Guide to Real Estate Fraud

Cash back at Closing

Though the action or ploy has been ruled out as illegal for a long time but people simply cannot resist the promise of cash when they do closing deal. The promise of a win-win situation for all concerned is the main bait for such fraudulent activities which is just too good to be true, it often is. The crook can be any of the many players in the home sale game, from the buyer, seller, agent, loan officer and even the lender and the victims can also be either of these individuals. The situation has a seller being called upon by a prospective buyer who gets a loan at a higher rate that what the home is actually worth. Getting additional cost with the loan officer getting a bonus for closing the deal, the real estate agent will get a bonus when the deal closes and before you know it, one of the players, mostly the estate agent, gets away with all the cash vanishing into thin air leaving everybody in disbelief they fell for it.
The scheme is illegal with a hefty jail term along with rising cases of identity theft, it is truly a growing concern for more and more people are getting victimized by such activities. Some so-called straw buyers or people who lend their identities to crooks who actually engage in the fraud of home buying have been caught and are being charged by courts for identity theft and fraudulent activities. Any signs of such activities should be taken seriously and reported to the proper authorities so you can help others who may suffer the same fate.