“The Post analysis found high foreclosure rates in several communities of one national builder, KB Home. In most cases, the loans for those homes came from KB’s mortgage branch.
In a Northglenn neighborhood built by KB Home, 56 of the original buyers have been foreclosed. Fifty-one, or 91 percent, got their loans from KB’s mortgage company.
In Kentfield, a Thornton neighborhood, 80 of the original buyers have been foreclosed. Seventy, or 87 percent, borrowed from KB’s mortgage company. About half were foreclosed on their original loans, which KB sold to other lenders, and half refinanced before their foreclosures.”
This is the same type of situation that Beazer found themselves in.
Tracking the fraud is easy using computers. Software can easily track Brokers, loan officers, lenders and borrowers who have unusual foreclosure activity. ocrenter is doing a good job on his blog.
But is there the political will to find and prosecute the fraudsters? I doubt it.
In the dallas area, KB built a huge community on a missile test firing range. Kids playing in their back yard found a cold war era missile some with active charges cos they didn’t fire on impact.
Now KB missed that when they put in foundations and did grading … that tells you how 1/2 or 1/4 or 1/8th assed jobs they did or they were paid to not find it …
Honestly, I built a beazer house and it wasn’t bad at all. KB is worse in all respects. So is Centex. I hope they investigate centex atleast in NC. I wanna go over and tell them how shitty their construction is.
Cool.
Cow_tipping.
I’ve been saying that for years. I’ve also been saying that by the time it’s all over the media will be painting it as the fault of appraisers the same way they did with the accountants during Enron and Tyco.
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