What you’ll learn (TL;DR)
- Set up fraud alerts with your county recorder's office to monitor suspicious activity related to your home.
- Review your credit report regularly to catch unauthorized loan applications or financial discrepancies.
- Regularly monitor your accounts for suspicious activity, like unfamiliar logins or unauthorized charges.
- Use strong, unique passwords and enable multi-factor authentication to safeguard your online accounts.
Protect Your Identity and Home from Theft
Identity theft isn’t new—far from it. One of the earliest recorded cases dates to 1560 France, where a man—Arnaud du Tilh—assumed the identity of another man—Martin Guerre. Arnaud met Martin, befriended him, and then impersonated him. Arnaud fooled Martin’s wife, his family, and his neighbors for three years before his deception was uncovered.
Fast forward to today, and identity theft has evolved into a sophisticated threat. Now, it’s not just about stealing identities but also targeting valuable assets—like your home. As one of your most significant financial and personal investments, your home can be a prime target for identity thieves. Real estate identity theft comes in many forms: forged deeds, fraudulent refinancing, impersonating real estate agents, or even selling a home without the owner’s knowledge. The impact? It can disrupt your finances, compromise your biggest investment, and leave you questioning your sense of security.
But owning a home shouldn’t have to feel risky. In this article, we will discuss four practical tips to help you safeguard your identity and help keep your home—and peace of mind—secure.
Set Up Fraud Alerts
Real estate professionals report that seller impersonation fraud—a scam where a criminal uses publicly available records to impersonate a property owner—is on the rise. To help protect yourself, stay informed about the status of your home’s ownership and pay close attention to vacation or rental properties you own. Check with your local county recorder’s office to see if they offer a fraud alert service. Most county offices provide this free service to notify you of suspicious activity involving your property. You can also set up alerts for properties you own on listing sites to catch unauthorized listings.
Review Your Credit Report
Through identity theft, a criminal could pose as a homeowner to apply for a home equity loan or line of credit. If someone has access to your sensitive personal information, such as your Social Security number and financial materials like bank statements and income documents, they might be able to convince lenders that they are you. If approved, they could withdraw funds against the equity you have built in your home.
Monitor your credit reports regularly and look for inquiries or accounts you don’t recognize. You can download a free credit report annually through
AnnualCreditReport.com. In addition, most banks offer notifications for unusual activities or new loan applications.
Protect Your Accounts with Strong Passwords
How might someone gain unauthorized access to your Social Security number or financial documents? While personal information can be exposed through data breaches, cybercriminals can also exploit weaknesses in your personal online security.
Think about this: Could someone guess your bank account password and view your bank statements? Have you ever emailed yourself sensitive documents, and could someone guess your email password? When was the last time you updated your passwords—maybe three months ago? It’s crucial to change them regularly to stay protected in case they were ever exposed. To safeguard your accounts and personal information, focus on strengthening your online security. This means using unique, complex passwords for every account, changing them regularly (experts recommend every three months), and turning on multi-factor authentication (MFA) wherever possible.
These steps not only make it harder for cybercriminals to guess your passwords, but they can also protect you if a data breach happens. When breaches occur, cybercriminals often steal login credentials. But with the following tips, you can minimize the damage:
- Use unique passwords: By having different passwords for each online account, you reduce the risk of a breach spreading. If one site is compromised, attackers won’t be able to access your other accounts.
- Change your passwords regularly: If you update your passwords often, you’ll lock cybercriminals out of your accounts, even if they previously gained access. Some websites let you sign out of all active sessions when you change your password. Always take advantage of this option to ensure you're the only one logged in.
- Enable multi-factor authentication (MFA): MFA adds an extra layer of protection. Even if someone steals your password, they won’t be able to access your account without a second form of verification.
Review Your Accounts Regularly
Securing your accounts with strong passwords can minimize your risk of identity theft, but it is also important to watch for signs that someone is fraudulently logging into your accounts. While your credit report tells you whether someone is trying to open a new line of credit in your name, your existing bank statements and sign-in histories can help you learn whether one of your accounts may have been hacked.
Here are a few red flags to watch out for:
- You are unable to log in to your account, even though you know the password you are using is correct.
- You receive MFA codes or access pins when you are not actively logging into your account.
- Your account activity records show suspicious login times from unknown locations.
- Your family and friends receive unusual messages from your account that you did not send.
- You see suspicious activities—such as unknown charges on your credit card or posts on your social media that you did not create.
If you see any of these red flags or have other reason to believe one of your accounts has been
compromised, immediately change your password.
The Value of Title Insurance
Title insurance can help protect you against potential fraud, even after purchasing a home. If an identity thief claims ownership of your property, title insurance can help cover legal expenses and financial losses.
