Post by garrickredmond on Jan 28, 2011 18:55:42 GMT 8
Since the real estate sector has boomed with high level of growth, small property buyers find it difficult to get through the flow. They are facing a big market where so many deals are being made every minute and the market rates are getting higher. Most of such people and even other real estate investors depend upon various financial institutions like banks for loans, and they are supposed to face even more complicated issues. Many real estate brokers are found to be cheating money lenders through air loans which are well planned and real looking. In an air loan which is a mortgage fraud scheme through which many agents are cheating financial institutions and are managing to get a huge amount as loan.
What these mortgage brokers are doing is that they invent a property and a borrower who in fact does not exist at all and defraud money lenders by earning profits on completed loan transactions. In order to create a feeling that the borrower is real, the broker may set up a system of phone banks and mail boxes. These mail boxes and phone banks are used to verify the fundamental details of the borrower such as his employment, home address, credit history, and so on. Also, these fraud systems are used to get the title history and appraisal value of the property to be verified. There are also events reported in Sydney like producing the reports of building inspection as submitted by experts of building consultancy Sydney based building inspection companies offer. Since no one is going to pay the mortgage, the lending bank loses everything because the home they would normally foreclose is something that does not exist at all.
What these mortgage brokers are doing is that they invent a property and a borrower who in fact does not exist at all and defraud money lenders by earning profits on completed loan transactions. In order to create a feeling that the borrower is real, the broker may set up a system of phone banks and mail boxes. These mail boxes and phone banks are used to verify the fundamental details of the borrower such as his employment, home address, credit history, and so on. Also, these fraud systems are used to get the title history and appraisal value of the property to be verified. There are also events reported in Sydney like producing the reports of building inspection as submitted by experts of building consultancy Sydney based building inspection companies offer. Since no one is going to pay the mortgage, the lending bank loses everything because the home they would normally foreclose is something that does not exist at all.
