Manipulation Of Realtor's MLS May Play Part In Cash Back Mortgage Fraud Scams

The Miami Herald ran a story on Sunday on the possible use of the Realtor's Multiple Listing Service as a tool for fraud. According to the article:

• "[R]eal estate agents say they are sometimes asked to raise the list price of a home. In mortgage fraud cases, that allows a broker to pay the seller at the original list price and keep the rest of the money as cash back at closing."

One member of the Florida Real Estate Commission, who is also managing broker of Coldwell Banker in Coral Gables, Florida says that the practice has become alarmingly common. For more, see Real estate sales listings are easy targets for abuse (Real estate professionals say the Multiple Listing Service can be manipulated by unscrupulous agents).