Miami Mortgage Fraud Attorneys

What Is Mortgage Fraud?

The FBI defines mortgage fraud as a “material misstatement, misrepresentation, or omission in relation to a mortgage loan which is then relied upon by a lender.” Our Miami mortgage fraud attorneys are prepared to represent lenders, buyers, sellers, appraisers, or other real estate professionals facing these charges. Under federal law, mortgage fraud may be punishable by up to 30 years in prison and up to $1 million in fines. The rest of your life, along with your financial security, could be in immediate jeopardy if you’re charged with this white-collar crime, so do not wait to explore your defense options with our experienced Miami mortgage fraud lawyers. Examples of mortgage fraud include:

1. Inflating an appraisal to obtain a higher mortgage loan. This deceptive practice can occur when a borrower seeks to gain access to more funds than they are eligible for based on the property's true market value.
2. Misrepresenting income or assets. This occurs when an applicant intentionally provides false information or omits crucial details regarding their financial situation to secure a loan they might not otherwise qualify for. Lenders rely on accurate income and asset disclosures to assess the risk associated with providing a mortgage.
3. Posing as a borrower on behalf of another party. This practice, often referred to as "straw borrowing," occurs when someone applies for a mortgage using another person's identity or financial information without their knowledge or consent. The intent is typically to secure loans under more favorable terms or bypass qualifications that the actual borrower may not meet.
4. Equity skimming. Equity skimming is a fraudulent scheme in which a buyer acquires property from an unsuspecting homeowner, often in financial distress, with the intent to profit from the property's equity while leaving the homeowner to face the consequences. Typically, the buyer convinces the homeowner to transfer the title of the property, promising to take over mortgage payments or sell the property for a profit. However, the buyer often neglects the mortgage payments, leading to foreclosure, while they may profit by renting out the property or selling it to another party.
5. Foreclosure prevention and loan modification scams. These scams target homeowners facing financial difficulties, often promising relief from imminent foreclosure in exchange for upfront fees or personal information. Scammers may falsely claim they can negotiate with the lender to lower monthly payments or secure favorable loan term modifications.
6. Illegal property flipping. Illegal property flipping occurs when a property is purchased and then quickly resold at an artificially inflated price, often within a short time frame, without any substantial improvements made to the property. This practice aims to deceive lenders and buyers about the property's true value and market conditions. Flippers often use deceptive appraisals or misrepresent the property's status to secure higher financing, which is then misused to profit from the difference.
7. Air loans. Air loans refer to fictitious mortgage loans that are created without an actual property backing them. In this fraudulent scheme, a lender issues a mortgage based on a non-existent or deliberately misrepresented property, often using fabricated documentation. The intention behind air loans is typically to secure funds from the lender without any real collateral, leading to severe financial losses for the lender when the fraud is discovered.
8. Home equity conversion mortgage (HECM) schemes. HECMs are government-insured reverse mortgages designed to allow seniors to convert a portion of their home equity into loan proceeds while still living in their homes. However, HECM schemes can become fraudulent when individuals exploit these loans by misrepresenting the homeowner's financial situation, manipulating the appraisal process, or targeting vulnerable seniors for predatory practices. In such schemes, fraudsters may convince homeowners to take out a HECM and then siphon off the proceeds, leaving the homeowners unaware of the growing debt against their property.

Put Our Experienced Florida Team on Your Side and Call Today

If you’ve been accused of any type of act or scheme associated with mortgage fraud, you need to move quickly and secure capable legal representation. Our attorneys can take on any type of mortgage fraud investigation or charge at the state or federal level, and we have over 35 years of combined legal experience to apply to your case. 

We have access to investigators, expert witnesses, forensic specialists and other professionals that can help our lawyers fulfill our goal of creating a clear and compelling case on your behalf. Our team knows how to counteract federal investigations and disprove federal charges against seemingly impossible odds. We’re ready to put our experience and resources to work for you.