Nick Lotito & Seth Kirschenbaum

Former Federal Prosecutors

Free Initial Consultation
404-692-5168Atlanta, Georgia

What is Georgia mortgage fraud?

Prior to the Great Recession, many Georgians were able to become homeowners. Yet, once the housing bubble burst, things rapidly began to change. By 2009, foreclosures and mortgage delinquencies were on the rise. This often led to instances of industry-wide mortgage fraud. Although the housing market is starting to turn around, readers in Georgia may still wonder, "What is mortgage fraud?"

While the following is not legal advice, in general, mortgage fraud occurs when one materially misrepresents, misstates or omits information regarding the home or the buyer, which the lender relies on when making a loan. Such misrepresentations can involve identity theft, false loan applications, inflated appraisals, kickbacks and others. Oftentimes, banks may not realize they have been the victim of mortgage fraud until months or even years after the fact. Many of those who commit mortgage fraud work inside the industry, such as mortgage brokers, appraisers and loan originators.

In general, the Federal Bureau of Investigation goes after two types of mortgage fraud -- fraud for housing and fraud for profit. The FBI often learns about cases of potential fraud through Suspicious Activity Reports created by federally-insured banks. In fiscal year 2003, 6,936 of these reports were filed. Nonetheless, by 2009, that number jumped to over 67,000 reports.

As this shows, the FBI takes mortgage fraud seriously and will not hesitate to prosecute those who allegedly commit it. It is at times like these that anyone accused of mortgage fraud understand their rights. In any criminal case, the prosecution must prove their case beyond a reasonable doubt. If any reasonable doubt remains as to whether the accused committed the crime, a conviction cannot be made.

Source:, "2009 Financial Crimes Report," accessed on Oct. 27, 2014

No Comments

Leave a comment
Comment Information

Get Help Now

If you are facing criminal charges, your future, your freedom and your reputation are all at stake. Get help from our committed and compassionate team. Contact the Atlanta law office of Nick Lotito and Seth Kirschenbaum.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Contact Our Experienced Team

Notable Cases:

» View All Cases

Criminal Law Blog:

Nick Lotito & Seth Kirschenbaum

Former Federal Prosecutors

918 Ponce de Leon Avenue, N.E. Atlanta, GA 30306 Phone: 404-692-5168 Fax: 404-872-1622 Atlanta Law Office Map