Kansas License Law

A Kansas licensee who submits a false contract to obtain a higher loan amount (straw buyer scheme) is engaging in:

AA common real estate investment technique
BMortgage fraud — a federal crime that can result in imprisonment and permanent license revocation✓ Correct
CA legal practice if all parties consent
DAn action only prohibited by MLS rules

Explanation

Participating in straw buyer schemes or submitting false contracts to obtain inflated loans is federal mortgage fraud — a serious crime punishable by imprisonment and permanent license revocation.

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