Need an argumentative essay on What are the Causes of Mortgage Fraud. Needs to be 2 pages. Please no plagiarism.
Failure to apply the necessary underwriting guidelines comes in the form of deliberately refusing to apply the required mortgage control procedures, which in turn lead to the misrepresentation of facts regarding the ability of the borrower to repay the mortgage. Therefore, inadequate appraisal of the borrower has highly contributed to mortgage fraud, since if it is not done accurately at the initial stages of evaluation, the risks associated may not be identified, until it is too late, and the borrower has already started defaulting on the mortgage repayment (USRMR, 10). Thus, the major problem underlying mortgage fraud is not the provision of inaccurate records by the borrower. Instead, the major contributors to mortgage fraud are inadequate quality control application, poor underwriting practices and poor valuation of borrower’s assets (USRMR, 4).