One thing that many landlords fail to consider before renting out their property, is the risk of property fraud. With the number of cases on the rise in the UK, fraudsters are getting sneakier and savvier, engineering more and more ways to rip off unsuspecting home owners.
For many, the idea that a tenant might try to sell your house right from underneath you might seem a little outlandish, but studies have shown that over 6.5% of landlord’s experience property fraud each year. As the threats continue to increase and the types of fraud attempted become more sophisticated and technologically savvy, you need to know what to look out for.
Read on for our guide on how to protect your rental property against fraudsters in the UK and in London.
Who is at risk?
The answer is ‘anyone’ although those landlords who live overseas and rent out their properties appear to be one of the higher risk groups. If you live over seas or away from the property, and you do not use the services of a property management agency such as us, it makes it harder to keep tabs on what is happening at your property, as well any post and correspondence that arrives.
Leaving your property empty can also leave you wide open for fraud as it is much easier for a fraudster to pretend it is their property if there is no one living there. Additionally, properties that are not registered with the land registry or that are not mortgaged also present a higher risk.
Finally, the majority of property fraud cases are often linked to cases of identity theft– a crime which is on the rise exponentially year-on-year. Information can be harvested from your social media and through hacking before being sold on the dark web to the highest bidder.
How do I protect myself from property fraud?
Luckily, once you are aware of the threats, it is quite easy to protect yourself from property fraud.
First of all, you need to always stay vigilant against identity fraud. Be careful about handing over personal data, be savvy against scam emails and calls, and if you start receiving any unusual letters or emails, don’t just ignore them- take them seriously.
Secondly, you should ensure your property is correctly listed on the Land Registry and then be sure to keep your details up to date at all times. If there are any mistakes such as with your name, contact details, or even the address itself, it is very easy for an unscrupulous tenant to come along and exploit that.
You can also sign up for property alerts via the Land Registry itself. This easy and free service will send you an email every time someone interacts with your property on the register. This incudes applications made against the property and searches. The system allows you to set up alerts for up to 10 properties. You can also set up restrictions on your title meaning that no one else is authorised to register a mortgage or a sale on your property without your signed certification.
Lastly, engaging the services of a property management agency such as ourselves can be very effective in the fight against property fraud. If you reside outside of the UK or are not able or available to check on the property and the tenants at regular intervals, we can take care of that headache for you. We can arrange to collect correspondence that is sent to the property and we are also able to schedule regular inspections and generally just keep an eye on things so you do not have to worry.
We can also monitor your Land Registry alerts for you as the system allows alerts to be sent to more than one person. This way, there is no need to be checking your emails for matters relating to your property or properties, and if any notifications are received we will let you know as and when appropriate.
To find out more about property fraud, particularly with reference to rental properties, contact us today. We can help you know what to look out for, and also to put your mind at rest with our comprehensive property management services.
