Author: Mark Wahlstrom, President of Wahlstrom & Associates, specializes in settlement planning, structured settlement annuities, settlement trusts and insurance planning. Mark's offices are located in Scottsdale, AZ and Boston, MA. Mark provides articles and commentary of interest to attorneys, paralegals, judges and settlement professionals all over the United States.
His most recent blog article Mortgage Fraud and crooks in banks? I'm Shocked! was triggered by today's online editon of the Wall Street Journal story - FBI Probes Unusual Incentives for Home Buyers.
In his article he describes how virtually everyone in the booming southwest knew of various schemes to pay off buyers car loans, credit cards, and student loans (so they could qualify for larger loans) . . .but now act shocked!
"The builder however, who built the house on land he bought years prior at cheap prices, flips a property and books a big gain, the broker gets a huge commission on the inflated mortgage loan, often at a higher then normal commission rate as a pay off to look the other way, and the appraiser goes along for the ride as he can plausibly say that "comps in the area" are consistent with the price."
Mark concludes - "If you are in the settlement industry I'd suggest you sharpen up on the mass tort and non-qualified structure area as we are going to see a massive wave of litigation tied to the billions of dollars in losses from these types of criminal lending practices."
Source: Click here for the complete article.
Mark Wahlstrom, President of Wahlstrom & Associates, one of the nations premier specialists in settlement planning, structured settlement annuities, settlement trusts and insurance planning.
Mark's offices are located in Scottsdale, AZ and Boston, MA.
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