Be wary of appraisers bearing gifts

Answered by:

Question:

Does Section 8 prevent us from accepting Christmas gift from providers such as appraisers and title companies?

Answer:

Gifts are a concern, and not only during the holiday season. The recently issued FAQs allow allows “normal promotional and educational activities” directed to a referral source if the activities meet two conditions:

The activities are not conditioned on referral of business; and
The activities do not involve defraying expenses that otherwise would be incurred by the referral source.

------------------

Learn more about Jack Holzknecht’s RESPA – Section 8 Unearned Fees and Kickbacks Violations webinar.