CA AB3108

Expands mortgage fraud definition to prohibit filing documents with county recorders containing material misstatements, misrepresentations, or omissions (changed from "deliberate" misstatement requirement).

Creates new mortgage fraud offense for brokers and loan originators who instruct borrowers to sign business/commercial/agricultural loan documents while knowing proceeds will be used for personal/household purposes, or who cause borrowers to sign bridge loan documents knowing proceeds won't be used to acquire or construct a dwelling.

Prohibits persons originating covered loans from avoiding application of loan regulations by committing mortgage fraud, in addition to existing prohibitions against structuring loans as open-end credit or dividing transactions to evade regulations.

Establishes that mortgage fraud prosecution requires the alleged fraud value to meet the grand theft threshold under Penal Code Section 487.