Fort Lauderdale Mortgage Fraud Lawyer
Mortgage fraud is a serious federal offense. It is responsible for creating financial turmoil locally and globally, and has been the major cause of millions of home foreclosures, the decline in property, and the loss of many families’ assets, according to the U.S. Department of Justice. As such, mortgage fraud carries a very hefty punishment. Mortgage fraud is a crime that is carried out by an omission, purposeful error, or misstatement on a mortgage application loan in order to seek a financial profit or housing. As a fraud, there must have been an attempt to deceive for the purpose of causing harm (financial harm usually) to another. Because of this, accidental omissions or errors should not be charged as a federal crime. If you have been charged with mortgage fraud due to an unintentional error, your mistake should not land you a prison sentence or hefty fine. No matter why the charges are being brought against you, it is in your best interest to seek legal assistance at once. Contact experienced Fort Lauderdale mortgage fraud lawyer Deric Zacca, P.A. today at 954-450-4848 for a free consultation.
The Two Types of Mortgage Fraud Explained
There are two aspects of mortgage fraud. The first is for profit, which is often carried out by those within the industry, such as mortgage brokers, bank officers, appraisers, loan originators, attorneys, those with industry knowledge that hatch schemes to defraud homeowners, and others, according to the Federal Bureau of Investigation (FBI). The second type of mortgage fraud involves individuals seeking the loan, who give misinformation on their loan application, such as the amount of their income, to acquire housing.
Common Mortgage Fraud Schemes
There are seemingly countless ways in which mortgage fraud is carried out. Sometimes, the fraudster may unknowingly provide false information or unwittingly commit fraud. According to the FBI, the following are some of the most prevalent types of mortgage fraud schemes:
- Foreclosure Rescue Schemes: The fraudster contacts homeowners who are in threat of foreclosure or defaulting on their loan, and then has them transfer the deed of their home to an “investor;”
- Loan Modification Schemes: Schemers identify homeowners who are at risk of losing their homes due to delinquent mortgage payments. The schemers request high fees up front to “renegotiate” the loan terms (and never do so); and
- Illegal Property Flipping: A property is purchased and falsely appraised at a much higher rate than it is worth or for which it was bought. It is then sold quickly for a profit. This is a fraudulent act because the information on which is was sold to the defrauded victim was false (the property is worth less than what they were lead to believe).
Other types of common mortgage fraud schemes, according to the FBI, include builder bailout/condo conversions, equity skimming, silent second, home equity conversion mortgage, commercial real estate loans, and air loans.
Contact Us if You Need Assistance Immediately
Mortgage fraud is a very serious federal crime, and is punishable by up to 30 years in prison and $1,000,000 in fines, according to the FBI. Call Fort Lauderdale mortgage fraud defense lawyer Deric Zacca, P.A., today at 954-450-4848 for immediate assistance if you have been charged with any type of mortgage fraud in the Fort Lauderdale area.