Sydney real estate figure Tom Panos has warned that some homebuyers may have unknowingly overpaid for properties, amid fears that the alleged "Penthouse Syndicate" mortgage fraud network distorted local property values. Police allege the syndicate paid up to 50 per cent above market value for some homes as part of a scheme that defrauded banks of more than $600 million, with those inflated sale prices potentially feeding into valuations, listing prices and buyer expectations across affected suburbs, particularly in Sydney's affluent east.

Panos explained that under the alleged scheme, buyers would deliberately overpay because banks lend against the inflated contract price, with a portion of the extra funds secretly rebated back to the buyer without the bank's knowledge. Such inflated sales are then recorded on databases like CoreLogic and used by agents, valuers and property websites as genuine comparables, potentially skewing prices for entire streets or suburb medians. Three more people, including a Bankstown accounting firm director and two accountants, were charged last week, bringing the total charged under Strike Force Myddleton to 33, as police continue investigating the alleged network of corrupt solicitors, agents and brokers led by Bing "Michael" Li.