Mortgage Fraud

Birmingham, Alabama Mortgage Lawyers

State and federal law enforcement have targeted banks, real estate investors, and straw buyers in an attempt to crack down on mortgage fraud. Typically, unusual underwriting practices, misinformation on loan applications, and house flipping alert investigators to the possibility of criminal wrongdoing. In the initial stages of an investigation, however, state and federal agents may target individuals who are either innocent or play a minor role in the commission of mortgage fraud.

At the law office of Yearout & Traylor, our attorneys advise and represent individuals charged with or under investigation for mortgage fraud. If brought in early, our attorneys may be able to pre-empt further investigation of our client. Depending on the circumstances of a case, we can protect your rights while providing investigators with information that addresses their concerns and removes further suspicion from you.

If you have been charged or are under investigation for mortgage fraud, contact the law office of Yearout & Traylor today to schedule a confidential consultation to discuss your case.

Allegations of Mortgage Fraud

The law office of Yearout & Traylor represents loan officers, brokers, real estate investors, and homebuyers charged with the following:

• House flipping
• Falsification stated income on loan application
• Over-reporting income
• Failure to report more than one residence
• Departure from standard underwriting methodologies
• Use of, or participation as, a straw buyer

Avoiding Obstruction of Justice Charges

A common mistake on the part of people under investigation for mortgage fraud is the removal or destruction of documents, records, and financial information. As a result, even if a person is innocent, they may still be charged and convicted on obstruction of justice charges. If you are under investigation for mortgage fraud, our attorneys can advise you of your rights and explain what you are required to do in order to cooperate with investigators while avoiding self-incrimination.

Underwriting Errors - Determining Who is Responsible

If investigators discover false information on a loan application the homebuyer or the bank may be accountable. During the subprime mortgage boom, a large number of people were qualified for loans using variable and interest only interest rates. In more than a few instances, banks knowingly inflated income and assets in order to approve borrowers for loans the banks themselves later made money on before bundling them and selling them to investors. On the other hand, real estate investors engaging in house flipping and the use of straw buyers sometimes misreported assets and income in order to qualify for mortgages they knew they could not afford.

Our attorneys review loan applications and the actions of banks, brokers, and underwriters in order to determine who falsified loan information and who should be held accountable.

Contact Mortgage Fraud Attorneys at Yearout & Traylor Today

Our attorneys understand the legal and financial issues involved in cases involving allegations of mortgage fraud. If you're under investigation or have already been indicted, contact Yearout & Traylor today to schedule a free consultation to discuss your case.