It’s a Crime! Deed Theft Crackdown Gets Serious

Deed theft deprives homeowners — and generations that follow them — of the precious home equity they worked so hard to earn. When someone sets out to exploit someone else’s deed, the targets are often seniors, minority households, and people who own debt-free homes in gentrifying neighborhoods.

In New York, as of 2024, deed theft is named in the books as a crime. Deed holders now enjoy better protections. Thieves now have stronger reasons to cease and desist.

It’s a major milestone. So, let’s take an updated look at deed theft news from New York — and beyond.

Bamboozled in Brooklyn…Again?

A court put an eviction on hold this summer. This is something new: a chance for a family to stay and fight for the deed of their Crown Heights, Brooklyn home.

Ida Robinson died late last year. That brought to light the truth about Ida Robinson’s deed. Turns out it was transferred, with a forged signature and notarization, back in 2015.

The swindlers recorded a new deed and took loans out against the home. Ida and the Robinson family had no idea what had happened behind their backs.

The court case involving Ida Robinson’s heirs is ongoing.

It’s representative of a pattern of equity theft targeting New Yorkers. Like the case that made the British tabloid press this August, about a 90-year-old Brooklyn resident facing eviction on account of an improper deed transfer back in 2006.

Something has to be done.

Effective July 2024: Deed Theft Is a Crime

On that note, a lot more has happened in New York this summer to make life harder for deed snatchers.

In July 2024, the state’s Attorney General, Letitia James, announced the sentencing of a deed theft mastermind who sold three ill-gotten properties in Queens.  

In the same month, James announced that a new law took effect making deed theft a crime. James wrote the law together with supportive New York lawmakers. Here’s what the law has changed:

• The New York state criminal code hadn’t previously named deed theft as a crime. It’s now grand larceny. The most severe penalties are reserved for those who steal three deeds or more, and those who target older adults or disabled people.

• Now, the Office of the Attorney General can open deed theft prosecutions in New York. Before, a prosecution had to have been initiated by local district attorneys, and they could decide to refer cases to the AG.

• The new law also stretches the statute of limitations to include older cases. 

As we noted last year, New York law has made a string of moves to heighten deed safety. The state, led by Attorney General James, has enacted provisions that say:  

• Prosecutors can signal properties involved in alleged deed theft, placing “red flag” warnings so real estate, insurance, and lending professionals have a heads-up about suspicious activity.

• Good-faith purchaser provisions cannot be used to shield a scammer’s transactions.  

Attorney General James has also spearheaded the Protect Our Homes initiative, bringing multiple agencies to collaborate on the problem of deed theft. Plus, James’s office has established a $800,000 grant to equip housing agencies and organizations for large-scale awareness-raising in areas most likely to be targeted for deed manipulation.

What about the victimized households? New York law now empowers the state’s Attorney General and local district attorneys to put evictions on hold in cases where fraud is being traced. A “stay” on an eviction can protect a deed holder who’s in housing court to show that the home’s deed is being manipulated by con artists.

Kings County Wrestles With “an Epidemic of Deed Theft”

Those are the words of New York lawmaker Stefani Zinerman, reported by Our Time Press. The lawmaker hopes to “make all of Kings County a cease-and-desist zone” against deed exploitation. The Secretary of State has agreed to support that. But first, the Secretary of State wants to see 500 examples of attempted deed exploitation.

So, Zinerman wants people with deed troubles to tell her office about it. Evidence of acts or attempts could include postcards, business cards, video clips of someone at the door asking about the home, etc.

Don’t be embarrassed if you were duped, says the lawmaker. Let’s get this law made. Spare others the pain you faced.

Zinerman decried the “syndicate-level targeting of Black wealth and the extraction of Black wealth over the years.” Zinerman also blasted some real estate agents who “aggressively target our neighborhoods,” making quick, lowball offers for homes.

We know the type. The agents who pop up saying Hi! I just wanted to touch base with you and ask if your home is for sale or if you might be interested in offers?

Con artists have a knack for zeroing in on those who are least likely to notice, or the most likely to believe someone who promises a way out of financial challenges.

Meanwhile, in South Carolina…

The phone rang, and a homeowner happened to pick up. Lucky thing she did. It was a real estate professional calling — just checking in to be sure she was selling the family pecan farm. She wasn’t.

The press reports that someone pretending to own the farm was indeed trying to sell it.

The swindler had fake IDs and was using the county’s online records to market the property.

The real homeowner submitted complaints to the FBI, state officials, and the county register of deeds. She was surprised at how difficult it was to get effective help.

Now, areas with many absentee deed holders are being targeted by scammers in South Carolina. North Myrtle Beach and Georgetown County are among these areas. Local real estate agents are setting up a warning system, flagging properties that may be vulnerable to deed theft.

A Word (or Three) to the Wise

First, as our South Carolina deed holder can say from experience, you never know who that unknown caller might be.

Second, out-of-the-blue offers to buy your home won’t be fair to you. Avoid them.

And third, because deed thieves operate most anywhere, it’s not a bad idea to keep track of your home’s title.

Many county recorders of deeds are introducing recording notification services. The software automatically emails deed holders about any claims placed on their homes. Deed holders should sign up for that system as soon as it becomes available. Especially deed holders with without mortgage companies in their lives. Same goes for seniors, and owners who are living away from their homes. Early detection has helped deed holders stop scammers from selling their homes.