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Kenneth Harney: Crackdown coming on realty referral deals

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Homebuyers usually don’t have a clue about the existence of under-the-table marketing kickback deals, and they can end up paying hundreds or thousands of dollars extra at closings as a result. But now the federal government’s top consumer protection agency says too many customer referral games being played by some real estate brokers, mortgage lenders and title companies are illegal, and it plans to crack down on them. That’s the gist of an unusual warning issued by the Consumer Financial Protection Bureau about so-called “marketing services agreements” that reportedly are widespread in the real estate and settlement industries. Though there are many variations, a typical deal might work...

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