Abstract
Reports of mortgage loan fraud grew exponentially in the years leading up to the 2008 financial crisis. We examine simple correlates between mortgage fraud and the economic, credit and loan traits within Atlanta zip codes. First, we find that higher home values and lower rates of owner-occupancy lead to higher levels of fraud. Second, we find that mortgage fraud is not correlated with the proportion of nonbank lenders. Third, we find that higher unemployment rates are positively correlated with higher levels of fraud. Finally, we find no correlation between the historic default rate and the prevalence of mortgage fraud.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
