Jane

Housing: Playing Games with Appraisals and Value

Thanks for mentioning the builder who's being sued for appraisal fraud. It's not just one builder doing it though. I would not pretend all builders got in on this but many did, including big so-called well trusted co's. I hope to see more investigations and if necessary lawsuits to put a stop to this. I don't think many realize, or admit, the role builders played in the housing bubble and bust, and that it was based on fraud or something darn close to it. To add insult to injury many builders are still advertising they do loans that are risky. And they are lobbying to bring back or create more toxic programs and/or get tax payers to foot the bill for the still overpriced houses. Regardless of what the builders say it costs to build, etc, the fact remains, much of housing is still not in line with incomes. With so many people losing their jobs, having to take pay cuts just to keep a job, etc, it's unrealistic and bordering on a fraud on the whole country, for this industry to keep pushing toxic loans, inflated appraisals, and more junk we tax payers have to pay for, so THEY can profit. It was a mistake to let so much of the economy rest on housing. If you're going to put all your eggs in one basket at least make sure the basket is not built of mud.