Home Buying in 19014>Question Details

Amariekins92…, Home Buyer in 19014

Our Realtor gave us the money to put down on our house from his company account had us deposit it into my boyfriends moms account and then had her

Asked by Amariekins92913, 19014 Mon Jul 25, 2011

transfer the money to my boyfriends account. Then we had to write him the check for the 8,000, so he could get his money back. He made us do that whole transaction so that the mortgage lender would see our 8,000 as a "gift". Isn't this against the law? We were first time home buyers. We only had to pay 500.00 towards closing costs and everything. Thier slogan was "We can get you into a house with just 500 down". Isn't this against the law?

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You got the home, you knew what he was doing at the time you went for this home and now you are crying foul, you are as responsible for this crime as he was , you also implicated your Boyfriends Mother as an accomplice, very good, seems we need 4 sets of hand cuffs here, would you like me to report this to the state attorney's office, i can if you like! Deceiving a lending institution for gain of a loan, mortgage Fraud, Money Laundering, Unreported income to the IRS, oh we could go on! Shall I report this incident then for you!
2 votes Thank Flag Link Mon Jul 25, 2011
Thank you for having the intestinal fortitude to regognize the elephant in the room.

I always get into trouble when I do that.
1 vote Thank Flag Link Mon Jul 25, 2011
A genuine gift, meaning no repayment is expected or implied, can help you qualify for a mortgage. But a "gift" that is really a loan in disguise could be problematic or even considered loan fraud, a federal crime with serious consequences.

That distinction, between a genuine gift and loan fraud, is precisely why lenders require a so-called "gift letter" to document that any gift you get is in fact genuine.

Real estate fraud refers to any illegal activity with the purpose of misrepresenting information on a mortgage loan application or other real estate-related documents involving the transfer of money. Real estate fraud is also commonly referred to as mortgage fraud, since the mortgage application is usually where the fraud takes place. Predatory mortgage lending, while it is a dishonest real estate practice, is generally not referred to as real estate fraud, in order to distinguish it from fraud that is committed by a buyer. In the United Sates, real estate fraud can carry heavy penalties, including large fines and imprisonment.

There are many ways in which to commit real estate fraud, especially during times when the price of real estate is on the increase. Some types, because of their simplicity, are seen more often. Others are more complicated and are less common, but no less serious in the eyes of the law.

Some buyers provide a down payment using money that has been given to them as a gift, often from relatives. This is an acceptable way to make a down payment, but if the buyer repays the gift to the person who provided it, that is considered real estate fraud. In order to be legitimate, a down payment that is gifted cannot be repaid. Accidental failure to disclose financial liabilities on a mortgage application is also considered mortgage fraud if it is not remedied before the loan is given.
1 vote Thank Flag Link Mon Jul 25, 2011
You and several others committed bank fraud. You should be consulting a lawyer on what to do before the feds come.
0 votes Thank Flag Link Mon Jul 25, 2011
If you believed it was against the law, why would you go along and participate in such a scheme and why would you pose such a question on an online public forum.....
0 votes Thank Flag Link Mon Jul 25, 2011
I would disclose this information to your Lender & Title Company. Don’t let anyone (i.e., a realtor, mortgage broker) talk you into making a false statement on your loan application, like overstating your income or lying about where your down payment is coming from.
0 votes Thank Flag Link Mon Jul 25, 2011
It is against the law because really the "gift" can only come from a family member. I guess they really wanted to sell you a home and found a loop hole.
0 votes Thank Flag Link Mon Jul 25, 2011
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