In Sunrise, an elderly condo owner on Aragon Boulevard applied for a reverse mortgage on a property appraised at $31,000. Gendason, 42, changed the appraisal report to say that the condo was worth $275,000 in order to obtain an inflated reverse mortgage loan, the attorney general’s office alleges. When Genworth paid out the loan, closing [...]
Three South Florida mortgage professionals conspired with a Pittsburgh title agent to defraud senior citizens through a reverse mortgage scam, according to allegations unveiled Wednesday by U.S. Attorney Wifredo Ferrer. Through 1st Continental Mortgage Company, which has offices in Fort Lauderdale and Boca Raton, the group processed 14 reverse mortgages across the country and did [...]
In one of the of the more unfortunate turn of events in the recent history of the Reverse Mortgage, HUD (Department of Housing and Urban Development) has decided to withdraw is subsidies of Reverse Mortgage Counseling for Senior Citizens looking to obtain a Reverse Mortgage. This mandatory service for every Reverse Mortgage applicant will unfortunately [...]
Assistant Special Agent in Charge, Office of the Inspector General (OIG), U.S. Department of Housing and Urban Development (HUD), Michael Stolworthy discusses some HECM Fraud.
The U.S. Department of Housing and Urban Development today announced that its Mortgagee Review Board ( MRB ) is proposing to permanently withdraw the HUD/FHA approval of Financial Mortgage USA, Inc., a Home Equity Conversion Mortgage ( HECM or reverse mortgage ) lender based in Honolulu, Hawaii. HUD’s MRB alleges the Company failed to implement [...]
