im planning to buy multiple properties and id like to educate myself on fraudulent loans. why? id like to recognize any potential deal that maybe unethical and learn how to avoid committing loan fraud.
any recommended links/websites will be greatly appreciated.
as for now im just collect article bits from a few search engines
defcon,
Rachel Dollar is a lawyer who researchs & reports on mortgage fraud.
Please don’t do it. Honest is more fun anyway.
Good luck,
Ray
i think defcon was asking for advice about what NOT to do.
the ‘just say no’ only works if you know what to say no to!
Mortgage fraud…
My understanding includes…
Attempting to artificially inflate the value of a property.
Withholding material facts from the lender that affects the value.
Making false statements on a FNMA 1003 (income assets liability)
Don’t lie. Don’t conceal. Always disclose. I call it the 3 D’s
Recently some have suggested concealing the transfer of ownership is considered load fraud.
just spoke to a lender the other day for a house i’m closing on in a month. he said that not mentioning that i have a deposit on a house that won’t be built for another 6 months is loan fraud.
i thought it was rather stupid that i disclose that i’m buying another house in 6-8 months but i dont know what the rate will be so i don’t know what the payments will be either.
(i didn’t argue with him. whatever makes him happy)
but is that true?