As interest rates continue to lower and home values rise, mortgage fraud application risk has fallen 8 point 9 percent from the second quarter of 2014 to the second quarter of 2015, according to CoreLogic's October 2015 Mortgage Fraud Report.
The Mortgage Application Fraud Risk Index showed that approximately 12 thousand 814 of mortgage applications, or 0 point 67 percent, contained fraud in the second quarter of 2015. Last year, during the same time, 11 thousand 100 mortgage applications, or 0 point 69 percent, contained indications of fraud. CoreLogic identifies two factors that are affecting declining fraud risk rate: interest rates and home values.
The Consumer Financial Protection Bureau has announced the finalization of a rule that will improve information about consumers’ access to residential mortgage credit by updating reporting requirements of the Home Mortgage Disclosure Act. The CFPB is working on streamlining and modernizing the submission of the data in order to reduce the reporting burden for lenders.