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There are a number of different types of property fraud. These include adverts for ‘free land’, ‘land banking’ schemes and the sale of ‘titles’ and land. Find out about property fraud, and what you can do if you've paid money into one of these schemes.
Examples of property fraud are detailed below. If you’re a victim of property fraud, contact Land Registry immediately if:
You should also get legal advice and contact the police.
You can get free advice from Citizens Advice. A solicitor can help you but you might have to pay a fee.
If you are thinking about investing in land, question the information you are given and consider getting independent professional advice
Adverts for ‘free land’ are often misleading and inaccurate. The following are examples of the sorts of claims these adverts often make.
Untrue: all land is owned by someone even if:
Untrue: a lot of land is unregistered because it hasn’t changed hands since compulsory land registration was introduced.
Untrue: the true owner could take legal action, claiming trespass and criminal damage. You might also have to pay all their legal costs.
Untrue: for registered land, Land Registry send a notice to the registered owner telling them you are applying to be registered as the owner. The registered owner then has up to two years to reclaim the land.
If you’re looking to invest in plots of land, you should be aware of land banking schemes.
These are schemes where it’s claimed the plots of land on offer have good investment value, usually because of the expectation for future development. However in reality, there is little or no chance of the land in question ever being developed.
For more on the risks involved in buying land that’s part of a land banking scheme, see Land Registry’s public guide 21. The guide includes contact details for organisations that provide independent advice, as well as lists of specialist property solicitors and valuers.
Some websites sell ‘titles’ such as ‘Lord’, ‘Lady’, ‘Earl’ etc. Although the method isn’t always explained, it usually just involves a change of name. For example, ‘John Smith’ to ‘Lord John Smith’. Sometimes you are asked to buy a plot of land and give it a name, for example, ‘Mayfair’.
When the land is registered, documents from Land Registry will show the details of the owner and land. For example, ‘Lord John Smith of Mayfair’. However, this does not mean you have been knighted or become a peer or that you actually own Mayfair in London. They just confirm the details given when the land was registered.