Carl e. CornwellAttorney at law

2 types of real estate fraud that could leave you facing charges

At some point in your life, someone may have accusingly called you or someone you know a fraud. While such an insult may have had little impact on your life due to the lack of seriousness in the accusation, you could face serious legal trouble if authorities level criminal charges for fraudulent activity against you. Allegations of fraud can have substantial effects if a conviction comes about as a result of legal proceedings.

One type of such activity that some Kansas residents may have found themselves accused of relates to real estate fraud. This area can encompass a variety of actions and can range from simple endeavors to more complicated ventures. However, all types of real estate fraud can come with serious consequences.

Exaggerated selling price

One of the most common actions that individuals carry out relating to real estate fraud involves exaggerating the selling price of the property. Hypothetically, with such a scheme, you would stand accused of creating two settlement statements. In one statement, you would provide the seller of the home with the correct selling price for the property as expected. However, with a second statement, you would give the mortgage lender an exaggerated selling price that results in your gaining a loan for a higher amount that needed.

In many cases, individuals carry out such actions with other parties. As a result, when the mortgage lender provides the exaggerated loan, the group of conspirators split the funds.

Misrepresented loan qualifications

In order to obtain a loan to pay for the property you hope to purchase, you typically must meet certain qualifications. If your credit history may work against you in qualifying for a loan, you may consider altering certain information relating to that area or to your employment history in hopes of appearing more qualified. However, such actions would fall into the category of real estate fraud. Purposeful misrepresentation of facts during real estate transactions will likely always constitute fraud.

Misunderstandings

Unfortunately, you could even stand accused of fraud when you think you have acted in an upstanding manner. Without extensive knowledge of real estate law, you could unknowingly commit a fraudulent act and face criminal charges. No matter the circumstances under which the charges have come about, you have the right to defend against the allegations. Exploring your legal options may help you determine the best manner in which to approach your case.

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Carl E. Cornwell Attorney At Law
142 North Cherry Street, Suite 100
Olathe, KS 66061

Phone: 913-712-0459
Fax: 913-254-7602
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