Property fraud is not something that most landlords think about day to day… but it is on the rise, with far too many properties still exposed – and not only that, HMO landlords might be particularly at risk…
According to new research conducted by compliance platform Thirdfort, only around 3% of UK properties are signed up for HM Land Registry’s free Property Alert Service. This is despite the scheme having been available since 2013, and despite property title fraud being one of the fastest growing forms of identity crime in the UK.
How does the Property Alert Service work?
Land Registry’s Property Alert Service is straightforward and free to use. Landlords can register up to ten properties, and once registered, they will get an email notification whenever Land Registry receives an application to alter the register.
It means that if someone does attempt to transfer a property into their name, add a mortgage against it, or make any other suspicious change, the property owner will know immediately – and can act before any damage is done.
Why HMO landlords should care…
Certain types of property are more at risk than others:
- Empty homes
- Mortgage-free properties
- Tenanted properties
As a landlord, you certainly tick one of these boxes, but can easily tick more than one. And while you’re busy managing tenants or looking for new ones, sorting out maintenance, and dealing with ever-changing compliance matters (or just the added compliance that comes from owning an HMO in the first place!), the last thing you need is a fraudster trying to ‘sell’ or remortgage your property without your knowledge.
The numbers tell the story
Since the scheme began in 2013, fewer than 900,000 properties have been registered, and whilst registrations peaked at 178,000 in 2022, uptake has slowed again over the last couple of years. There are 28.6 million households in England and Wales – we quite clearly have a long way to go.
Our advice at LEA Property Solutions
For us, when we look at the ‘effort-to-benefit’ ratio, it is just a no brainer. We would recommend that all landlords sign their properties up on the Property Alert Service – and unfortunately, being something that the property owner themselves needs to do, this just isn’t a job that we can do ourselves even where we are tasked as managing agents.
The process itself is quick and pretty painless. It takes a few minutes online, costs nothing, and if a landlord ever were targeted – as remote a possibility as that might seem – it really could save months of stress, legal wrangling, and potential financial loss.
You can register via the link here: HM Land Registry Property Alert
This is not about scaremongering – it’s just about being sensible, when it is as straightforward as it is to go through this exercise.
As landlords, you already face enough challenges with compliance, tax, new tenancy laws coming in, EPC changes on the not-too-distant horizon… not to mention the cycle of letting, remarketing, re-letting…
Property fraud is one area where prevention really is better than cure, and this simple process goes a long way to protecting you and your interests.
Frequently Asked Questions (FAQs) about the Property Alert Service
Is HM Land Registry Property Alert free?
Yes – the service is completely free to use.
How many properties can I register?
You can register up to 10 properties per account.
Does the HM Land Registry Property Alert stop fraud?
Not directly – but it alerts you early, so you can take action before fraud is completed.