If a mortgage starts out with fraud i.e. inflated income on the “original” application and the mortgage is then bought (assigned) to another lender is the assignee liable for purchasing a fraudulent loan and what are the consequences?
1 Answer from Attorneys
Re: RE Mortgage
Not necessarily the assignee, unless somehow they participated (or knew about) the fraud. However, we are intaking a number of these types of cases involving some of the lenders and this practice. It would be best if we spoke. No cost or obligation on your part.