Saturday, April 16, 2011

Fraud Watch: Fraudclosure Auctions

Just when you thought it couldn't get any worse:

"Properties purchased through Orange County Clerk of Courts foreclosure sales at one price are appearing in the county Property Appraiser’s Office records at a higher price, often tens of thousands of dollars more, according to an Orlando Sentinel review of 16 recent purchases.

"The discrepancy illustrates inherent flaws in a system that apparently allows investors buying up distressed properties to inflate the sale price of their real estate by paying a slightly higher state tax on the sale, commonly known as “documentary stamp tax.” The disparity in prices has gone unnoticed by the three county government bodies with a role in the sale and recording process — until now.

"By having higher sale prices on record with the Orange County Property Appraiser’s Office, investors looking to later unload the properties could mask their profits when they sell the real estate to new buyers.....


2 comments:

TomatoBasil said...
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TomatoBasil said...
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