- Jan 13, 2002
- Professional Status
- Retired Appraiser
Appraisers that played with investor clubs could end up targets of investigations:
More out-of-towners have reported being stuck with inflated mortgages on houses in low-income Columbus neighborhoods, where they were directed by real-estate investment classes.
A Virginia couple and their Maryland son took the advice of an investment club and bought four homes from Mid-State Homes of Columbus with the help of Summertyme Mortgage of Sunbury.
The family has since sued Mid-State and Summertyme in Franklin County Common Pleas Court, contending that appraisers either negligently or fraudulently inflated the value of the properties so lenders would lend more than they were worth. The defendants then shared in the extra cash, the suit says.
Other defendants in the Brookses' suit are former Mid-State employee Karin Caruso, the Appraisal Group of Columbus and local appraisers Mary Jo Mowery, Leo Rowe Jr. and Joseph R. Colgrove.