Deed Fraud 101: How Recording Works and What New Laws Are Doing to Protect Property Owners
California has introduced a new law to help protect homeowners from deed fraud. Starting January 1, 2027, every county must notify property owners whenever certain property documents, like deeds or mortgages, are officially recorded. This helps catch fraud early and adds a new layer of security for property owners.
Understanding Deed Fraud and Why It Matters
Deed fraud happens when someone illegally transfers ownership of your property by recording a fake deed or mortgage. It’s often done quietly, leaving property owners unaware until they try to refinance, sell, or pay taxes. Because of this, California lawmakers passed new rules to alert homeowners as soon as any major document is recorded on their property.
What the 2025 Law Says About Recorder Notifications
According to the 2025 California Land Title Association (CLTA) Summary of Legislation, Senate Bill 255 (Seyarto) requires that, by January 1, 2027, every county in California must create a Recorder Notification Program. This program will notify property owners within 30 days anytime a deed, quitclaim deed, mortgage, or deed of trust is recorded on their property.
The notice will be mailed directly to the parties who signed the document, and counties may also create electronic alert systems. Los Angeles County already has this type of program, so it’s exempt from this new rule. Each county can charge a small administrative fee to cover the cost of sending these notices. This new system provides transparency and an early warning system to fight title and deed fraud throughout California.
How Deed Fraud Works and How This Law Helps
Fraudsters forge the homeowner’s signature on a fake deed, then record it at the county recorder’s office. Once recorded, it looks legitimate on public records, even though it’s fraudulent. This can lead to stolen equity, foreclosure scams, or illegal property transfers.
With the new Recorder Notification Program, property owners will get a mailed alert (and potentially an email or text alert in the future) whenever such documents are recorded. This early notice gives owners time to act before a criminal can sell or borrow against their property.
Quick Reference: California Recorder Notification Program (SB 255)
| Feature | Details |
| Effective Date | January 1, 2027 |
| Applies To | All California counties (Los Angeles County exempt) |
| What It Does | Requires mailed notice within 30 days of recording key property documents |
| Optional Features | Electronic notification programs |
| Who Pays | Small administrative fee charged to recording parties |
Why Realtors and Agents Should Care
As a real estate professional, understanding this law helps you protect your clients and build trust. In Southern California, areas like Ventura, Santa Barbara, Thousand Oaks, Oxnard, Los Angeles, and San Diego are seeing more consumer protections. Agents who educate clients about these changes show they care about long term safety, not just the transaction.
Because of this law, title companies like 805title are preparing to integrate county notifications into closing practices. Working with a trusted title partner ensures every transaction is recorded safely and monitored for potential fraud signals.
What Homeowners Can Do Right Now
Even before the 2027 deadline, some counties already offer property alert programs. Homeowners should contact their local recorder’s office to ask if these alerts are available. Signing up early adds another layer of security for your most valuable asset.
Trusted Advice from 805title
Deed fraud can happen to anyone, but California’s new Recorder Notification Program adds a vital safeguard. By 2027, property owners across the state will receive direct notice anytime a key real estate document is recorded on their home. This proactive step helps stop fraud before it causes lasting damage.
At 805title, we make it our mission to stay ahead of legislative changes like SB 255. Our title experts monitor every recording step to ensure your client’s property rights are fully protected. Whether you’re an agent guiding a buyer or a homeowner safeguarding your investment, we’re here to help you stay secure and informed.
👉 Contact 805title today to learn how our title services help protect your clients from deed fraud and ensure secure, transparent closings.