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Mortgage Fraud On The Increase.

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i have experienced mortgage fraud myself first hand, and to my knowledge it is still ongoing. it seems to be some estate agents are quite clever at it, here's how it works:

seller sells house for £114995 but will accept £110000

buyer wants house on 100% mortgage

estate agent tells them to put on the mortgage application that the seller is giving a 5% giffted deposit

estate agent tells the seller they will get £110700 and puts up the price on rightmove to £116000

estate agent tells the mortgage company the buyer is paying £116000, when really there only paying £110700

theres was no end of this sort of thing going on in the last few years. it has also distorted the sold price data on the land registry database. i noticed some houses were selling for the asking price, which i thought was wierd, now i know why.

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i have experienced mortgage fraud myself first hand, and to my knowledge it is still ongoing. it seems to be some estate agents are quite clever at it, here's how it works:

seller sells house for £114995 but will accept £110000

buyer wants house on 100% mortgage

estate agent tells them to put on the mortgage application that the seller is giving a 5% giffted deposit

estate agent tells the seller they will get £110700 and puts up the price on rightmove to £116000

estate agent tells the mortgage company the buyer is paying £116000, when really there only paying £110700

theres was no end of this sort of thing going on in the last few years. it has also distorted the sold price data on the land registry database. i noticed some houses were selling for the asking price, which i thought was wierd, now i know why.

gifted deposits and stamp duty paid by seller should be outlawed grrr

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gifted deposits and stamp duty paid by seller should be outlawed grrr

It is against the law. A long time ago I know someone who got a criminal conviction for such a thing.

I think it was for "obtaining a pecuniary advantage by deception" or something weird.

"White collar" crime, its hardly prosecuted. You life will be made a misery if you sneak out of Tesco's with a tin of beans without paying for them though

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It is against the law. A long time ago I know someone who got a criminal conviction for such a thing.

I think it was for "obtaining a pecuniary advantage by deception" or something weird.

"White collar" crime, its hardly prosecuted. You life will be made a misery if you sneak out of Tesco's with a tin of beans without paying for them though

why dont the mortgage companies notice this sort of thing?

Edited by cypher007

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