What is Mortgage Fraud?

Surprisingly, since the so-called mortgage meltdown of 2008 mortgage fraud has risen exponentially, so much so that the FBI has a dedicated Mortgage Fraud unit within its White Collar Crimes Division. The increase has been attributed to four primary reasons:

1.) Decreased Mortgage Originations

2.) Tighter lending guidelines

3.) Increased Accountability by Lenders to Washington

4.) Reduced Profit Margins on Mortgages

Mortgage Fraud isn’t always as straightforward as it might seem and it can often involve numerous licensed professionals such as loan officers, realtors, attorneys and often willing borrowers acting as straw-buyers. When these professionals are involved in fraudulent behavior the FBI has assigned it a special category called Fraud for Profit. You don’t have to have done something like this to know that it is a serious crime. Police and the goverment are doing all they can to minimise the chances of people committing fraud. With this being said, with the rise of technology and the future of AI, which has potential to improve financial fraud, we hope that this doesn’t become an issue for much longer. No one should have to be a victim of this. Being a victim to financial fraud is devastating as you try to work through your financial crisis, you may want to hire a private investigator to help you come up with a solution to your problem, they are there to support you when you need a helping hand to turn to. If you find yourself in a similar situation you may want to visit a law firm similar to Shakfeh Law as they may be able to help with your case – visit www.ShakfehLaw.com.

Fraud for profit is exactly what it sounds like; it occurs when people collude to commit fraud for the sole purpose of lining their pockets and it generally takes a quasi-criminal enterprise to pull it off. It is not uncommon for this type of fraud to cost banks millions and can devastate entire communities making it one of the worst types of mortgage fraud. Eventually everyone involved, including the willing borrowers wind up either in jail or on the lam. The worst examples can even involve elected officials as in the case of the former Mayor of North Miami Marie Lucie Tondreau, a/k/a “Lucie Tondreau”.

This article was written by ricardocobos

Since relocating from Northern Michigan in 2007 I have lived in Garner (27529) with my wife Melanie and our four children. With personal production of 8MM in real estate sales across Southern Wake County I am considered to be a local market expert in the following communities: Garner (27529), Fuquay-Varina (27526), Holly-Springs (27540), Apex (27502), and Raleigh (27603, 27604, 27606, 27609, 27610)) which spans from downtown Raleigh to Willow Spring including Lake Wheeler. Call or email me, I’m here to help! Ricardo Cobos (919) 526-0183