Can you lie to lending officer?

[Kenny Chen]

Can you lie to lending officer regarding existing seller financing loan that I had and not telling them to applying for mortgage pre-approval. Four years ago, I bought a mix-used building using seller finance and I have only one year left of mortgage to pay off. Recently, I want to buy a multi-family and so I went to bank apply for mortgage pre-approval. Yesterday, she told me that the underwriter is wondering what happened to the home I used to own that I have mortgage interest on my tax return, but she didn't see a mortgage on my credit report. Do I have to tell her the truth? I'm afraid that she might denied my application because of the mortgage loans I have to pay compared how little income I earn. 

[John Burtle]

You're asking if you can lie? Eh, this isn't going to end well. Don't ever lie. You're asking if you can violate federal laws......on a public forum.