In a recent article they said that it has increased. They say it's at it's highest level since 2010. But, they did say to keep in mind it was still at relatively very low levels.
Two main reasons? There have been more purchase applications. That's a no-brainer. And, there are more coming from wholesale, which is more likely to have a bit of fraudulent activity.
The likelihood of what types of fraud actions are being done you ask? In a purchase, someone saying they are occupying the property when they are not. Gives them a lower interest rate. Who's the agent doing this? A straw buyer, someone buying for another party because the other party cannot qualify themselves. Again, what agent does this??? And, then, the ever present, income fraud....which I believe is more on the shoulders of the lender, wholesale or not, to be reporting the valid income.
Now, my California pals....we are not in the highest risk for fraud...at this assessment time by CoreLogic.
But, if we are lying on our contracts, lying on our applications, working with someone that lets you lie, or refers you to someone that suggests you fib, that's No Bueno!
Just my thoughts on this Fabulous Friday!
Lauren@KeepYourWitz.com
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