Scotsman Guide > News > Top Headlines > News Story

 Enter your e-mail address and password below.

  •  
  •  

Forgot your password? New User? Register Now.

Top Headlines

 
Subscribe icon Subscribe to our weekly e-newsletter, Top News.

California wildfires will increase fraud risk


Last month’s deadly wildfires in California will likely lead to more mortgage fraud, the title insurance company First American Corp. said.

“Unfortunately, on top of the damage to thousands of homes, historical data indicates that natural disasters and loan application defect risk go hand-in-hand,” First American’s Chief Economist Mark Fleming said.  

The Camp fire, which has damaged as many as 19,000 properties, is projected to cause $11 billion to $13 billion in damage, according to CoreLogic. Total losses from the recent Woolsey Fire in Southern California were estimated to be an additional $4 billion to $6 billion.

“As we’ve seen too often, natural disasters create the potential and opportunity for significant misrepresentation of collateral condition,” Fleming said.  After the December 2017 Thomas Fire in Ventura and Santa Barbara Counties, for example, mortgage fraud risk increased dramatically in the Oxnard-Thousand Oaks-Ventura metropolitan area, Fleming said.

“Fraud and misrepresentation risk remained elevated for five months after the wildfire, before trending down again,” he said. “Defect, fraud and misrepresentation risk in the Oxnard metropolitan area, which had been declining prior to the Thomas Fire, has yet to return to pre-wildfire levels.”

First American’s national loan application defect index increased in October over the September level, but was down compared to the October 2017 level. 


 

Questions? Contact at (425) 984-6017 or victorw@scotsmanguide.com.

Bubble 0 Comments

By submitting this comment, you agree to comply with our Terms of Use.



The text exceeds the maximum number of characters allowed.


Are you sure you want to permanently delete this blog comment? This action cannot be reversed.



You must enable your community profile to use this feature.

Cancel Enable profile

You have flagged this post for inappropriate content.

Please explain below. Thank you.

Cancel Submit

Get the latest news and articles from Scotsman Guide straight to your inbox.


Send me the following e-mails:





Learn more about Scotsman Guide e-mails

Thank you for signing up to receive e-mails from Scotsman Guide.

A confirmation e-mail has been sent to the address you provided.

For questions regarding your e-mail subscriptions please contact Circulation@ScotsmanGuide.com or call (800) 297-6061.


Fins A Lender Post a Loan
Residential Find a Lender Commercial Find a Lender
Follow Us:Visit Scotsman Guide Facebook pageVisit Scotsman Guide LinkedIn pageVisit Scotsman Guide g+ pageVisit Scotsman Guide Twitter page
 
 
 
 

 
 

© 2018 Scotsman Guide Media. All Rights Reserved.  Terms of Use  |  Privacy Policy