scheme, seller impersonation, targets vacant land and rental properties where the owner does not live on site. The scammer poses as the owner, lists the property for sale and pushes for a quick, all-cash closing.
Recording a forged deed does not transfer good title, but it clouds the title and can lead to a sale to an innocent buyer. Filing a fraudulent document against property can also be a crime under section 817.535, Florida Statutes.
Warning Signs
- A property tax bill, utility notice or HOA letter in someone else’s name
- Mail about a mortgage or loan you did not take out
- A real estate listing or “for sale” sign on a property you did not list
- Unexpected contact from a title company about a sale you did not start
Sign Up for Owner Alert
The Broward County Property Appraiser offers Owner Alert, a free service that emails you when a change of ownership is recorded for your property. It does not stop a forged deed from being recorded, but it gives you an early warning so you can act before the property is sold again.
Extra Steps for Vacant Land and Rental Owners
Owners who do not live on the property are the most common targets because they are less likely to notice a sale in progress. Practical steps include:
- Keep your mailing address current with the Property Appraiser and the Tax Collector
- Search the Official Records for your name and parcel a few times a year
- Ask your property manager to report any “for sale” signs or unusual visitors
- Tell local real estate agents and title companies you know that the property is not for sale if you see it listed
If you sell vacant land, expect the title company to verify your identity carefully. That extra step protects you as much as the buyer.
Wire Fraud at Closing
Scammers hack or imitate the email accounts of agents, title companies and attorneys, then send buyers new wiring instructions shortly before closing. Once the money is wired, it is often moved quickly and is hard to recover. To protect yourself:
- Call the title company or attorney at a phone number you already know, not one in the email, to confirm wiring instructions
- Treat any last-minute change to wiring instructions as a red flag
- If you wired money to a fraudster, call your bank immediately and file a report with the FBI’s Internet Crime Complaint Center
What to Do If a Fraudulent Deed Is Recorded
- Get a copy of the recorded document from the Broward County Official Records
- Report it to law enforcement and keep the report number
- Notify your title insurer if you have an owner’s policy, and your lender if you have a mortgage
- Talk to an attorney about clearing the title
Clearing a forged deed usually requires a court order. A quiet title action or an action to cancel the fraudulent instrument asks the court to declare the forged deed void and confirm your ownership. When a fraud claim involves a sale or a closing, our real estate fraud attorney page explains the options.
Frequently Asked Questions
What is deed fraud?
Deed fraud is when someone forges an owner’s signature on a deed and records it to claim or sell property they do not own.
Does a forged deed transfer my property?
No. A forged deed does not transfer good title, but it clouds your title until a court clears it.
How can I prevent wire fraud during closing?
Confirm wiring instructions by calling the title company or attorney at a number you already know, and never rely on instructions sent only by email.
How do I clear a fraudulent deed in Florida?
Usually through a quiet title action or an action to cancel the instrument, which asks the court to declare the deed void.
Talk With a Florida Real Estate Attorney
If you see a suspicious deed, listing or wire request involving your property, act quickly. Learn about Joseph Hughes, call (954) 256-5125 or request a consultation.
