A New Twist on Owner Occupancy Fraud


Posted To: MND NewsWire

We often hear that there is no such thing as a perfect crime. Perhaps that is why there is always a fraudster trying to improve them. CoreLogic says the newest wrinkle in mortgage fraud is a reverse approach to the old misrepresenting occupancy scam. Traditionally it has been prospective investors who have claimed they intend owner occupancy . By posing as a resident owner they might qualify for a better interest rate, lower fees, a smaller downpayment or higher loan amount than they would by applying for a mortgage as an investor. CoreLogic analyst Willa Wei says there is a rising incidence of home buyers doing the exact opposite – claiming they will be renting out their purchase while actually intending to occupy. This allows them to claim “expected” rental income to satisfy the mortgage…(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

Show Buttons
Hide Buttons