I just finished reading an insightful article on the CNBC blog about Big Banks Accused of Short Sale Fraud. You can read about it by following the link.
The article is discussing how second lien holders have been taking cash on the side from the real estate agents or the buyers outside of the escrow so that the first lien holder would not know that they were getting paid in order to drop the lien.
That is not legal.
Disclosure, disclosure, disclosure! Everything is to be disclosed. No secrets, no surprises.
Under no circumstances is there to be any compensation from any party that is not listed on the HUD statement.
(RESPA is the Real Estate Settlement Procedures Act, the 2008 law requiring that consumers receive disclosures at various times in the transaction. It outlaws kickbacks that increase the cost of settlement services. RESPA is a HUD consumer protection statute designed to help homebuyers be better shoppers in the home buying process, and is enforced by HUD. Read more about it here.).
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If at anytime I can be of service, please don't hesitate to call me. Sincerely,
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Chrystina Tovani, Mortgage Advisor MLO 241089, Stanford Mortgage Sacramento, California Mortgage Advisor, Chrystina Tovani Please note that all information is time and date sensitive. The real estate and mortgage industry changes daily. All thoughts and opinions expressed on my blogs are not necessarily those of my past or present brokers or employers. All information is deemed reliable but not guaranteed. Unless otherwise stated, photos used on this site are my own or from BigStockPhoto.com Copyright © 2010 Chrystina Tovani |
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