Mortgage Fraud a Problem, Even in Housing Downturn: FBI

Purpose This Mortgagee Letter (ML) communicates that mortgagee letter 2017-01, reducing mortgage insurance premiums for loans with Closing/Disbursement date on or after January 27, 2017, has been suspended indefinitely. FHA will issue a subsequent Mortgagee Letter at a later date should this policy change.

Mortgage broker Gary works with his appraiser friend to get an inflated value on a house. He then recruits his cousin Bob, who has great credit, to apply for a mortgage on the property, even though Bob is moving to Belize and has no intention of paying off the loan. In this case, Bob could be considered a _____ buyer.