Mortgage, Finance, and Anti-Money-Laundering Compliance
Mortgage Basics
Understand loan-to-value (LTV) limits, which differ for residents vs non-residents and for first vs subsequent homes, and for off-plan vs ready property. Know the mortgage process: pre-approval, valuation, offer, mortgage registration on the title, and the developer/bank NOC. Distinguish fixed vs variable rates, and understand early-settlement fees and life/property insurance requirements.
AML Obligations
Brokers are reporting entities. They must perform customer due diligence (identify and verify buyer, seller, beneficial owner), conduct enhanced due diligence for high-risk or politically exposed persons, monitor transactions, keep records, and report suspicious transactions to the Financial Intelligence Unit. Cash transaction thresholds and source-of-funds checks apply. Do not tip off the client that a report was made.
Traps
Questions often suggest a broker may ignore the source of funds if the client is well known - familiarity is not verification. Another trap: assuming a mortgage is valid merely because signed; it must be registered. Watch for LTV errors (treating non-resident limits as resident limits) and for "structuring" cash payments to avoid thresholds.
Rule of Thumb
"Know your client, know the money, and register the mortgage." If funds or ownership are unclear, stop and escalate; never complete to avoid awkwardness.