- Miller Samuel Real Estate Appraisers & Consultants - http://ms.clash.outthinkgroup.com -

Fannie and Freddie Now Have To Tell

Its hard to imagine its finally happening, but regulations proposed in early 2005 [1] were just finalized that make Fannie and Freddie now responsible to detect and report mortgage fraud to OFHEO [Office of Federal Housing Enterprise Oversight [Note: PDF]] [2].

This is a first step (albeit tiny) in creating some sort of enforcement activity against mortgage fraud [3] considering the trillions of mortgage dollars under their watch. However, I am not sure what ability they will have to undertake this responsibility.

Now its time to turn attention to state enforcement, to ensure they have adequate budgets to fight appraisal fraud.