Gallagher & Associates Team

Gallagher & Associates Team

Wednesday, September 29, 2010

Mortgage Fraud Stats

Florida is among the nation's leaders in yet another category.....mortgage fraud.

A predicate to the crisis of bad loans currently defaulting across the country was mortgage fraud in the application and underwriting of loans.

According to federal commission, Florida played a major role in the number of loans with associated fraud. The Financial Crisis Inquiry Commission opened hearings in Miami that focused on liar's loans, predatory mortgage practices and inflated home appraisals.

They concluded that the financial impact of the fraud was more severe than most have estimated, and prosecuting those responsible will be nearly impossible. It was the third of four hearings being carried out nationwide by the commission, which Congress assembled last year to investigate the causes of the global financial meltdown.

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