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Mortgage Refinance Loan Scams

 

Mortgage Refinance Brokers has been a great asset to homebuyers for many years, even though the market has been rather rocky recently. However, now that is in the midst of the worst recession since the Great Depression, homebuyers can take advantage of the relatively low interest rates and low-priced homes that are available right now real estate market.

Most mortgage brokers will be familiar with the refinance program, but not all offer it. Some mortgage brokers just work for large national banks, charging large fees to take your money and give you a terrible interest rate. Many consumers are disillusioned by this practice, and rightfully so. By using a Mortgage Broker, you can get the same service (lower interest rate and no upfront fees) without taking on additional debt that you didn't need in the first place. Learn more about  mortgage broker, go here  www.e-financemortgage.com.  

Another common type of fraud that homeowners fall victim to is insurance fraud. A homeowner may purchase home insurance at a lower price than the one listed on their mortgage application, or they may falsely claim that the property is "upside down" on their mortgage application in order to get more money from the lender. Insurance fraud is unfortunately a very real and common type of mortgage fraud, and it can actually cost homeowners thousands of dollars. Find out  for further   details on this  website  right here.

If you find yourself in this type of situation, your initial step should be an in depth discussion with your broker. Identify any possible benefits that you might enjoy by pretending to purchase "non-existent" insurance policies. For example, you could pretend to have homeowners insurance that covers the basement, yet you live in a two story house that has no such coverage. This is a very serious situation, and you should have someone representing you explain the situation to you in great detail; you need to be as forthcoming as possible in this case, because the outcome could be very dire. Take a   look at this   link https://www.britannica.com/topic/mortgage    for more  information.

Another scenario is the "simi-simi" transaction. Here, you might be buying a property that you really don't have enough of, but you are applying for mortgage refinance in order to qualify for a better mortgage rate. The seller may not actually have sufficient insurance to protect their interests; they could also be trying to conceal some problems with the property themselves. Again, it's imperative that you discuss these potential benefits with your mortgage broker and make sure that you're both on the same page as far as these deals go.

Fraudsters are becoming increasingly sophisticated at their deception techniques, and as a result, many brokers are not even aware that they have been defrauded. A common trick is for a scam artist to create a fake credit profile in order to apply for a multitude of unguaranteed loans. These are often used by scam artists in order to obtain the maximum number of potential benefits from a given investment, but they can be disastrous if discovered. mortgage brokers can prevent this by requiring applicants to provide a copy of their credit profiles in the online format that these lenders offer. These online calculators are available for free in many cases, so make sure that you're using them instead of the hard copy versions.

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