Owning multiple properties is common for Texas investors, but keeping a close eye on each one can be difficult. When a property isn't actively monitored, it can create opportunities for bad actors to record unauthorized documents.
In many cases, investors do not discover that a fraudulent document has been recorded against their property until they attempt to sell or refinance, and a title search surfaces something unexpected. ¹ By that point, the process of resolving it is already expensive and time-consuming. ²
What Is Deed Fraud?
Deed fraud is the illegal transfer of a property title through a forged or fabricated document filed with the county clerk.² Once recorded in the public record, the document looks legitimate — and that is precisely what makes it dangerous for real estate investors managing multiple properties across different counties.
Common methods include forged signatures, fake notarizations, stolen identities, and fabricated quitclaim deeds. ³ Fraudsters frequently target vacant investment property, raw land, and properties owned by out-of-state investors or elderly individuals — people who are less likely to notice a suspicious filing right away. ²
Texas's open records system makes property information publicly accessible, which means anyone can look up who owns what — and that information can be misused. For investors with a real estate portfolio spread across Texas, that exposure is multiplied with every property that sits unoccupied or unmonitored. ¹
What Texas Did About It: SB 1734, SB 647, and SB 693
In 2025, the Texas Legislature passed a package of bills aimed at addressing deed fraud from multiple angles. Together, they were described by State Senator Royce West as creating some of the strongest state-level protections against deed fraud and title theft in the country. ²
SB 1734 — A new legal pathway for property owners (effective Sept. 1, 2025)
Before SB 1734, challenging a fraudulent deed typically required formal legal action — a process that was expensive, slow, and financially out of reach for many owners. For real estate investors dealing with title fraud on an investment property, that barrier was a significant obstacle. SB 1734 created a more accessible alternative. ⁴
Under Texas Property Code § 5.0206, a property owner who believes a recorded document fraudulently conveys title may file an owner's affidavit with the county clerk and mail a copy by registered or certified mail to the grantor and grantee named in the disputed document.⁵ If no controverting affidavit is recorded within a set period, the owner may petition the district court for a finding that the document does not convey title, with court filing fees waived.⁴
The court may act based largely on the affidavit and public records, without requiring full adversarial litigation in every case. The court's finding is then recorded, allowing future buyers and lenders to rely on it. ⁴ For investors who need to protect their portfolio and keep transactions moving, this streamlined process may offer a more accessible alternative.
SB 647 — County clerks get more tools
SB 647 gives county clerks stronger authority to scrutinize suspicious filings before they are recorded. Clerks may now request supporting documentation, seek assistance from the district attorney's office, and in certain circumstances, decline to record documents that appear facially fraudulent — all with liability protection for acting in good faith. ²
SB 693 — Notary accountability tightened
A significant number of fraudulent deeds succeed because they exploit the notarization process. SB 693 addresses this directly by creating a criminal offense for any notary who notarizes knowing the signer did not personally appear. That offense is a Class A misdemeanor — elevated to a state jail felony when the document involves the transfer of real property. Notaries are now also required to retain records for 10 years, and new education and continuing education requirements take effect for applications on or after January 1, 2026.⁴
Who Is Most at Risk?
Deed fraud does not target owners at random. Fraudsters look for specific vulnerabilities. ² Vacant investment property and undeveloped land are common targets precisely because no one is living on them or receiving mail there. Inherited and estate properties with gaps in active monitoring are similarly exposed. Real estate investors who own multiple properties across different Texas counties may miss notifications that would alert an owner-occupant immediately, underscoring the importance of title monitoring in managing a growing portfolio.
If your investment portfolio includes any of these property types, the risk profile warrants serious consideration.
How to Protect Your Investment Property Title in Texas
Several Texas county clerk offices — including Harris, Dallas, and Tarrant Counties — offer county-run property fraud alert programs that notify registered property owners by email when a new document is recorded under their name.⁴ For investors managing multiple properties, registering each one for these alerts is one of the most practical and low-effort steps available.
Beyond alerts, regularly searching for each property in the county clerk's online records portal — especially for properties you do not actively manage day-to-day — is a straightforward way to catch issues early. Certain defensive filings, such as affidavits of interest, may also be relevant in some ownership situations, though whether any particular filing is appropriate depends on the specific circumstances. ³
Catching Issues Before They Compound
Deed fraud is a real and growing threat to Texas real estate investors. The 2025 legislative package created meaningful new tools for property owners, but those tools work best when the fraud is discovered early and addressed with proper legal guidance.
If you notice anything unusual in your property records or see a document you did not authorize, contact a Texas real estate attorney to review your situation and explain your options.
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Disclaimer: This website is for informational purposes only and does not constitute legal advice. Do not act or refrain from acting based on anything you read on this site. Use of this site or communication with The Keller Firm does not create an attorney-client relationship.
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