patrick.net

I agree! I have a trusted friend who is a Realtor- broker and refuses to lie with the rest of them. She told me that she spent 15 years as a salesman with a well known national builder and then followed with ten more years with another large builder. She wanted to undo the evil she was involved in by going out on her own. I will have to get a list from her on the MANY ways that new house buyers are ripped off legally---fine print exceptions that encourage fraudulent and anti-consumer behavior. What did she do with all this inside information? She built a beautiful house with ALL custom and pricy amenities for 20% of the price that the house would sell for. And I thought that Realtors were greedy! Builders are much worse.

Buy new if you: want to live near a construction zone for the next few years; want a backyard barely big enough for a BBQ and a swing chair; want a driveway that is so short your car will bulge out onto the 'sidewalk'; want a narrow "no parking" street (and 3 guest parking spots at the end of the block); want HOA fees that are artificially low and will inevitably be adjusted about a year after all the units sell.

Among the funny things builders do for their show houses: the interior doors are missing; the driveways are landscaped; those tiny little pretend computers they put on the desk (those crack me up).

"Quality Construction" - what a bunch of baloney. It's something we can't challenge (without ripping open the walls or tearing through the floor to see the slab foundation with PVC running through it), and of course the person saying "quality construction" is the sales agent - ever try having a thoughtful conversation with one of them?

LeanneHassett says

We went through the home buying process in the end of 2009. It was the worst experience ever. Even with good credit and everything else in good standing. We looked at a new home several times that said the same thing buy new. They refused to budge in price for a mere offer of $15,000.00 less. They get you in with that gimmick of buy new and then spend the entire time not coming down on their prices at all. Saying new this and new that. Anyway, we left that home and 4 months later they called saying they would take our offer. They are full of it. It has been bad everywhere. The new home market is worse in a lot of ways. They think they are owed more because their homes are new. Needless to say they should be cutting better deals because most of them are losing money when they keep those properties. Most private builders have commercial, high interest construction loans. Realtors are worse than most car salesman. Realtors are under the illusion they are more respected because they took some classes and pay yearly just to keep their license renewed.

So, let me get this straight. You looked at a new house, offered 15K under asking and the owner didn't accept your bid?? The nerve of that guy!!??!!

Seriously--did you expect him start fanning you and feeding you grapes? It's a business deal--he thought he could get more from someone else so he let you walk away. Ulitmately, he was proven wrong and he lost some money for his bad decision. They're not "full of it". They are looking to get the most money for their assets--just like anyone else in a free market society...

Nomograph says

I don’t understand why people get so upset that builders and RE agents market their products. If you go into an electronics store, some dipwad will try to sell you a big screen TV along with HMDI cables at a 5000%

If someone gets tricked into getting a $80 HDMI cable they have lost $70. If someone gets a new house at "market value" they are out $50,000+.

Builder SHELL GAMES--

We have been considering buying, only IF the payment would be about what we are paying to rent anyway, and recently started dealing with a builder because we really fell for a particular new model they were selling, which of course they were advertising at a great price....

I can affirm what most of you are talking about-- Builders truly are ulitmate rip off artists, who will try to subdivide the entire house into pieces, and then try to charge you for those pieces as extra options or upgrades--That is how they make a killing.

In our experience, even with 800+ credit scores, great jobs and 20% to put down, the new "promotions" keep changing, and the whole experience was like doing the Mexican Hat Dance at a used Yugo dealership.
Yes, they are in the peak of what will be their selling season now, so I don't fault them for looking to sell their assets to the highest (and dumbest) buyers-- That just won't be us. Builders make their money on selling you options which are marked up in a HUGE way, and then on top of that, they try to get you to fold them into your loan, so you will be paying interest on those lovely options for the life of your loan!! Congratulations!! you just paid $10,000 for appliances worth $2,000.

Bottom line, with all the inventory sitting on banks balance sheets, plus the millions in foreclosures just around the corner, you would be a FOOL to buy a marked up house from a builder right now. Luckily, we figured that one out, before our housing lust got the best of us!!

MUCH better deals are around the corner. When rates go up--prices come DOWN.

The HARD TRUTH about the residential real estate market:

This is an EXCELLENT wrap up of current and future trends that will influence the housing equation.....

Highly recommended read---

http://www.zerohedge.com/article/hard-truth-about-residential-real-estate

I found that houses 10-15 yeas old look the same and have the same benefits as new. And they have established HOAs, and you get CLUE and SPDS reports, so less worry of building flaws.
If the developement looks good today then maybe it will be stable.

It is a buyers market. Don't feel pressured, there are other houses.
Unless you are looking at a very special, one of a kind house.

As an x Real Estate agent in CA, finding an honest broker is a challenge. Where did their ethics go in serving the buyers/sellers needs? I have a quite simple formula to buy a home. (post note- yes lenders have a formula of pre/post debt ratios. I use mine cause I figure there will be other expenses added to loan, so I use my "one-quarter" rule.)

Here are the TWO Simple Questions to ask prospect.
1. What is your gross monthly income? ($3600).
Now divide that by 4. ($900). Is your mortgage ,taxes & escrow $900/mo. No. THEN DO NOT BUY THE HOUSE.
2. What is the mortgage per month? ($2500)(for simplicity, = PITI). Now multiply that amount by 4. Is your income $10,000/mo. No. THEN DO NOT BUY THE HOUSE.

The problem, as always, desire and Realtor pressure, trump common sense of the buyer.

Note: According to the book 'Sell Now" and what I hear, The Japanese housing market has been in the "sewer" for 20 years +/- and their mortgage rate was 0.25%. Why so long a time. TOO much inventory. So folks, until good jobs return and inventory shrinks and wages go up, do not look for property values to increase. BTW, the book also said that home prices ,generally, have NOT INCREASED since 1890 to 2000 (100 YEARS + ). How so? If one factors IN inflation, ITS A FLAT LINE.
Besides real estate is an item one has to "qualify for". No job, bad FICO, NO HOUSE.

Sorry for the doom n gloom, but its ralaity.

Nope, NOT a free market, because housing is heavily subsidized by the govt (taxpayers' money). Not only federal subsidies and tax credits, (and big tax breaks and bailouts for the industry), but also some states and cities offer housing subsidies. NJ is passing or has just passed a $15,000 tax credit for new home buyers, for example. Housing is nowhere near a free market.

" tatupu70 says

They’re not “full of it”. They are looking to get the most money for their assets–just like anyone else in a free market society…

I don't get upset that companies advertise; I get upset that housing advertising has crossed the line into blatant lying and seriously bad financial advice that ruins people in such numbers that it affects the entire country. I get upset that these press releases are repackaged as news when they are nothing but ads. I was one of the people who saw this coming and didn't buy into it, but everyone is being forced to pay for this mess, not just the people who got suckered into the "buy now" ads.

Nomograph says

CSC says

I don’t understand why people get so upset that builders and RE agents market their products. If you go into an electronics store, some dipwad will try to sell you a big screen TV along with HMDI cables at a 5000% markup, but nobody gets their panties in a wad.
Ultimately, it is YOUR responsibility to be an informed purchaser of whatever it is your buying. You will find that most salespeople drop the spin and pretense once they see that you know what you’re doing.

Agree. And when many, many suckers get taken for large amounts, and then are further tied to that property and end up defaulting, it's not just the sucker who pays, it's all of us. When those who did not partake of the housing mania are forced to pay for these schemes, too, it's no longer a case of a fool and his money being parted, it is IMO a fraud on the whole country. That's why it's a bigger deal than some relatively small rip off from which most times only the sucker suffers.

fredMG says

If someone gets tricked into getting a $80 HDMI cable they have lost $70. If someone gets a new house at “market value” they are out $50,000+.

CSC says

Nope, NOT a free market, because housing is heavily subsidized by the govt (taxpayers’ money). Not only federal subsidies and tax credits, (and big tax breaks and bailouts for the industry), but also some states and cities offer housing subsidies. NJ is passing or has just passed a $15,000 tax credit for new home buyers, for example. Housing is nowhere near a free market.

You can have incentives and still be a free market. When Best Buy gives you a $50 gift card to buy an LCD TV, does that make it not a free market?

Why do you guys hate realtors so much? They are salespeople. They are paid when they make sales. Not by the hour, or by the showing. So, are you surprised that they try to close sales??

Like Nomo said--it is your responisibility to make an informed purchase. Whether it's $0.50 or $500K. Nobody else is going to look out for your best interests better than you...

I would be hesitant to buy new because I'm shocked to see how crappy some 3-5 year old houses look. I would want to learn more about the various siding options and the required paint jobs. I guess I'm a sucker for the old lap siding on one hundred+ year old homes. Plus, I like the solid feeling of old houses.

tatupu70 says

Why do you guys hate realtors so much? They are salespeople. They are paid when they make sales. Not by the hour, or by the showing. So, are you surprised that they try to close sales??
Like Nomo said–it is your responisibility to make an informed purchase. Whether it’s $0.50 or $500K. Nobody else is going to look out for your best interests better than you…

And when you make a bad decision you can just walk away or better yet, get the gubermint to bail you out at the taxpayers expense.

never mind

Leigh says

And when you make a bad decision you can just walk away or better yet, get the gubermint to bail you out at the taxpayers expense.

Huh? Has the government bailed out individual homeowners--if so, I missed that one. And sure--you can always walk away. You will lose your down payment, any priciple payments, and your credit score will take a hit, but it's always an option.

tatupu70 says

Leigh says

And when you make a bad decision you can just walk away or better yet, get the gubermint to bail you out at the taxpayers expense.

Huh? Has the government bailed out individual homeowners–if so, I missed that one. And sure–you can always walk away. You will lose your down payment, any priciple payments, and your credit score will take a hit, but it’s always an option.

HAMP?!?!

Just in our local paper today...

The Making Home Affordable initiative helped 2,346 Portland-area homeowners modify their mortgages by April 30, according to federal data. After a rocky start for the program, the total number of Portland-area families granted new mortgage terms has jumped fourfold since the beginning of the year.

...

The U.S. Treasury committed to spend $75 billion, $50 billion of it from the bank bailout program known as TARP, to help people rework their mortgages and fend off foreclosure.

http://www.portlandtribune.com/news/story.php?story_id=127490804538898500

Downpayment?!?! WTH? Where have you been these past 10 years? Before you know it IO, neg am, and 80/20's will be the norm, AGAIN.

Leigh says

The Making Home Affordable initiative helped 2,346 Portland-area homeowners modify their mortgages by April 30, according to federal data. After a rocky start for the program, the total number of Portland-area families granted new mortgage terms has jumped fourfold since the beginning of the year.

Interesting. As I understood the HAMP program, it was designed to help people work with the mortgage holders to reduce their payments. The mortgage holders take the hit--the government wouldn't be "bailing" anyone out. But, you're right, it mentions $75B cost of the program, so it does seem that the taxpayers are paying for something...

Leigh says

Downpayment?!?! WTH? Where have you been these past 10 years? Before you know it IO, neg am, and 80/20’s will be the norm, AGAIN.

I highly doubt it. Banks/mortgage cos. really dropped the ball in 2003-2007, but I can't imagine they will be that stupid again. If anything, the pendulum has swung to the other side.... Right now, the government is making the vast majority of mortgage loans because private industry is too scared to loan to anyone.

If FHA is making up the majority of home purchases, is walking away from 3% down any big deal especially when you can make that up by sitting in that home rent/mortgage free until the sheriff comes? The back log is so significant we are talking years before we are back to any kind of normalcy and more time will be needed in areas like Florida, Arizona, and Nevada.

Unfortunatley I don't think people really give a rip about their credit score. Filing bankruptcy and sending the jingle mail is just another fact of life. It's rather unfortunate how keeping up with the Jones' has destroyed our country, IMHO.

tatupu70,

I'm pretty sure you know the difference between a $50 gift card from Best Buy and a government bailout.
When you get a $50 discount on a TV, that is just Best Buy lowering the price.

A government bailout is funded by taxpayers, not house sellers.

The real reason the real estate market isn't a free one is that real-estate agents seriously restrict the flow of information about real estate transactions. Truly free markets require availability of information.

Wow, impressive negative sentiment regarding the real estate industry in general which given the times isn't necessarily surprising. Like all prior bubbles before, a lot of people burned and disillusioned. Nothing new under the sun.

With regards to laying much blame at the feet of the evil "builders", like many industries there is a very wide range of residential general contractors that fall into the category of "builders". Large national & regional corporate builders to much, much smaller local builders. They all have their pros & cons. And like most, they're all trying to make a living. Did many of them make lots of money back in the building boom. I would imagine. The smaller guys, probaly not so much. Are there some "bad apples" in the group? Yes, just like every other facet of society.

In the end, people need to take responsibility for their own financial decisions. Educating yourself as to currrent real estate values, future trends and the value offered for sale in both the new and existing real estate markets is the buyers responsibility. When it comes to what is ultimately most peoples' single most expensive purchase in their life, it never ceases to amaze me as to the finger pointing that occurs when a deal goes south and doesn't workout the way a buyer thought it should.

@LeanneHassett - dismayed at the non-acceptance of an offer $15k under the asking price? Big factor is the asking price. Was it 10% less on a $150k home which would consume all of the builder's profit (7-10% being the norm; less in this current environment) ? Or 3% or less on a $500k+ home? Big difference. The latter is much more negotiable. If you happened to be a relentless "tire kicker" viewing the property multiple times, they may have also just wanted you to go away. Nothing personal, just common sense.

@investor90 - so the fact that your realtor friend (or anyone else for that matter) saved 20% building their own home vs. buying one retail makes "builders" greedy? Somehwere in the new home building process the value/cost of supervision, overhead, marketing, closing costs, RE commission and a builders profit need to be accounted for - they are legitimate costs of doing business which collectively consititute upwards of 30%+ markup on new construction. This does not mean the builder made 30% profit on the deal. According to this line of thinking, there could not possibly be any value brought to the table by a builder and his/her contracting experience, purchasing power, established relationships with quality subcontractors, etc., etc. No, they must all be greedy SOBs.

Why is it that I get the feeling that those who appear to be the most disillusioned with the real estate industry as expressed by some the comments on this blog are probably the same people constantly trying to get a "deal"? Like most things in life, you get what you pay for - nothing more, nothing less.

iceweasel says

tatupu70,
I’m pretty sure you know the difference between a $50 gift card from Best Buy and a government bailout.
When you get a $50 discount on a TV, that is just Best Buy lowering the price.
A government bailout is funded by taxpayers, not house sellers.
The real reason the real estate market isn’t a free one is that real-estate agents seriously restrict the flow of information about real estate transactions. Truly free markets require availability of information.

You're right, they aren't the same thing. But my point stands--neither of them deny a free market...

And I also agree about the free availability of information being necessary to be a truly free market in the textbook sense. But, if that's your definition, then I challenge you to find a free market anywhere. Real Estate is just like any other market in that sense--you can look at comparable items and decide how much you think a good is worth. People pay different amounts for the exact same item depending on when/where they buy it. If you want to get a good deal, you have to do your research just like in real estate.

You don't go to a car dealer and assume he will give you a good deal. You don't go to Best Buy expecting them to get you a good deal. Why do you think buying a house is any different?

"Roger Pollock"

Mention that name in Oregon and you are bound to get some one's blood boiling. He has since moved on to building in Baja, Mexico. At least there he can buy off the inspectors/law enforcers if there are any.

"The Lake Oswego homebuilder fell victim to plummeting demand for new homes, which in turn spawned a series of lawsuits and foreclosures, including a $10.7 million judgment in Happy Valley against Buena Vista and its owner, Roger M. Pollock.

The company has been sued for defaulting on loans and for shoddy construction at a condominium it built in Southeast Portland. It also lost a series of semi-developed lots in Southwest Portland to foreclosure."

http://portland.bizjournals.com/portland/stories/2009/08/03/story1.html

Leigh:

are there any nursing jobs in your area for a kick-ass RN who recently moved - husband starting PA school? She's awesome and I'm pissed she quit working with us... but apparently her husband and future are more important... She's very good - has ltc experience and a little acute, I do believe...

Yes, I remember reading about Pollock. There are lots of similar stories all over the country. Jeffrey Miller in KS to name another though he's in jail now. You never see the big building co's owners go to jail; they pay fines which don't affect their bottom line, and which are still just a fraction of the money they made by cheating. The same day that publicly traded builders are in the news for fines, fraud, etc, the investment gurus are still talking about homebuilder stocks as if none of that happened. Fraud has become a way of life. Some good places to read about just how involved the real estate industry is in fraud:

www.mortgagefraudblog.com
www.hadd.com/news
www.fbi.gov particularly this one, saying 80 percent of mortgage fraud is done by the industry: http://www.fbi.gov/publications/financial/fcs_report052005/fcs_report052005.htm

It might not be so obscene if tax payers weren't being forced to continue to subisidize housing and give corporate welfare to these co's. Gee I WONDER why so many people put anyone in real estate right up there w/used car salesmen? Of course there are some good people in real estate, but if they really had any backbone they'd be standing up against this and would've ratted out the cheaters long ago. Instead, like many trade org's they protect their own no matter what, then wonder why their reputation is mud. Talk about taking personal responsibility, corporate America needs to look in the mirror.

Leigh says

“Roger Pollock”
Mention that name in Oregon and you are bound to get some one’s blood boiling. He has since moved on to building in Baja, Mexico. At least there he can buy off the inspectors/law enforcers if there are any.
“The Lake Oswego homebuilder fell victim to plummeting demand for new homes, which in turn spawned a series of lawsuits and foreclosures, including a $10.7 million judgment in Happy Valley against Buena Vista and its owner, Roger M. Pollock.
The company has been sued for defaulting on loans and for shoddy construction at a condominium it built in Southeast Portland. It also lost a series of semi-developed lots in Southwest Portland to foreclosure.”
http://portland.bizjournals.com/portland/stories/2009/08/03/story1.html

CSC says

Talk about taking personal responsibility, corporate America needs to look in the mirror.

That we can definitely agree on...

CSC, and look what just got posted on Calculated Risk.....grrrrrrrrrrrr

H.R. 5409, the Residential Construction Lending Act, would create a new residential construction loan guarantee program within the Department of Treasury to provide loans to builders with viable construction projects. Designed to unfreeze credit for small home building firms, the measure would expand the flow of credit to residential builders on competitive terms.

http://www.calculatedriskblog.com/2010/05/housing-production-credit-crisis.html

And Ellie, not sure what the market looks like. I know the new grads are struggling to find work. We have an opening at my company, they train inexperienced RNs to due dialysis: have her look up Fresenius Medical Care online. I think we have an opening in the acute setting. Is spouse going to school at Pacific U or OHSU? Great that he got in:O)

Leigh says

CSC, and look what just got posted on Calculated Risk…..grrrrrrrrrrrr
H.R. 5409, the Residential Construction Lending Act, would create a new residential construction loan guarantee program within the Department of Treasury to provide loans to builders with viable construction projects. Designed to unfreeze credit for small home building firms, the measure would expand the flow of credit to residential builders on competitive terms.
http://www.calculatedriskblog.com/2010/05/housing-production-credit-crisis.html
And Ellie, not sure what the market looks like. I know the new grads are struggling to find work. We have an opening at my company, they train inexperienced RNs to due dialysis: have her look up Fresenius Medical Care online. I think we have an opening in the acute setting. Is spouse going to school at Pacific U or OHSU? Great that he got in:O)

I'm pretty sure it's OHSU. They're both pups - when she started working with us I was doubtful because she was timid for the first ten minutes... then she became a really great Charge Nurse. I'll tell her. Sorry to hijack the thread. Her name's Michelle - if one is hired & she's from Utah, tell her howdy for me...

CSC says

particularly this one, saying 80 percent of mortgage fraud is done by the industry:

Sorry to hear Congress keeps overlooking that fact time and time again, but they are preoccupied with their mortal enemy again, evil banks.

Yep, agree completely...ultimately, it is the individual buyers responsibility to KNOW how much house they can afford, and also to educate themselves about typical builder gimmicks and shell games, because they WILL try to upsell you on every little thing they can.

That 400K base price will turn into $500 at the closing table in the blink of an eye, so be careful! Also, most of the tme, if you sink a lot of money into upgrades and options--you will NEVER get that money back out of the house if you need to sell anytime soon--

Beware the builder base-prices, even if they include options, and be prepared to end up a whole lot higher than you thought you would--happens every time.

What about the RE agents who spent lots of time driving their clients to see houses and got no where and not getting paid? They have to make a living too.

Yes, an article about that from another site greeted me this a.m. before I had my coffee, now my day's all in a wad. I'll be writing to my state congressmen again. These crooks want the gubbamint to stay out of things except when they want a handout. From what I can tell, any industry you look into lobbies for the same thing-- 'keep big brother out of our business except when we run our co's into the ground and need corporate welfare.' Any individual on actual welfare would probably be found guilty of welfare fraud if they behaved the same as the American co's that have taken handouts then given CEO's huge salaries and perks, thrown half-million dollar parties, etc. Welcome to the Corporate States of America.

Leigh says

CSC, and look what just got posted on Calculated Risk…..grrrrrrrrrrrr
H.R. 5409, the Residential Construction Lending Act, would create a new residential construction loan guarantee program within the Department of Treasury to provide loans to builders with viable construction projects. Designed to unfreeze credit for small home building firms, the measure would expand the flow of credit to residential builders on competitive terms.
http://www.calculatedriskblog.com/2010/05/housing-production-credit-crisis.html
And Ellie, not sure what the market looks like. I know the new grads are struggling to find work. We have an opening at my company, they train inexperienced RNs to due dialysis: have her look up Fresenius Medical Care online. I think we have an opening in the acute setting. Is spouse going to school at Pacific U or OHSU? Great that he got in:O)

When someone has knowingly engages in risky and/or illegal behavior that resulted in damages, it IS someone's fault. Shoddy construction, mortgage fraud, are not acts of God. It's a foundation of law in virtually any society that one pays for one's damages. Corporate lobbying has turned the finger of blame onto their customers, ironically calling them too stupid to avoid scams, while implying they were clever enough to commit massive frauds on the entire country. NOT.

When a business is called on the carpet (civil or criminal) then the real finger pointing begins. It was the customer's fault, the subcontractor's fault, the supplier's fault, the economy's fault...anyone but themselves. Too many people have accepted what appears to be sociopathic behavior as good business practice: http://www.mayoclinic.com/health/antisocial-personality-disorder/DS00829/DSECTION=symptoms

E-man says

Wow,
Here we go again. It’s always someone else’s fault.

CSC says

When someone has knowingly engages in risky and/or illegal behavior that resulted in damages, it IS someone’s fault. Shoddy construction, mortgage fraud, are not acts of God. It’s a foundation of law in virtually any society that one pays for one’s damages. Corporate lobbying has turned the finger of blame onto their customers, ironically calling them too stupid to avoid scams, while implying they were clever enough to commit massive frauds on the entire country. NOT.
When a business is called on the carpet (civil or criminal) then the real finger pointing begins. It was the customer’s fault, the subcontractor’s fault, the supplier’s fault, the economy’s fault…anyone but themselves. Too many people have accepted what appears to be sociopathic behavior as good business practice:

I didn't think this thread was about mortgage fraud or shoddy construction. Those are valid complaints. This thread started by blaming a bad purchase decision on the builder or realtor because they "hyped" it. That is not a valid complaint.

Hype has certainly been where most of these sales start. Unfortunately for many buyers it progressed into after-closing complaints of mortgage fraud and shoddy construction. It's all bundled into the same problem--unethical business practices that the rest of us get stuck w/the bill for.

tatupu70 says

I didn’t think this thread was about mortgage fraud or shoddy construction. Those are valid complaints. This thread started by blaming a bad purchase decision on the builder or realtor because they “hyped” it. That is not a valid complaint.

CSC says

Hype has certainly been where most of these sales start. Unfortunately for many buyers it progressed into after-closing complaints of mortgage fraud and shoddy construction. It’s all bundled into the same problem–unethical business practices that the rest of us get stuck w/the bill for.

I couldn't disagree more. Mortgage fraud is against the law. Hype is a marketing technique. There is a huge difference there.

Yeah! Now is the best time to buy. I heard one of my co worker(who owns) telling the other(who rents), " If you don't buy now you will never be able to buy". This after the fact the guy who owns bought in 2005 and is lucky to have the value remain same as his house is in a very good neighbourhood in LA county.

There's no great chasm between the two, it's a matter of degree, what can be proven, what kind of money/connections the company accused has, whether it's in state or federal court as state laws vary, etc. Only the worst, most provable frauds, of high dollar amounts, are likely to catch the attention of law enforcement. And usually even that doesn't happen unless a bank suffered losses too. Consumers are usually told they're on their own to hire an attorney and fight it in CIVIL court, or cut their losses. When someone's sold a house based on X and at closing the seller/builder delivers Y and it's to the buyer's detriment, sometimes it is fraud, sometimes it's just sleazy. Either way, same point--the industry deserves the 'used car salesman' reputation and has only itself to blame.

tatupu70 says

I couldn’t disagree more. Mortgage fraud is against the law. Hype is a marketing technique. There is a huge difference there.