Real Estate Attorney In Gainesville, FL
Real estate fraud is one of the most common white-collar crimes in the nation, and Florida is often considered a hotbed of this kind of fraud. Cases of real estate fraud can take many forms and arise from any transactions involving buying, selling, renting, or renovating of real property. Federal and state governments take this type of fraud very seriously. Real estate fraud charges carry severe legal penalties, including hefty fines and the possibility of jail time.
If you or a loved one are facing charges of real estate fraud, it is imperative to seek the services of an experienced defense attorney. For dedicated defense from a knowledgeable criminal defense lawyer, contact Stout Defense, P.A. to request a free case consultation!
What Is Real Estate Fraud?
The criminal offense of real estate fraud can take many different forms but generally occurs when a party involved in a real estate transaction makes false representations of relevant information to the other party of a real estate transaction. For example, a home seller may misrepresent a home's square footage, amenities, or overall state to obtain more money, much to the buyer’s detriment. Real estate fraud also includes one party failing to disclose relevant information to the other party. Real estate fraud can occur at any transaction stage, from the mortgage application to closing a sale or purchase. Real estate fraud can also affect prospective renters if a landlord fails to disclose defects or other problems with a rental property.
Common Types Of Real Estate Fraud
As stated above, the offense of real estate fraud can take many different forms and occur during any stage of a real estate transaction. The following are some of the most common types of real estate fraud.
- Mortgage Fraud. Mortgage fraud is the intentional misrepresentation, misstatement, or omission of relevant information to obtain loan approval or favorable terms from an underwriter or lender.
- Chunking. This scam involves lumping several properties or mortgages together and "selling" them to an innocent buyer. All properties are financed using the buyer's personal information, even though they only know about one property. As soon as the closings are completed, the scammer pockets the money.
- Equity Skimming. This occurs when a person obtains the title to someone else's property, then refinances the property and takes all equity without returning the property to the original owner.
- Refinance Fraud. This fraud occurs when a person knowingly understates income or falsely claims a property as their primary residence as a way of obtaining fin
- Builder Bailouts. A “builder bailout” involves inflated sales prices. An example of this type of scheme occurs when a seller offers large financial incentives to a buyer and facilitates a higher loan amount by increasing the sales price, concealing the incentive, and using a fraudulently inflated appraisal.
- Buy & Bail Schemes. This kind of fraud occurs when a homeowner is current on their mortgage, but the home’s value has fallen below the amount owed, so they borrow money to purchase another home. Then, once the funding for the new home is secured, they default on the first property, allowing it to go into foreclosure.
Penalties For Real Estate Fraud
The legal consequences of real estate fraud offenses vary widely depending on the type of fraud committed and whether charges are being raised at a state or federal level. The following are some of real estate fraud's most common legal consequences.
- Fines
- Restitution
- Prison Time
- Probation
In many real estate fraud cases, the offense is classified as a felony. In cases where the amount is less than $100,000, the offense is considered a third-degree felony, and when the amount exceeds $100,000, the offense is considered a second-degree felony. As the legal consequences of real estate fraud can vary from case to case, it is important to discuss the possible penalties in your case with your defense attorney.
How Our Gainesville Defense Attorney Can Help
If you or a loved one have been charged with real estate fraud, it is of the utmost importance you seek professional legal counsel from a dependable and experienced criminal defense attorney. Adam Stout, our Gainesville defense lawyer, has the experience needed to mount a vigorous defense in any criminal case. As a former prosecutor with extensive legal knowledge, Adam can assist you in contesting your criminal charges. Don't wait — contact Stout Defense, P.A. today to schedule a free, confidential consultation!