Not justifying lying or fraud. 

FYI, you must live in the FHA home for one year to avoid mortgage fraud, etc.So depending on your living situation, you being a Westsider in Brighton, search Waterford, but the more premiums will be in Novi, Northville, Plymouth(most inventory).  

I ended up paying $3K in fines and now I am having him prosecuted by the NY Attorney General's Office of Financial Fraud.

He is telling you to commit mortgage fraud.

Did you learn this from some guru or the BP FRAUDS AND SCAMMERS? 

But, once you make your first purchase, you will learn a ton and more importantly take on the identity of an investor.

Is home title fraud a real issue?

First, there is a great deal of fraud circulating around this business.

My main account has over 50k in it at times and I would hate to ever have that account drained by someone even if I could get it returned through fraud.

search here for bank fraud on BP.Being honest w banks is alway best.Using creative financing like sub2 and land contracts can get you on title, then looking to refinance might be better.Finding private lenders using their IRA money avoids banksFinding JV partners for value added rehab deals for a percentage of profits avoid banks.