The reports database at www.MortgageFraudWatchList.org is growing faster now. 

The reports consist mainly of:

* Comp check demands where those ordering appraisals will not order or pay  for an appraisal without the predetermined value that makes it illegal for  appraisers to accept.

* Demands for appraisers to ignore deficiencies.

* Demands for appraisers to increase values.

* Demands of partial or full refunds for appraisers not hitting the value wanted.

* Sales found above what they were listed for (not due to a hot market with verified multiple offers).  I have reports coming in from all over the nation now of sales $50,000 to over $500,000 above what they had just been  listed to sell for (but didn’t sell to a legitimate buyer for that lesser amount).

* What the builders are actually offering for concessions / incentives.

* What the condo developers are really offering and doing.

* Names and actions of speculators and/or investors with suspicious deals.

* Any other frauds or scams found by mainly appraisers, but more real estate agents, loan officers, mortgage brokers, processors, closing agents, etc., are starting to file reports here.

All reporters are kept absolutely confidential!!!

At this time, it's free to those who qualify to access the reports.

Those that are approved for access are Federal, State, Local law enforcement and regulators, mortgage fraud investigation firms, Quality Control and/or Fraud departments of Fannie Mae, Freddie Mac, HUD, FHA, VA, and approved funding and/or Federally Regulated lenders. There are a few journalists with access that have guaranteed they will not use the specific addresses reported there, but are using the data to write about the abuses in the mortgage system.

Anyone can report a suspicious activity.  Our reports come from real estate professionals such as appraisers, real estate agents, mortgage personnel including processors, as well as individuals that have been harmed after they found out they were harmed.  All reported incidents here are kept confidential unless the reporter included their personal information in the comments section when they report an incident.

One of the GSEs is calling those MBs demanding comp checks first and issuing a verbal 'cease and desist'.  They are auditing the loan files of MBs that insist on comp checks, including reviewing the appraisals.

I know of numerous investigations started because of the reports I've gathered and provided to those that can do something about it.  I don't even know which address, or even the State, for the letters I receive from HUD about investigations initiated through this.  I know of at least one large fraud ring that is now under indictment through this and at least one fraud ring case that is in court.  I know of numerous investigations that have started from these reports.  Somewhere along the line, every address reported here plus the companies and individuals being reported as being involved in these suspicious activities will be audited.  If not by the funding lender because they didn’t access these reports, then when they try to sell that loan, it will eventually be audited by someone that does have access to these reports. 

I finally found something that is working!  As more appraisers and other real estate professionals add to the reports database, it's becoming more powerful in helping to stop these abuses. 

A national database of appraisers that are competent and ethical, especially for appraisal reviews, forensics, and litigation support, is being built for those that want the truth.  Appraisers that offer and/or do ‘comp checks’ typically are NOT doing legal, USPAP compliant Desktop Appraisals.  Those are the appraisers that should have their appraisal reports fully field reviewed and should be avoided when ordering appraisals.

Supplemental information regarding asking for comp checks prior to ordering and paying for an appraisal can be found here:

http://commerce.appraisalfoundation.org/html/2006%20USPAP/toc.htm

Specifically: AO-19 found here:

http://commerce.appraisalfoundation.org/html/2006%20USPAP/ao19.htm

Certification #18 on ALL the Fannie Mae appraisal forms that appraiser’s sign that they have complied with:

"My employment and/or compensation for performing this appraisal or any future or anticipated appraisals was not conditioned on any agreement or understanding, written or otherwise, that I would report (or present analysis supporting) a predetermined specific value, a predetermined minimum value, a range or direction in value, a value that favors the cause of any party, or the attainment of a specific result or occurrence of a specific subsequent event (such as approval of a pending mortgage loan application)."

When I started asking for the EVIDENCE of the pressures we appraisers are subject to on a daily basis, it was because all my loud mouthed activism was constantly being met with, “Where’s the evidence. We can’t do anything without the evidence.” Now, I’m not going to get very far with this if the only evidence I ever have is just what comes in to me. So, back in June ’06 I started a thread on the AppraisersForum.com asking all of you to send me the evidence.