Title issues can be very stressful for homeowners to navigate. People who believe they have clear ownership rights could face claims by outside parties who insist they have a legal interest in a property. Their ownership could be at risk.
Title claims sometimes arise when real estate sales occur as part of estate administration. The failure to identify beneficiaries could lead to title claims against the owner who acquires the property from an estate. Disputes could also arise in situations involving fraud. The party making the title claim may have purchased a fraudulent interest in the property from a seller who could only provide a quitclaim deed, for example.
Title disputes that have a basis in fraud have become a serious concern in recent years. Technological advances have made it easier than ever before for parties with nefarious intentions to trick and manipulate individuals or even businesses. The use of artificial intelligence (AI) and deepfake technology could potentially lead to fraud and questionable claims to title rights.
How does AI contribute to title fraud?
AI has made it easier than ever for people to create deepfake videos and audio recordings using another person’s likeness or voice. There have already been reports of cases where those seeking to defraud others use images and videos of total strangers to create an AI deepfake template that they use during video calls.
Remote document signings can then occur without the actual property owner ever knowing about a proposed transaction. The fraudster may use images they find online to pose as another party and transfer an ownership interest to a buyer or take out a second mortgage on a property that they have no intention of paying. Such fraud can then lead to foreclosure attempts or title disputes brought by those who purchased an ownership interest from someone who does not actually own the property.
Property owners responding to surprising and questionable title claims may need assistance making sense of another party’s claim and proving the legitimacy of their interest in a property. Securing support as early as possible when facing a title dispute can help those targeted by fraud prove that misuse of AI and/or deepfake technology helped to cause the situation.