An 'Air Loan' is a sophisticated mortgage fraud scheme wherein a mortgage broker fabricates all the details of a loan on non-existent property and borrower, presenting false documentation to make it appear legitimate.
Appraiser pressure involves unethically requesting an appraiser to provide a valuation that is higher or lower than the property's actual worth.
A backward loan application is a falsified loan document submitted intentionally by a borrower after selecting a property, often to fraudulently boost income and qualify for a loan.
Dual Contract refers to the illegal or unethical practice of providing two different contracts for the same real estate transaction. This is often done to deceive lenders or other stakeholders.
FLIP involves the purchase and immediate resale of property, often within hours or days, aiming for quick profit. It can carry a negative connotation when associated with illegal activities that exploit innocent parties.
Flopping is a fraudulent practice used by fraudsters to undervalue a property intentionally to induce a lender to make a short sale, thereby benefiting the fraudster at the detriment of the property owner and the lender.
Fraud and flipping is an illegal real estate practice involving the purchase and immediate resale of property, typically to deceive and defraud lenders or other stakeholders by inflating the property's value artificially.
Fraud in real estate involves the intentional use of deception for financial gain, leading to losses for another party. Understanding how to identify and address fraud is crucial in protecting one's investment.
Mortgage fraud occurs when a potential borrower or a financial institution makes false representations that distort true financial outcomes, often leading to fraudulent gains or losses.
A nominee loan is a fraudulent loan obtained by concealing the real borrower's identity and substituting it with another person's name and credit rating.
A silent second mortgage is a secondary loan placed on an asset without the knowledge of the primary lender. This practice is common in charitable organizations for down payment assistance or fraudulently to procure higher loan values.
