Look At Both Sides

http://www.miamiherald.com/news/breaking_news/story/333230.html

This Miami Herald story quotes local government officials stepping up to the plate on mortgage fraud. With an ever increasing foreclosure rate in the United States, and a good bit of it caused by out and out mortgage fraud, it seems that every other politician is now crowing about how they will solve and/or clamp down on the problem.

It's about time the penalities for mortgage fraud are increased to be more in line with the devastation this crime brings upon its victims.

There's also a problem on the lending side. Without financial institutions being willing participants in fudging mortgage application numbers, we wouldn't be seeing our economy being dragged down by the real estate debacle. It appears that lenders have been predatory in approving real estate loans based on inflated assessments, incomes and the false belief that housing values would skyrocket forever.

The same politicians hollering about real estate fraud need to take a long look at how lenders have been more than willing participants in what can only be characterized as a fraudulent application and approval process.