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The fraud that can sell your house from under you

ended 23. June 2026

Property and identity fraud is quietly becoming one of the biggest risks a homeowner faces, and most people have no idea it exists until it is too late.

The pattern is chilling. Fraudsters steal an owner's identity, pose as them, and try to sell or remortgage the home without the owner ever knowing. HM Land Registry blocked fraudulent applications against more than £59 million of property in 2024-25 alone, and over £194 million in the last five years. Around 86% of victims are "absent owners": landlords, people living abroad, and elderly owners in care. The favourite target is a mortgage-free home, because there is no lender doing any checks.

Behind it sits an identity-theft boom. Cifas recorded more than 242,000 identity fraud cases in 2025, over half of all fraud reported, now made easier by AI-generated fake documents. The same stolen identity that opens a loan in someone's name can be turned on their house.

What makes it worse is that the strongest defences are free and almost nobody uses them: HM Land Registry's Property Alert, and a Form LL restriction that forces a solicitor to verify the seller really is the owner.

I would like to hear from brokers, conveyancers and property professionals:

  • Have you, or a client, ever been hit by property or identity fraud?
  • How do you protect yourself and your firm against it?
  • What is the one thing every homeowner should do to protect themselves?

Real stories and practical tips both welcome.

8 responses from the Newspage community

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Darryl Dhoffer
Founder at The Mortgage Geezer
As a specialist bad credit mortgage adviser, I see clients working incredibly hard to secure a home. The thought of them losing it to identity fraud is soul destroying.
I once had a client applying for an adverse-credit remortgage, only to discover a fraudster had already exhausted their equity via a hidden charge. Because the client already had damaged credit profile, they hadn't noticed the extra credit footprints, which i discovered on inspection of their credit reports. Fraudsters love complex profiles, hoping the noise masks their crime.

To protect my operations, we mandate biometric ID verification, matching live selfies against passports to beat AI fakes.

Every homeowner must sign up for the free HM Land Registry Property Alert service today. It emails you the second anyone touches your deeds. For landlords or unmortgaged owners, get a Form LL restriction. It’s a total circuit-breaker.
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Evren Ergin
Founder And Developer at ValuQ
What frightens me most about property fraud is how quiet it is. There is no broken window. Someone steals your identity, poses as you, and tries to sell or remortgage your home while you are still living in it, none the wiser.

The cruel twist is that the most exposed homes are the ones people are proudest of: mortgage-free and long-owned. No mortgage means no lender watching the door. HM Land Registry blocked fraud against £59 million of property last year, but when a case slips through, owners can lose tens of thousands, or the house itself. It made just four compensation payouts all year.

I do not say this from the outside. I have had credit taken out in my name through identity fraud, so I know how violating it is to learn someone has been wearing your name.

This fraud runs on our own complacency. It works because nobody is looking. The cheapest insurance in property is to watch your own title.
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Nouran Moustafa
Practice Principal & IFA at Roxton Wealth
Property fraud is one of those risks people only take seriously after something goes wrong, and that is the scary part. Your home can be your biggest asset, but many owners are doing less security around it than they do around an online shopping account.

I have not personally had a client lose a property this way, but I do think brokers and advisers have a responsibility to raise awareness, especially with landlords, elderly clients, clients living abroad and mortgage-free homeowners. These are exactly the people fraudsters like because there may be fewer day-to-day checks.

The simplest advice is: do not assume ownership is protected just because the property is registered. Use HM Land Registry’s free Property Alert service, keep your contact details updated, and consider a Form LL restriction where appropriate so extra identity checks are required before a sale or mortgage is registered.

Fraud prevention is not paranoia. It is basic asset protection.
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Tracey Dixon
Buy-to-Let Mortgage Specialist & Owner at Pure Mortgage and Protection
Most homeowners worry about interest rates, but few think about property fraud. Yet the consequences can be devastating.
Landlords, mortgage-free homeowners and those living abroad can be particularly vulnerable because there may be fewer day-to-day checks on the property.
As fraudsters become increasingly sophisticated, one of the simplest steps homeowners can take is to sign up for HM Land Registry's free Property Alert service. It takes only a few minutes and could provide an early warning if someone attempts to make changes relating to your property.
Protecting your property ownership should be just as important as protecting the property itself.
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Harry Goodliffe
Director at HTG Mortgages
The scariest thing about property fraud is how few people know it exists. Most homeowners assume that nobody could possibly sell or remortgage their property without them knowing, but fraudsters are becoming increasingly more clever. Simple advice: don't wait until you become a victim to learn about the protections available. A few minutes spent setting up alerts and checking your property's registration details could save years of stress.
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Jamie Elvin
Director at Strive Mortgages
One thing that stands out to me is how little attention property fraud gets compared to other financial risks. People will spend weeks comparing mortgage rates to save a few pounds a month, yet many have never considered how vulnerable their property ownership could be. The reality is that fraudsters don’t need to break into your home — they just need to steal your identity. That’s why simple steps like Land Registry Property Alerts are so important. They take minutes to set up, but could save homeowners a huge amount of stress and financial loss down the line.
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Patricia Ogunfeibo
Founder & non-practicing Solicitor at tenant2owner
As you say, the solutions are simple, and often free of charge, but like most things, a lack of knowledge is the real culprit.

HM Land Registry's alert system couldn't work better. I once asked a solicitor to register something on a property I own; he did it whilst we were speaking, and within the minute the service alerted me to his activity. The alert however, only notifies, buying the crucial time to act, while a free Form LL restriction, will more than likely stop a fraudulent sale or mortgage being registered at all - stopping a property thief in their tracks!

A campaign to inform would go a long way: brokers, lenders and solicitors encouraging customers to register might be a start.

The same logic applies to identity, which is often the gateway to property fraud in the first place. Signing up for a credit reference agency's alert service guards against significant damage on that front, and it's a false economy to refuse the modest monthly fee that secures it.
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Doug Miller
Director at Lansdown Financial Services
As mortgage brokers, we’re often the first line of defence against identity and property fraud. Enhanced ID verification, source-of-funds checks and vigilance around unusual remortgage requests are more important than ever, particularly as AI-generated documents become more convincing.

Many homeowners don’t realise that mortgage-free properties can be the most attractive targets for fraudsters. Every homeowner should sign up for HM Land Registry Property Alert and consider a Form LL restriction – both are simple, low-cost steps that can prevent significant financial and emotional distress.

Fraud prevention is no longer just a legal or conveyancing issue; it’s a key part of protecting clients' wealth and property ownership.