State extends funding to fight mortgage fraud

The Washington State Department of Financial Institutions (DFI) announced a five-year extension of the Mortgage Fraud Prosecution fund which reimburses county prosecutors for costs related to the investigation and prosecution of mortgage fraud cases.

“It is crucial to the protection of Washington consumers, and prosecution of those committing mortgage lending fraud, this account continue to be funded,” said Deb Bortner, DFI Consumer Services Director. “Mortgage fraud hasn’t ceased, despite DFI’s vigilant examinations and aggressive pursuit of those who take advantage of homeowners in Washington.”

The account, administered by DFI, is funded with a $1 surcharge assessed at the recording of a deed of trust. DFI uses the account to reimburse county prosecutors for costs related to the investigation and prosecution of mortgage fraud cases.

In the past few years, there have been 38 felony mortgage fraud convictions. Officials “are certain” more are on the way.