Fraud in Real Estate Transactions

Real estate transactions are fraught with opportunities for fraud. In fact, it seems to happen all the time.

Like-Kind Exchanges

Internal Revenue Code § 1031 provides the procedure for a little-used tax shelter known as a like-kind exchange. In essence, §1031 allows the exchange of business or investment property for other business or investment property of like-kind, with tax-deferral benefits.

Land Installment Contracts

A land installment contract, also known as a contract for deed, is a financing mechanism where title to real property remains in the seller until the buyer has paid the sale price of the property in full. The buyer is required to pay the sale price in installments over a period of years.

Judgment Liens against Property

Once a court reaches a determination that one party owes another party money, the court issues a judgment. A judgment, quite simply, constitutes a judicial determination that one party owes another party money and nothing more. Once a judgment creditor obtains such a judgment, the judgment creditor must undertake efforts to collect the money that is owed by the judgment debtor.

Mortgages -- Satisfaction

When a borrower pays off a mortgage or deed of trust, the lender on the mortgage or deed of trust must record a notice that it no longer holds a security interest in the mortgaged property. The laws governing such notifications vary from state to state, and the laws of each state must be consulted individually for further details. A satisfaction of mortgage may also be known as a release or cancellation.