Final answer:
The term for a common mortgage fraud scheme that involves an appraiser intentionally submitting a misleading report to a lender that indicates an excessive property value is appraisal fraud.
Step-by-step explanation:
The term for a common mortgage fraud scheme that involves an appraiser intentionally submitting a misleading report to a lender that indicates an excessive property value is appraisal fraud.
Appraisal fraud occurs when an appraiser manipulates the valuation of a property in order to defraud a lender or borrower. This can be done by inflating the property value, misrepresenting the condition of the property, or providing false comparable sales.
Examples of appraisal fraud include submitting a falsely high appraisal to secure a larger loan or using an appraiser who is willing to provide a higher valuation in exchange for a kickback or bribe. The term for a common mortgage fraud scheme that involves an appraiser submitting a misleading report to a lender to indicate an excessive property value is commonly referred to as appraisal fraud. This type of fraud can be part of a larger mortgage fraud scheme and often involves the inflation of the property's value to secure a larger loan amount than what the property is actually worth. Appraisal fraud can lead to significant losses for financial institutions and can disrupt the housing market.