How Real Is Real Estate Theft?

Richard Montgomery on Feb 17, 2026

Dear Monty: I submitted a land combination form to the county government. I want to combine two adjoining parcels of land. The municipality is now saying that " by law," my wife and I must submit photocopies of our driver's licenses. Is this a law? I don't mind showing my ID to prove who I am, but submitting copies of it, with all the identity theft going on, doesn't sound wise. What can I do to protect myself?

Monty's Answer: Each state regulates the creation or subdivision of land. The state grants the counties within the state additional authority to manage the process and add local ordinances, rules or codes within the county. Every separate parcel or lot has a unique identification (ID) number. The ID number allows for the orderly distribution of property taxes, assessments, municipal improvements and more. They identify the boundaries when property ownership transfers to ensure a clear title and prevent future ownership disputes.

An Inside Job

Identity theft is not easy to accomplish in real estate. Many agencies and businesses in the real estate industry commonly require a driver's license or another form of photo identification. Many title companies will mail a confirmation letter if an owner lives out of state. While stealing someone's identity or falsifying a signature on a deed is rare, it does happen. When it does happen, it can involve a disgruntled or financially desperate family member. Another source of identity theft can come from unscrupulous individuals associated with real estate as a livelihood:

-- A real estate agent

-- A title insurance company (often owned by attorneys)

-- A mortgage lender or broker

The crime could go undetected for years, surfacing when the actual owner attempts to sell their property. The irony in your situation is that the municipality protects you from identity theft by asking for photo identification.

Steps to Consider

No. 1: Consider not combining the parcels. Another Dear Monty article, "Are Savings Possible Combining Adjoining Tax Parcels," discusses the pros and cons of combining two adjoining parcels.

No. 2: Visit the department you spoke to by telephone in person. The purpose is to gather more information about what is involved, including inquiring about the written law. Knowing they keep your driver's license in a paper file rather than a digital one may be a relief. A paper file stored in a drawer with hundreds of others is likely less conspicuous than a searchable digital file.

No. 3: Contact a local registered land surveyor. Depending on your municipality's rules, you may be required to engage a surveyor to verify the boundaries of both parcels. A surveyor may also know if a law requires submitting a copy of your driver's license.

No. 4: Checking out the above suggestions will provide additional insights as to the advisability of combining the two lots and understanding the risks involved. Visit fincen.gov to learn more about real estate fraud. Remember, there are millions of property transfers yearly in the United States. A real estate identity theft conviction is a felony in many states, a hefty fine and an extended vacation behind bars.

Richard Montgomery is a syndicated columnist, published author, retired real estate executive, serial entrepreneur and the founder of DearMonty.com and PropBox, Inc. He provides consumers with options to real estate issues. Follow him on Twitter (X) @montgomRM or DearMonty.com.

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