Broker says "Primary Residence" - Posted by MIsty

Posted by JPiper on March 22, 2001 at 21:12:50:

Technically, this is what’s called lender fraud. You are misrepresenting your occupancy status to a lender. Would your insurance agent have a problem? Yeah, he doesn’t want to write owner occupied policies when you don’t occupy. If he writes a landlord policy, then it throws a question up for the lender. See what happens when a mortgage broker leads you down the wrong path?


Broker says “Primary Residence” - Posted by MIsty

Posted by MIsty on March 22, 2001 at 19:06:00:

I have a problem that I don’t feel too comfortable with and before I do this I would like some advice. I have 2 properties that I’m currently in the process of obtaining. Both properties are investment properties with renters already in them…
I have received the pre-approval letters from both mortgage lenders, I have noticed that on both of them they say that this is my primary residence. I called one of them today because I found it strange that both said that and they are completely different lenders. He said that since I currently had my place on a land contract and that it wasn’t recorded, technically he could consider this property my primary residence. Of course red flags come up! How would I obtain insurance? Wouldn’t my insurance agent question this?
Tomorrow I will have to decide what I need to do, your input would be greatly appreciated…