Over the next three Thursdays, we’re covering one topic that almost every homeowner has, almost nobody fully understands, and that can cost you thousands of dollars if you get it wrong—insurance.
This week, we start with a question that sounds unbelievable—but recently happened right here in Ontario.
Can Someone Really Steal Your House? The Truth About Title Insurance
It sounds impossible.
A daughter forged her parents’ signatures, transferred ownership of their mortgage-free home into her own name, borrowed $760,000 against it, and used much of the money to pay off the mortgage on her own home.
Her parents only discovered the fraud when a property tax bill arrived showing their daughter as the registered owner.
Fortunately, the Ontario courts restored ownership to the parents and discharged the fraudulent mortgage. But the case serves as a powerful reminder that title fraud is real—and that title insurance can make all the difference.
Here are three things every homeowner should know.
1. Title Insurance Protects Against Risks That Even the Best Lawyer Cannot.
One of the most common questions we hear is:
“If my lawyer checked title, why do I need title insurance?”
The answer is simple.
Your lawyer provides a professional opinion based on everything that exists on title at the time of closing.
No lawyer can predict someone forging your signature years later.
Title insurance protects against many risks that cannot be discovered during a title search, including:
- Title fraud and forgery
- Identity theft involving your property
- Unknown title defects
- Survey and encroachment issues
- Certain zoning and permit problems
- Registration errors
- Some unpaid utility liens and work orders
Unlike legal fees, title insurance is generally a one-time premium paid when you purchase your property, and the coverage continues for as long as you own it.
For most homeowners, the premium is only a few hundred dollars.
2. The Recent Ontario Fraud Case Shows Why Title Insurance Matters.
Earlier this year, Ontario courts decided one of the most shocking real estate fraud cases in recent memory.
A daughter forged documents transferring her parents’ mortgage-free home into her own name before obtaining a $760,000 mortgage against the property.
The parents had absolutely no knowledge of what had happened.
The courts ultimately restored ownership to the parents, discharged the fraudulent mortgage, and ordered the daughter to pay significant punitive damages.
While justice prevailed, not every fraud victim is so fortunate.
Title fraud continues to occur across Ontario, and title insurance remains one of the most effective protections available to homeowners against many of the financial consequences of fraud and forgery.
3. It’s Never Too Late to Purchase Title Insurance.
Many homeowners mistakenly believe title insurance can only be purchased when they buy their home.
Fortunately, that’s often not the case.
If you purchased years ago without title insurance, you may still be able to obtain a homeowner’s title insurance policy.
Considering the rise in identity theft and sophisticated mortgage fraud, obtaining coverage—even years after purchasing your home—may provide valuable peace of mind.
It’s worth discussing with your lawyer or insurance broker.
Practical Tips
• Ask your lawyer what your title insurance policy actually covers—and what it doesn’t.
• If you bought your home years ago without title insurance, ask whether a homeowner’s policy is available.
• Protect your personal information—many title fraud cases begin with identity theft.
• Keep your title insurance policy with your important property documents so it’s easy to access if you ever need to make a claim.
Dig Deeper
CanLII – Sanasie v. Chateramdas, 2026 ONSC 1599