One lender discovered that a large percentage of its customers who applied for stated-income loans exaggerated their incomes by more than 50%, according to the Mortgage Asset Research Institute.The unidentified lender sampled 100 of its stated-income loans and checked the borrowers' salaries with the Internal Revenue Service. "Ninety percent of the stated incomes were exaggerated by 5% or more," MARI said in a recent report to the Mortgage Bankers Association. "More disturbingly, almost 60% of the stated amounts were exaggerated by more than 50%." Lenders that don't require income verification are opening the door to fraudsters, MARI warns. "These results suggest that the stated-income loan deserves the nickname used by many in the industry -- the 'liar's loan'."
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The top five producers had an average dollar volume of FHA loans of more than $50 million in 2023.
32m ago -
The tool will provide helpful HELOC-related information to customer support staff to streamline the application process, Figure said Thursday.
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The five states with the lowest property taxes have an average effective real-estate tax rate of 0.44%.
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Ohio-based Liberty Home Mortgage joins several companies who started using a more modernized FICO credit score for nonconforming mortgage originations recently.
April 17 -
The CFPB has dissolved the Office of Supervision, Enforcement and Fair Lending and eliminated the job of associate director in a move that impacts how it designates nonbanks for supervision.
April 17 -
The plan that the Federal Housing Finance Agency floated calls for Freddie Mac to actively invest in some new closed-end seconds as cash-out refinancing subsides.
April 17