The 10 US Cities That Are Getting Flooded With Mortgage Fraud

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Photo: ap

US housing markets have recovered ground since last year, but guess what: so did mortgage fraud.Mortgage fraud can be committed by borrower or lender to alter mortgage rates.

Identity and income fraud on mortgages are up 20 per cent since last year, according to Interthinx. This indicates a rise in “for profit” fraud, such as property flipping. Other crimes, which are associated with “for property” fraud, are down.

Mortgage fraud flourishes in wild markets, and thus it is highest around bubble hotspots in Florida and California.

#10 Phoenix, Ariz.

60% above average mortgage fraud rating.

6.5% decrease since last year.

11% decrease since last quarter.

Source: Interthinx

#9 Detroit, Mich.

63% above average mortgage fraud rating.

Ranked #2 for occupancy fraud.

35% increase since last year.

11% increase since last quarter.

Source: Interthinx


#8 Reno, Nev.

65% above average mortgage fraud rating.

1.1% increase since last year.

14% increase since last quarter.

Source: Interthinx

#7 Fresno, Calif.

67% above average mortgage fraud rating.

8.5% decrease since last year.

1.7% decrease since last quarter.

Source: Interthinx

#6 Cape Coral, Fla.

70% above average mortgage fraud rating.

9.6% decrease since last year.

7.9% decrease since last quarter.

Source: Interthinx

#5 Stockton, Calif.

71% above average mortgage fraud rating.

Ranked #5 for property valuation fraud.

25% decrease since last year.

12% decrease since last quarter.

Source: Interthinx

#4 Modesto, Calif.

79% above average mortgage fraud rating.

Ranked #4 for property valuation fraud.

9.0% decrease since last year.

9.6% decrease since last quarter.

Source: Interthinx

#3 Vallejo, Calif.

80% above average mortgage fraud rating.

Ranked #3 for property valuation fraud. Ranked #5 for occupancy fraud.

4.2% decrease since last year.

5.3% decrease since last quarter.

Source: Interthinx

#2 Riverside, Calif.

85% above average mortgage fraud rating.

Ranked #2 for property valuation fraud.

15% decrease since last year.

2.5% increase since last quarter.

Source: Interthinx

#1 Las Vegas, Nev.

90% above average mortgage fraud rating.

Ranked #1 for property valuation fraud. Ranked #3 for occupancy fraud.

3.9% increase since last year.

8.5% increase since last quarter.

Source: Interthinx

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