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Disclosures in Financing 15

By
Mortgage and Lending with Nationwide Funding Group

Lender Compensation Disclosure

A real estate licensee may NOT recieve compensation for referring customers to an escrow company, pest control firm, home inspection company, or title insurance company. Any compensation recieved would be considered commerical bribery. Any person caught by authorities commiting such acts are subject to a fine and prison time depending on what the law exactly states for this type of offense.

Real Property Loan Law - Article 7 - California

In terms of mortgage loans, the Department monitors certain activites of real estate licensees doing business as mortgage lenders and mortgage brokers. The real estate law requires anyone negotiating a loan to have a real estate license. In the past , abuses have occured in the form of excessive commisions, inflated costs and expenses, the negotiating of short - term loans with massive ballon payments, and misrepresentation or concealment of material facts by agents negotiating these loans. California is a highly regulated state and should be based on the number of homes and the number of mortgage brokers/loan officers out there.  

Comments (1)

George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert
Eddy, we have so many disclosures, that I even have one that discloses that I disclosed, it is crazy
Dec 06, 2006 02:56 PM