6 Types of Mortgage Fraud Are Becoming More Prevalent
Contact me today, 503.953.6240 or whitney@whitneyminnich.com to learn what you can do to help prevent mortgage fraud. 6 Types of Mortgage Fraud Are Becoming More Prevalent September 17, 2018 Mortgage fraud climbed 12.4 percent year over year in the second quarter of 2018, and about one out of every 109 mortgage applications has been found to contain false or misleading information, according to real estate data firm CoreLogic. “Because home prices are rising and demand is strong, most mortgage fraud in this type of market is motivated by bona fide borrowers trying to qualify for a mortgage,” says Bridget Berg, CoreLogic’s principal of fraud solutions strategy. “Undisclosed real estate liabilities, credit repair, questionable down payment sources, and income falsification are the most likely misrepresentations.” Fraud is most common in conforming mortgages with loan-to-value ratios of 80 percent or less, according to CoreLogic. The metro areas with the highest inc...