How real of a threat is title theft ?
What are some safeguards you can take ?
I don’t know how real the threat is…but here is what we do for all of our investment properties. As soon as they are free and clear, we setup a HELOC with one of our many portfolio lenders for 70% ARV with little to no cost. I think you just need something to cloud the title so that it comes up during a title search to prevent it from being sold out from under you. Yes, someone can file a false Warranty Deed with the courthouse but the lien wont be satisfied and it would come up on a subsequent sale. In any case, owners title insurance should be a given nowadays.
We also utilize Land Trusts for obscuring the ownership but that is well beyond the scope of a message board post.
You’ll get a much better protection package with an ALTA or extended title policy.
I never thought of that as a benefit of having a HELOC ! I have one, for repairs, etc., but this is an added benefit. Interesting.