From a reader:

“This happened to a unit in my building, #108 over here at 88 King.

They auctioned it off during the all star game and it went for $840,000.”

From the article:

“Mortgage scams involve a cartel of inside players — colluding property appraisers, real-estate brokers and accountants willing to draw up fake income statements and tax returns — who recruit people with good credit histories to serve as a decoy or “straw buyer” in a real-estate deal.

The conspirators inflate the price of the property, to get the biggest loan possible, pay the sellers the original price and then pocket the excess loan money as “cash back” at the closing of the deal.

The decoy buyer is paid off — often with just $5,000 — and the property is quickly abandoned to foreclosure…”

From theFrontSteps:

Our market and city are immune to all things national. If it doesn’t have to do with San Francisco, disregard it! (Insert sarcasm, or one of these ;-) or a “j.k.” {as in just kidding} or something, so you know we’re not saying, “it can’t happen here”. It can, and it does, as our reader apparently witnessed.)

–Miami Condo at Ground Zero in Mortgage Fraud [Reuters.com]