Identity Theft in Florida Real Estate
Real estate identity theft (also called deed fraud or title fraud) occurs when criminals use stolen personal information to forge deeds, transfer property ownership, or obtain fraudulent mortgages. Florida is a frequent target due to its large volume of real estate transactions, high property values, and significant population of seasonal and absentee owners.
How Deed Fraud Works
The typical scheme follows this pattern:
- A criminal identifies a target property, often vacant land, a second home, or an investment property where the owner is unlikely to notice quickly
- Using a stolen or fabricated identity, the criminal prepares a forged deed purporting to transfer the property
- The forged deed is notarized (often with a complicit or negligent notary) and recorded with the county clerk of court
- The criminal then sells the property to an unsuspecting buyer or takes out a mortgage against it
- The true owner discovers the fraud weeks or months later
Florida Legal Protections
Florida provides several layers of defense against deed fraud:
- Owner's title insurance: Covers losses from forged instruments and fraudulent transfers
- Property Fraud Alerts: Many Florida clerks of court offer free monitoring that notifies owners when a document is recorded against their property (available in Manatee, Sarasota, Hillsborough, and other counties)
- Notarization requirements: Florida Statutes Section 689.01 requires all deeds to be signed in the presence of two witnesses and a notary public
- Criminal penalties: Deed fraud prosecuted under Section 817.535 (exploitation of title) carries penalties up to a first-degree felony
Recovery: Quiet Title Actions
Victims of deed fraud must file a quiet title action in the circuit court of the county where the property is located. This lawsuit asks the court to void the fraudulent deed and confirm the true owner's title. Filing a lis pendens (notice of pending litigation) early in the process prevents further fraudulent transfers while the case proceeds.
Related Terms
- Quiet Title — Judicial action to clear title defects
- Title Insurance — Protection against ownership defects
- Lis Pendens — Notice of pending property litigation
- Deed — Instrument transferring real property ownership
Barnes Walker Real Estate Fraud Services
Barnes Walker's litigation attorneys handle deed fraud cases and quiet title actions throughout Manatee and Sarasota counties. Barnes Walker Title, Inc. provides identity verification and title insurance to prevent fraud in real estate closings. Request a legal inquiry for assistance.
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC