$4 Million Lost to Quit Claim Deed Fraud in New Hampshire

A recent report by the FBI in Boston has revealed that between 2019 and 2023, homeowners in New Hampshire were scammed out of over $4 million due to quit claim deed fraud. This type of scam targets property owners who are unaware of their rights and vulnerabilities, resulting in significant financial losses.

What is Quit Claim Deed Fraud?

A quit claim deed is a legal document that transfers an owner's interest in a property to another party. While it can be a useful tool for resolving estate matters or other property disputes, it can also be exploited by scammers. In this type of fraud, the scammer convinces the homeowner to sign a quit claim deed, which then transfers ownership of the property without their knowledge or consent.

How Does the Scam Work?

The scam typically begins with a scammer contacting the homeowner through phone, email, or in-person. The scammer may pose as a relative, friend, or neighbor who needs help with estate matters, such as probate or property taxes. They may claim that they need the homeowner's signature on a quit claim deed to settle an estate or avoid foreclosure.

The scammer then convinces the homeowner to sign the document without reviewing it first, often by creating a sense of urgency or claiming that there is no time to waste. Once the homeowner signs the document, the scammer uses it to transfer ownership of the property to themselves.

How Many Homes Were Affected?

According to the FBI's report, more than 100 New Hampshire homeowners were scammed out of over $4 million in quit claim deed fraud between 2019 and 2023. This represents a significant financial burden for these individuals and families, who may have had to take out loans or sell their homes to cover their losses.

How Can Homeowners Protect Themselves?

To avoid falling victim to this type of scam, homeowners should be vigilant when dealing with estate matters or property disputes. Here are some steps they can take:

1. Seek Professional Advice: When dealing with estate matters or property disputes, it's essential to seek professional advice from a qualified attorney.
2. Review Documents Carefully: Before signing any document, including quit claim deeds, homeowners should review them carefully to ensure that they understand the terms and conditions.
3. Verify the Identity of the Party Signing on Their Behalf: Homeowners should verify the identity of the party signing on their behalf, such as a power of attorney or representative, to ensure that it's legitimate.
4. Be Cautious of Unsolicited Calls or Emails: Homeowners should be cautious of unsolicited calls or emails requesting signature on a quit claim deed or other estate matter documents.

What Can Be Done to Prevent Future Scams?

To prevent future scams, law enforcement agencies and regulatory bodies are working together to increase awareness and education about these types of crimes. Here are some steps that can be taken:

1. Public Awareness Campaigns: Public awareness campaigns can help educate homeowners about the risks of quit claim deed fraud and how to avoid it.
2. Education and Training: Providing education and training for professionals, such as attorneys and financial advisors, on the signs of scamming can help prevent these types of crimes.
3. Collaboration Between Law Enforcement Agencies: Collaboration between law enforcement agencies can help identify and prosecute scammers who target homeowners in New Hampshire.

Conclusion

Quit claim deed fraud is a serious crime that can result in significant financial losses for homeowners in New Hampshire. By understanding how the scam works, recognizing the warning signs, and taking steps to protect themselves, homeowners can avoid falling victim to this type of scam. Law enforcement agencies and regulatory bodies are working together to increase awareness and education about these types of crimes, which will help prevent future scams.

Recommendations

• Homeowners should seek professional advice from a qualified attorney when dealing with estate matters or property disputes.
• Before signing any document, including quit claim deeds, homeowners should review them carefully to ensure that they understand the terms and conditions.
• Homeowners should verify the identity of the party signing on their behalf to ensure that it's legitimate.
• Homeowners should be cautious of unsolicited calls or emails requesting signature on a quit claim deed or other estate matter documents.

Additional Resources

For more information about quit claim deed fraud and how to protect yourself, you can visit the following resources:

• Federal Trade Commission (FTC)
• National Association of Realtors
• New Hampshire Department of Justice