Virginia Real Estate Continuing Education Courses - VIRGINIA School License: 0211000399
VA 4.0 hours Good Guys/Bad Guys - Who's Who in Mortgage Fraud Course Syllabus
4.0 Elective Hours
What do you do if you have a feeling that something is just not quite right with a transaction? The first thing the agent should do is to stop what they are doing in the transaction and investigate the matter. Careful records should be kept of all conversations, subject matter, date, time, and place. The standard forms state that it is not a violation of the agent's fiduciary duty to a seller-client or a buyer-client to report suspicious mortgage fraud activities. When the listing agreement or the buyer brokerage agreement is signed, the seller/buyer-client has given permission for the agent to report any suspicious activity.
There are many agencies to report suspicious activity to such as the local district attorney’s office, your state attorney general, the FBI, your state’s real estate board, and local law enforcement to name a few. All of these agencies are interested and all of them will listen.
If an agent takes a commission at the closing of a real estate transaction that the agent knew or should have known involved mortgage fraud, the agent is also guilty. Agents are guilty if they suspect mortgage fraud but do not report it. Naivety is not an excuse. The real estate professional can use the information in this course to take precautions to avoid mortgage fraud. This course is a good review for both the seasoned real estate professional as well as the new agent.