Property ownership is one of the most significant investments many people will make in their lifetime. However, a growing threat called property title fraud is causing concern for homeowners. You may have seen advertisements for Title Lock and wondered if it is worthwhile. In this article, we'll explore what Title Lock is, what it costs, and whether it's worth it.
What is Title Lock?
Title Lock is a subscription-based monitoring service designed to alert homeowners to any changes or transfers in their property's title. Unlike title insurance, which protects against past claims and defects in the title, Title Lock focuses on detecting unauthorized title changes as they occur. It does this by regularly reviewing public records and notifying the homeowner if any suspicious activity is detected. However, it does not prevent fraudulent transfers or provide any legal remedy; it simply alerts the owner after the fact. The name implies that your title is locked, which is simply not true.
How Does Title Lock Work?
Title Lock works by continuously monitoring your property title for any changes or filings. Here’s how it operates:
Monitoring: Title Lock keeps an eye on your property records around the clock.
Notifications: If any suspicious activity is detected, such as someone attempting to transfer your title, you receive an immediate alert.
Action: Once alerted, you can take swift action to prevent fraud, such as contacting authorities or legal professionals.
What is the Cost of Title Lock?
Title Lock services typically follow a subscription model. The cost varies but the average cost is around $15/month or $180/year.
Is Title Lock Worthwhile?
Whether or not Title Lock is worth the investment depends on individual circumstances and risk tolerance. Title Lock provides monitoring and alerts for unauthorized changes to a property title, but it does not prevent fraud nor offer insurance coverage. Legal experts often suggest that the incidence of title fraud is relatively rare and can typically be monitored through free methods offering similar safeguards such as checking county records periodically. For example, carefully reviewing your property tax statement can provide at least an annual confirmation that your property is properly titled in your name or the name of your trust. Given its cost, homeowners should carefully consider if the peace of mind provided by Title Lock justifies the expense compared to other protective measures and the rarity of title fraud.
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