Training Time: 4 Ways to Uncover Fraud Using Purview For Mortgage Brokers

When using Purview For Mortgage Brokers, the ability to enter a home’s address and have a Property Report generated may feel incredibly simple and easy. This simple report though can be deployed on the front end of a business to identify opportunities, at the application/underwriting stage to learn and even verify a wide range of different data and in the loss/risk management side of the business. This training blog will focus on some key areas of the Property Report that you can pay attention to, to uncover fraud.

1.       Verifying that your client is the homeowner

When representing a client who is refinancing a property, it is always prudent to validate who the homeowner is. You can find this information right at the top of the report in the very first section. Is the property owned by a corporation, is there an owner like a lawyer who is a party to the transaction? These are important questions that the report can easily answer.

2.       Visual property identification

You can review street and aerial imagery to perform a virtual drive-by to ensure that the property looks as described – this can also be found in the first section of the report.

Review the property’s sales history

The second part of the report includes the property’s sales history information which is a valuable tool to identify things like quick flips and large variances in claimed value against what a property recently sold for. Is there a party to the transaction that is listed as a past owner? Is the sale of the property arms-length? Again, important questions that need to be answered.

3.       Avoid fraud by property value

The AVM component in the next section of the report is an excellent way to spot fraud by property value. At a glance, you can validate if the value stated in your application is in line with property sales data.

    4.       Review the property’s financial history

While the equity estimate section is intended to help you estimate equity at a glance, it provides valuable insight into the financial position of the property including registered mortgages, the dates registered and amounts registered. This can help you to suss out fishy transactions or things that your lender may question you on.

Make no mistake: your lender is probably generating a similar report using a system like Purview for Lenders and you will be more efficient and effective in your roll by being one step ahead of the game, not only looking at the report but really assessing the information with fraud awareness and prevention in mind.

By accessing the Property Report available through Purview For Mortgage Brokers, you can easily become better informed and better prepared. Call us today at 1.855.787.8439.