And if that wasn’t enough, Mortgage Fraud strikes again…
Filed under: Mortgage Fraud — admin @ 4:40 pm
CNNMoney.com reports: “Mortgage fraud still soaring: A crackdown on underwriting has failed to halt an explosion of fraudulent home loans.”
“With the housing market in turmoil and lending standards tougher than ever, you’d think that the kind of unscrupulous activity that helped plunge the industry into crisis would be a thing of the past.
You’d be wrong. Mortgage fraud is still soaring, according to a new report from the Mortgage Asset Research Institute (MARI), a division of ChoicePoint. (CPS)”
Why is fraud still spiking? The article reports that with the current credit crunch and increased restrictions, fewer and fewer homebuyers are able to qualify for loans without a little innovation. One expert quoted in the article claims that, because mortgage brokers are still paid on commission, we shouldn’t be surprised by these numbers, but offers no solution to the current state of affairs.