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ABC Special Report
Investigation: New Home Heartbreak
Trump - NAHB Homebuilders Shoddy Construction and Forced Arbitration

Property Rights Denied!
Protecting HOA Members' Rights is NOT The #1 Priority
of Managed Communities
The High Price of Managed Living, Books and Records Hidden
gives appearances of impropriety
Editorial Feature: Part One - Are Homeowners' Rights a Myth? 

Part Two: HOA Bureaucrats Overstep Their Authority

Home Builder Profits will be Greater
Saturday, 18 August 2012

OPINION
Home Builder Profits will be Greater

Homebuilders have gone where no man would dare to go --- the swamplands, the corn fields, the fertile cow pastures and the water-laden stock tank areas of rural America.  They have stripped the lands of trees and sowed their unsightly-cookie-cutter box shaped homes, blighting the countryside with what many critics refer to as disposable housing.

The history of homebuilding is littered with controversy.  The industry has successfully perfected the art of marketing illusions of not so well-built new homes with emboldened promotions that overstate values of worthless warranties.

Dishonesty proved to be highly profitable on the way to becoming giants of the home construction industry, but proved to be mere pocket change compared to its major roll played in the world market of big time mortgage fraud; proving that crime does indeed pay.  

Once chief economic indicators, Pulte-Centex Homes and D.R. Horton became the overnight darlings of the industry, which created the fastest populated areas in the nation that now stand as unsightly foreclosures and reminders of deceit without accountability.

As Investment Bankers and Wall Street Tycoons are called to answer before Congress, their homebuilding counterparts are conspicuously absent to explain their massive lending fraud that played significantly in the collapse of the nation’s economy.

With federal government financial incentives and influence, the finest lobbyist and attorney’s money could buy, they have become the leaders of how to continually sell defective products and gain enormous profits.

When it comes to defying all good business principles of producing durable and lasting products, the homebuilding industry has truly excelled.  While other businesses fail due to bad products, negative press and their infamous reputations, homebuilders have thrived on the idea that if you make it easy for customers or just build it, they will come, regardless of quality. 

Formula for homebuilding profits and overall success:

    1. Hire the best lobbyist money can buy.
    2. Aggressively pursue privatization of government oversight and regulation.
    3. Continually influence government incentives (money) and innovative financing techniques to qualify new homebuyers.
    4. Target a market that never was – a market of those who cannot afford homeownership.
    5. Target first-time-homebuyers, minorities and young people in their early 20’s.
    6. Cut building cost whenever possible, especially site preparation and foundations.
    7. Build in volume with little attention to quality. Build a house that appears more grandiose and bigger than the buyer’s parent’s home. After all, air space doesn’t cost more if the land is cheap and unsuitable for any other use.
    8. Purchase the cheapest materials in volume.
    9. Use the cheapest possible unskilled labor.
    10. Become an industry leader by building enough substandard homes and eventually the lowest standard will become the generally accepted industry standard.
    11. After the home has been sold, ignore all warranty claims. 
    12. Specify Mandatory Binding Arbitration on pages 2–6 as the only resolution for warranty disputes.
    13. Dedicate 15 pages of the 30 page warranty to “Homeowners Maintenance” responsibility.
    14. Stipulate on pages 22–30 of the warranty that most components of the house are “Exclusions”.
    15. Keep structural costs and warranty services low and the executive bonuses will be greater.
Looking at the bottom line on builders financial statement; ignoring the massive amount of bad press and complaints, who can argue with the giants of the Homebuilding Industry’s formula for success, except their long list of victims.  
 

 Texas, First Home Lemon Law Debated in the Nation
Homebuyers Need a Home Lemon Law

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Reckless Endangerment
BY: GRETCHEN MORGENSON
and JOSHUA ROSNER

Outsized Ambition, Greed and
Corruption Led to
Economic Armageddon


Amazon
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 Feature
Rise and Fall of Predatory Lending and Housing

NY Times: Building Flawed American Dreams 
Read CATO Institute: 
HUD Scandals

Listen to NPR:
Reckless Endangerman
by
Gretchen Morgenson : How 'Reckless' Greed Contributed
to Financial Crisis - Fannie Mae

ATTENTION TAXPAYERS:
 
Pulte-Centex $900 Million Grant
Bad Guys at Countrywide Profit on Mortgage Toxins

NPR Special Report
Part I Listen Now
Perry Home - No Warranty 
Part II Listen Now
Texas Favors Builders

Washington Post
The housing bubble, in four chapters
BusinessWeek Special Reports
Bonfire of the Builders
Homebuilders helped fuel the housing crisis
Housing: That Sinking Feeling

Arbitration Fairness Now!
Sen Feingold, Rep Johnson
Introduce Consumer Justice
 
Senate Passes Franken
Binding Arbitration Amendment
  
   
Public Citizen Report 
Home Court Advantage
 

 (See photos) & Latest News

Judiciary & Civil Jurisprudence
 Arbitration Hearing,
Video of Homeowners
Testimony Advance to 1:55

Arbitration Bill Passes Senate
Four years to fight to get in court is not a day in Court, Jamie Leigh Jones 

 


Legislative
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TEXAS ABOLISHES BUILDERS
PROTECTION AGENCY TRCC
 


Texas Regulates Homebuyers
 
Texas Comptroller Condemns TRCC Builder Protection Agency
TRCC is the punishment phase of homeownership in Texas

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 Sunset Report

IS YOUR STATE NEXT?
As Goes Texas So Goes the Nation
Knowledge and Financial Responsibility are still Optional for Texas Home Builders

OUTSTANDING FOX4 REPORT
TRCC from Bad to Worse
Case of the Crooked House

Perry's Gifts Keep on Talking
Sun Never Sets On Politicians Taking Homebuilder Money

TRCC AN ARRESTING EXPERIENCE
The Pat and Bob Egert Building & TRCC Experience 

Homebuilder's Right-To-Repair Illusion

Builders Looking for Federal Handouts

How Texas Home Building Industry shaped the TRCC to regulate buyers 

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Build it right the first time
An interview with Janet Ahmad

HUD's Broken System
From HUD's Deregulation to Disgrace
Did HUD Secretary Cisneros
 Mastermind Predatory Lending?

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Homebuilding Texas Style
And the walls came
tumblin' down

 Texas Homebuilder
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Texas Homebuyers
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TRCC Abolish or Fix
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POLICYHOLDERS OF AMERICA POLL
82% would not vote back in office any legislator, regardless of party, that is soft on bad homebuilders?

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ARIZONA REGISTRAR OF CONTRACTORS
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Big Money and Shoddy Construction:Texas Home Buyers Left Out in the Cold
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