Flashcards in mortgage finance Deck (35)
what is house selling for mortgage fraud?
a con artist selects a house and assumes the identity of the owner by finding personal information on the internet and public records. once they have fake identification, they sell the property and pocket the profits, even while the true owner is living in the house
what is property flipping for mortgage fraud?
the basis for property flipping is an inflated appraised. in the type of mortgage fraud, a property is purchase then quickly resold at much higher value. the home was purchased for $15,000, but within the mouth was sold to someone for $83,000 value. many times the borrower's loan is supported by falsified document, such forged paycheck stubs, fake tax return.
what is equal credit opportunity act (ECOA)?
prohibits discrimination on race, color, religion, national origin, sex, martial status. age or source of income in granting of credit. this act requires that credit application be considered only on the basis of income, net worth, job stability and credit rating. if applicant lenders have 30 days to inform the applicant of the reason why credit was denied.
what is community reinvestment act?
was redlining and disinvestment in central city areas