At Perfect Home Living, we do not arrogate ourselves to be the end all when it comes to mortgage and real estate fraud. But our assessment of loopholes used by criminals and enterprises is second to none.

And why is that?

Because Perfect Home Living gathers information pertaining to real estate fraud from communities, industry professionals, law enforcement and government agencies from around the country and around the world.   

As we move forward Perfect Home Living aims to reveal fraud trends before they become mainstream thereby reducing financial loss, theft and decrease of real estate market values.  Restoring consumer confidence is "Job One" and to achieve this goal, Perfect Home Living will continue to expose industry insiders, those with political influence and those parties acting individually or collectively in frauds and schemes where real estate is involved throughout the United States and abroad.        

The Components That Make Real Estate Fraud Schemes Work--

1. Courtesy Filings from Title Companies: These documents give the illusion or perception of legal legitimacy because they are originated and filed by a title company.  To the untrained eye or to persons with limited understanding of real estate transactions, these types of filings are more than enough to perpetuate the cycle of real estate fraud causing substantial financial losses to mortgage lending institutions.  

2. A Lack of Judicial Review: As foreclosure rescue companies continue to prey upon home owners that face foreclosure often it is junior contracts i.e. rental agreements or lease option to purchase agreements that allow criminal enterprises the ability to evict delinquent borrowers with outstanding mortgages.  This loophole allows for an illegal transfer of property and eventual sale of the home by criminal enterprises.  Losses involving this fraud scenario are catastrophic and occur daily.    

3. Social Engineering:  As financial lending institutions struggle to keep pace with delinquent borrowers, criminal enterprises have stepped up their efforts to manipulate people into performing actions or divulging confidential information voluntarily.  Families anxious to resolve mortgage delinquencies or potential foreclosure volunteer a plethora of financial information to third-parties claiming to help.  In some cases these third-parties use consumer's confidential information to commit acts of identify theft or money laundering activities. 

4. Joint Marketing Ventures (JMVs): This traditionally occurs with new construction projects whereby one individual creates and controls all parties involvement with the real estate transaction i.e. builder, mortgage broker, real estate agent, appraiser, title company, escrow officer, lawyer and financial lending institution.  Real estate transactions involving JMVs present a controlled environment where white collar enterprises can operate freely. 

5. Insider Fraud: As employee wage earnings decrease the temptation by employees to commit some sort of fraud for profit scheme increases.  Access to sensitive information such as delinquent accounts or defaulting mortgagees can afford white collar criminals access to premium real estate opportunities - opportunities that are certainly worth paying for. 

To request Perfect Home Living for training on this or other areas of real estate fraud prevention please click here or email us at trainingschedule@perfecthomeliving.com