Houston Mortgage Fraud Attorney


houston mortgage fraud attorneyIf you are under investigation or charged with mortgage fraud, contact Criminal Defense Lawyer James Alston at 713-228-1400. According to the Texas Department of Banking, mortgage fraud is committed when a “person intentionally or knowingly makes a materially false or misleading written statement to obtain a mortgage loan.” There are a number of regulatory agencies that investigate mortgage fraud, and mortgage fraud can have both civil and criminal repercussions. A Houston Mortage Fraud Attorney can help fight these repercussions.

The following agencies investigate and prosecute mortgage fraud in the State of Texas:

    • The office of the attorney general;
    • The Department of Public Safety;
    • The Texas Department of Insurance;
    • The Office of Consumer Credit Commissioner;
    • The Texas Department of Banking;
    • The credit union department;
    • The Department of Savings and Mortgage Lending;
    • The Texas Real Estate Commission;
    • The Texas Appraiser Licensing and Certification Board; and
    • The Texas Department of Housing and Community Affairs.

Penalties for Mortgage Fraud in Texas

Texas Penal Code Section 32.32 makes it unlawful to use a “false statement to obtain property or credit or in the provision of certain services.” The penalties for violating this section of the penal code depend on the value of the property. For instance, if the value of the property is $30,000 or more, but less than $150,000, you could be charged with a third-degree felony punishable by up to 10 years in prison and a fine not to exceed $10,000; if the value of the property is $300,000 or more you could be convicted of a first-degree felony.

No matter what the value of the property, you should always hire a knowledgeable mortgage fraud defense attorney because mortgage fraud is a serious crime that can affect your ability to secure a loan, your financial security, and your freedom. You need experience you can trust. You need a criminal defense attorney who understands how state and federal prosecutors prepare and investigate mortgage fraud cases and how they seek convictions.

Understanding Federal Mortgage Fraud

Mortgage fraud is also a federal crime. It is a sub-category of Financial Institution Fraud (FIF). The Federal Bureau of Investigations (FBI) usually investigates all FIF cases perpetrated against federally-insured financial institutions, including banks and mortgage lending companies. According to the FBI, mortgage fraud is “characterized by some type of material misstatement, misrepresentation, or omission in relation to a mortgage loan which is then relied upon by a lender.” The FBI not only investigates mortgage fraud committed by an individual in Houston, Texas but also predatory lenders and groups of investors.

​Types of Mortgage Fraud in Houston, TX

There are two basic types of federal mortgage fraud identified by the FBI, which are as follows:


Fraud-for-Profit is most often perpetrated by “industry insiders.” The ultimate goal of a fraud-for-profit scheme is not to secure housing but to maximize profits. According to the FBI, fraud-for-profit schemes are often a result of collusion by people involved with the loan transaction. These “industry insiders” can include but are not limited to “bank officers, appraisers, mortgage brokers, attorneys, loan originators, and other professionals engaged in the industry.”


Fraud-for-Housing is generally carried out by an individual borrower to secure a property. Mortgage fraud most often committed by individuals involves misrepresenting facts about income, debt, or employment in an attempt to secure a loan. Fraud for housing in Houston, Texas may also occur if a homeowner knowingly presents false information about the condition of a property or its value.

Defending Mortgage Fraud

If you are under investigation for mortgage fraud or have been charged with federal mortgage fraud, you need aggressive representation. You need a leading Mortgage Fraud Defense Attorney in Houston, that understands how federal cases are investigated and prosecuted. Houston Mortgage Fraud Attorney James Alston knows what it takes to win cases against the Department of Justice.

Hire the Right Houston Mortgage Fraud Attorney

Attorney James Alston worked in the Major Fraud Division of the Harris County District Attorney’s Office. He spent countless hours investigating and prosecuting fraud cases. He knows what it takes to defend and win fraud cases. If you are being investigated or prosecuted for mortgage fraud, you need to act fast; your rights and your freedom are in jeopardy. Contact Criminal Defense Lawyer James Alston today for a consultation at (713) 228-1400.