The defendants admitted to providing lenders with false information on home loan applications, according to a press release from the U.S. attorney's office in Wichita.
Three defendants pleaded guilty to wire fraud, while one pleaded guilty to bank fraud. They each face up to 30 years in prison and a fine of as much as $1 million. Sentencing is scheduled for Nov. 25.
Among the victims were Flagstar Bank in Troy, Mich., the now-defunct Lehman Brothers Bank, and First Tennessee Bank in Memphis.
The four defendants said the scheme was organized by another co-defendant Manjur Alam, a former real estate agent who allegedly recruited a ring of straw buyers and sellers with promises of easy money.
Alam stands accused of conspiracy, wire fraud, bank fraud, money laundering and making a false statement to the Department of Housing and Urban Development.
Two other people also face charges in the case. No information about trial dates was available.