How to Watch Out for Mortgage Fraud

How to Watch Out for Mortgage Fraud
There are different types of mortgage fraud and ways to avoid it. Vitalii Vodolazskyi/Shutterstock
Anne Johnson
Updated:
0:00

Mortgage fraud can devastate both individuals and financial institutions. And since a house is most people’s biggest asset, it’s essential to know and watch for red flags when approached by people who want to “help” you with loan modifications or foreclosures.

Mortgage fraud isn’t always committed by criminals. Sometimes, people commit it without realizing it. There are different types of mortgage fraud and ways to avoid it.

Mortgage Fraud Is a Growing Concern

According to HomeBuyer.com, there were 7,587,762 mortgage loan applications in 2023. With this abundance, the Federal Bureau of Investigation (FBI) has recognized mortgage fraud as a significant criminal problem.
Anne Johnson
Anne Johnson
Author
Anne Johnson was a commercial property & casualty insurance agent for nine years. She was also licensed in health and life insurance. Anne went on to own an advertising agency where she worked with businesses. She has been writing about personal finance for ten years.