Fraudulent property purchase – How do you guard against this?
If I buy a property and it turns out that the property was fraudulently sold without the owners knowledge ie. son impersonating as father or tenant impersonating as the owner with a fake passport and driving licence do I lose my money for purchasing such a property?
I asked my solicitor about this and it seems they think I would be and it would be up to me to recover the money from the fraudster. The solicitor who did the transaction would not be liable under their indemnity policy to pay out as long as they checked the identity (passport) and proof of address. But as my solicitor mentioned to me they have no idea what a fake looks like so this type of fraud is not difficult to perpetrate.
Has anyone here got any ideas how to safeguard against this? My understanding would be that even if I bought the property with a 85% loan, I would still be liable to pay the lender back their money owed.
Appreciate any help that anyone can give.
Many thanks and have a nice day all.
Peter
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Member Since July 2014 - Comments: 45
1:25 PM, 10th August 2015, About 11 years ago
Reply to the comment left by “Neil Patterson” at “10/08/2015 – 10:00“:
And also what would happen if you were buying the property in cash, there would be no lender involved? Surely there must be an indemnity of some sort. I asked my solicitor about this but they were not aware of anything available to protect the buyer
Member Since July 2014 - Comments: 45
11:30 AM, 11th August 2015, About 11 years ago
Hi ,
I am really surprised that no one is really concerned about this post I put up. Google this and you will see that this fraud occurs and is on the increase. Its like buying car that you did not have an HPI check done on, if the car is then found to be stolen you lose the car and your money and you still pay the finance on the car.
I agree its not common but what safe guard is there if you buy a property and it is a fraudulent sale. Are there any solicitors here who know the answer or have a solution?
Many thanks.
Member Since June 2015 - Comments: 14
11:52 AM, 11th August 2015, About 11 years ago
Reply to the comment left by “Peter Johnson” at “11/08/2015 – 11:30“:
Hi Peter, I am no longer surprised at anything! I have been subjected to fraud, trespass, misrepresentation, breach of contract etc etc….the list goes on. I’ve had my rights under Data Protection violated, I’ve had an attempt to bankrupt me through false misrepresentation………………………………and all the institutions who should have helped me and other consumers, turned their backs on me. Information Commissioner, Royal Institute of Chartered Surveyors, Financial Ombudsman, Land Registry, not to mention MPs and Government Ministers! And to rub salt into the wound, I’ve been threatened with an Harassment Order for asking too many questions!
I’ve been bullied by my bank and LPA receivers and their solicitors who have also lied about me to the BBC, my MP and others.
There is no justice in the courts for people such as me but that won’t stop me fighting. I believe the truth always comes out in the end!