Refinancing Home Mortgage
In: Mortgage Loan
16 Jun 2011A cheat more often on the market today is a loan program called “equity stripping.” An owner asked for a home loan or perhaps applies to refinance their homes. A lender is asking the owners to make more money than they can afford to borrow and perhaps “help” by falsifying information on the application process. The lender does this with the hope that the owners default on the loan. If the owner is in default, the lender forecloses on the property, sold the property and maintains the fairness of the house as an advantage.
This is one of the many scams that are currently in the mortgage industry and can be avoided if potential borrowers time to do some research before signing on the dotted line will have to do. Homeowners who refinance their home should the potential lenders before the business is interested to investigate with them. Contact with friends who refinanced or the Better Business Bureau is a good start. Lenders who ask for the blue or knock on your door probably best avoided.
This is about mortgage information questions.
Comments are closed.