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Risk of mortgage fraud is on the rise in the current market

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Eric Hill, an Atlanta real estate agent representing a nationwide homebuilder, had a plan to help more than 100 homebuyers get mortgages. The problem: They did not qualify for the loans. 

Hill’s scheme, also enabled by a group of co-conspirators, caught up with him, in part because many of the loans started going south. In the end, some $850,000 in claims had to be paid on defaulted government-backed mortgages insured by the Federal Housing Administration (FHA). 

Hill instructed the homebuyers on how to game the system by submitting fraudulent asset, income and employment information on loan applications. He later details ⇒

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