Free ACAMS CAMS Actual Exam Questions s - Question 5 Discussion
student wants to quickly buy the 800,000 USD home, which is overvalued, despite the
broker'sobjections to the asking price. Which real estate red flags should the broker identify? (Select
Three.)
C, E, F. The overvalued price (C) is a classic red flag for money laundering. The buyer rushing to close fast (F) despite objections also signals something off. Plus, canceling last minute but still pushing to buy quickly shows inconsistency (E). I don’t think anonymity (A) fits here since there’s no info on the buyer hiding their identity, and without payment details, structuring (B) is hard to say. Flow-through (D) usually involves multiple transactions moving money fast, which isn’t evident here either. The key is the overvaluation combined with the rush and inconsistency.
Maybe D fits too—flow through deals often hide money laundering by quickly moving funds through transactions. Since the buyer wants to rush a pricey, overvalued home despite warnings, it could be a flow-through warning. That gives us C, F, and D as solid picks for red flags. The cancellation due to illness also adds some inconsistency, but that might just be a legit excuse rather than a red flag. So I’d say focus on price (C), speed (F), and potential flow through (D).
Maybe A makes sense here too—anonymity could be sketchy if the buyer’s identity or source of funds isn’t clear, especially with a rushed deal and overvalued price. That adds another red flag beyond just C, F, and E.
The quick buy and ignoring broker’s price warnings scream F, C, and maybe E.
C, F, E – overpricing, rushing, and the cancelation inconsistency stand out.
F imo, rushing a big buy usually screams red flag on speed alone.
B, D don’t fit since there’s no money layering or unusual payment flows here.
C, E, and F definitely cover the main concerns here without overcomplicating it.
I’m with the picks of C, E, and F too. The overvalued home hits the value red flag (C), and the buyer’s sudden change of plans plus quick push to buy suggests inconsistency (E) and transaction speed (F). Anonymity (A) doesn’t seem to fit since the buyer is known, and structuring (B) or flow through (D) don’t really match the situation here. The rush combined with price concerns definitely sets off multiple alarms for me.
Option A sticks out to me as a red flag since anonymity often signals something fishy in real estate deals. The buyer’s rush (F) also raises alarms because quick transactions can mean someone’s trying to hide something or push through a shady deal. And since the broker objects to the price, that points to value (C) issues. I’d skip structuring and flow through here, as they feel less relevant to this scenario. The combination of A, C, and F seems solid for identifying potential problems in this case.
Probably C, E, F.