We had a similar situation here in Oregon with a complete Real Estate Brokerage firm.

I hope it goes well for you, Jay.  Please let us know if you need help with bail money.

Phil

Jay and Francy,

I do not think this has anything to do with you. Two more honest people are not easily found in this life.

Sharron

That isn't surprising.  What is suprising is that they got caught.  In the Washington, DC metro area there are several builders that REQUIRE a buyer to FIRST qualify with the builder's lender even if the buyer is using another lender.  What many buyer's don't know is that most buyers do not have to agree to this pre-screening.  

Jay,

Phill has quite a sense of humor. FBI presense is strong in my area, plenty of potentials

Jay and Francy,

I have never heard of Beazer Homes.  We have all the major builder's here in Brentwood (Nothern California): Shea, Pulte, KB Home, DR Horton, Etc. who will give incentives to the buyer, such as interest rate buy downs, Closing costs, $50,000 - $100,000 off of the sale price, major upgrades, full lanscaped backyards, etc. ONLY IF THE BUYER USES THEIR LENDER!!!  I just got a buyer looking for a new home and I cannot wait to negotiate with these salespersons from these home builders.   From what I understand, it's illegal to require the buyer to first qualify with the builder's  lender!  

Good to know, they are building in several communities around here, I will be sure to pass this on to all my agents.

Well, if they do it to Beazer they should do it to many others.  I know where there are communities that have high foreclosure rates and those communities where not built by Beazer.  I like to know where the buyer representation was, or is this another lesson in you should get your own agent even when buying a new home.  Of course then I hope they were not purposely led down the garden path for the sale of the home and commission, self serving.  I was in new home sales for several years and I am grateful that my company brought it to the proper someones attention, when excessive high charges showed up on the HUD-1, of of course this was were the agent was also the mortgage broker, so just a little diffferent.

Beazer = 6th largest home  builder in the country.

If you watch the video, this all originated in one area (Charlette, SC I think it was) and could be related to just one mortgage person who works for Beazer... based on one complaint.  You never know.

It's COMMON practice for builders to offer incentives to buyers if they use the builders mortgage company.  No big deal as everyone does it.

There are 2 sides to every story right?

1st: Under RESPA, a builder can NOT require you to use a mortgage company with whom he is affiliated. A builder IS allowed to offer you a discount if you use a specific company. The builder can also pay your closing costs and/or provide an upgrade package at no extra cost. However, the builder can NOT charge you more for the home if you do not use his affiliated mortgage company.

2nd: Phil: 700,000+ comedians out of work and you're trying to be one? Don't quit your night job!

3rd: Good luck in your negotiations with your next new home builder. You'll need it.

4th: I meazly little complaint does not make a good company bad. Not does one bad employee. So the FBI's investigating. No big deal. Get an inditment? THEN it's a big deal. More than 90% of federal indictments get a conviction. And the Feds don't indict people unless they're more than 99.99% sure they'll get a conviction.

I agree with Lew.... Big Issues if there is an inditment!!  

In New Tampa Transeastern Homes is really struggling financially... They are only 1/2 way through a new community build in Live Oak!  This is the one I'm watching, keeping all my clients away from there!

Beazers Response:

http://ir.beazer.com/phoenix.zhtml?c=98372&p=irol-newsArticle&ID=978771&highlight=