Mortgage Application Fraud
Before you sign a mortgage application or any other loan documents, carefully review them to make sure they are complete and accurate. If you become aware of mortgage fraud, report it.
Video Transcript
Hello. I’m a special agent with the FBI. And this is A Mortgage Minute for the Average Joe. Today’s topic—making sure the mortgage application you sign is complete and accurate. More than half of the mortgage fraud cases we work at the FBI involve fraud on the mortgage application.
There are lies about how much income the borrower makes, where they work and how much debt they already owe. They also lie about who will occupy the house. Income fraud occurs when the borrower overstates his income in order to qualify for a mortgage. This was very common during the past few years as home values dramatically increased and people bought homes they couldn’t afford.
Employment fraud occurs when the borrower lists his employer as a company he doesn’t really work for. In some cases, it’s a fake company all together.
Another type of fraud occurs when the borrower does not disclose all of his financial obligations, including other existing mortgages, car loans or credit card debts on the application.
Occupancy fraud occurs when the borrower states on the application that they intend to live in the home they are buying when it’s actually an investment property.
So before you sign a mortgage application or any other loan documents, carefully review them to make sure they are complete and accurate. If you become aware of mortgage fraud, you are encouraged to contact your local FBI office and report it.
This segment of A Mortgage Minute for the Average Joe has been brought to you by the FBI.
Video Download
Video Source
Recent Video
- 05.12.2025 — FBI Director Kash Patel's National Police Week Message
- 05.07.2025 — FBI New York: Operation Restore Justice
- 05.07.2025 — FBI Cleveland - Operation Restore Justice
- 05.07.2025 — Operation Restore Justice
- 05.06.2025 — FBI's CJIS Division Meets the Mission 24/7
- 05.01.2025 — FBI Columbia Citizens Academy 2025 Recruitment Video
- 05.01.2025 — Inside the FBI Podcast: Transnational Repression
- 04.30.2025 — Ahead of the Threat Podcast: Episode Nine - Meredith Griffanti
- 04.29.2025 — Inside the FBI Podcast: Joint Terrorism Task Forces
- 04.24.2025 — Joint Operation Targets Sextortion Suspects in Nigeria
- 04.24.2025 — Flags at EFCC Office in Lagos, Nigeria
- 04.23.2025 — Inside the FBI Hazardous Devices School
- 04.15.2025 — Retired Detective Barry Berglund Describes Role of FBI Kansas City JTTF
- 04.15.2025 — Retired Special Agent Describes Role of FBI Kansas City JTTF
- 04.15.2025 — Special Agent Jake Foiles Discusses Role of Joint Terrorism Task Force
- 04.15.2025 — Kansas City Detective Describes Role of FBI Joint Terrorism Task Force
- 04.15.2025 — Director of Kansas City Bureau of Investigation Describes Role of JTTF
- 04.11.2025 — Surveillance Video 2 Tesla Charging Station Arson
- 04.11.2025 — Chairs at Oklahoma City Memorial Museum
- 04.11.2025 — Surveillance Video 1 Tesla Charging Station Arson
FBI Weekly Newsletter
Subscribe to our email newsletter for news on the FBI, sent out every week.