Broker Denies That Agents Avoid Deal Killers

[hausdok]

In his column, Barry Stone responds to a real estate agent that takes issue with Stone's many stories about agents who refuse to recommend "deal killers" to their clients.

To read more click here.

[ghentjr]

HI's should ask permission to copy this and send it to all the Realtours in their area. Might wake some of them up. Barry writes good stuff.

[Scottpat]

Originally posted by SonOfSwamp

Originally posted by ghentjr

HI's should ask permission to copy this and send it to all the Realtours in their area. Might wake some of them up. Barry writes good stuff.

Well, except for not knowing the difference between "ad hominem" and a homonym.

The publication ought to hook Barry up with an editor...

WJid="blue">

Might be, but I think Barry is doing just fine. It doesn't look like it is hurting his syndication.

[Jim Katen]

Originally posted by Scottpat

Originally posted by SonOfSwamp

Originally posted by ghentjr

HI's should ask permission to copy this and send it to all the Realtours in their area. Might wake some of them up. Barry writes good stuff.

Well, except for not knowing the difference between "ad hominem" and a homonym.

The publication ought to hook Barry up with an editor...

WJid="blue">

Might be, but I think Barry is doing just fine. It doesn't look like it is hurting his syndication.

I cringed when I read it. Mistakes such as that tend to distract the reader. I'm not criticizing Barry; everyone makes mistakes. That's why we have copy editors. Whoever was copy editing that publication missed an error and it made Barry look bad.

Most writers depend on their editors to make them look good.

- Jim Katen, Oregon

[David McPhee]

OK, there may be some thread drift here but I thought this article in todays Seattle P-I was worth posting. See any parallels?

Countrywide sued over accusations it blackballed appraisers

By AUBREY COHEN

P-I REPORTER

Countrywide Financial blackballed home appraisers who refused to make valuations meet agreed selling prices, according to a lawsuit filed Thursday.

Details: hbsslaw.com/CFCappraisers.

Capitol West Appraisals, of Boise, Idaho, says in a lawsuit filed in U.S. District Court in Seattle that Countrywide loan officers pressured its appraisers to increase valuations or otherwise compromise appraisal standards in three loan transactions and, when the company refused, Countrywide put Capitol West on its "Field Review List."

Countrywide, the nation's largest home mortgage lender, doesn't accept reviews from appraisers on the Field Review List unless they're accompanied by a second review from someone else, which means mortgage brokers will not use such appraisers for Countrywide loans, the lawsuit says. Furthermore, since Countrywide is such a major player and brokers do not necessarily know which lender they will use when they order an appraisal, they won't use Field Review List appraisers for any loans at all, the lawsuit alleges.

"Countrywide is in position to force out of the business honest appraisers," said Steve Berman, the lead lawyer in the case and managing partner at Hagens Berman Sobol Shapiro, in Seattle. "They can use their market power to basically blackball these people."

Countrywide could not respond immediately to the lawsuit's allegations Wednesday morning.

Capitol West's revenues have fallen by $8,000 a month as a result of being on the Field Review List and a Countrywide employee has told the business it will remain on the list for at least a year, the lawsuit says.

As of Aug. 28, more than 2,000 appraisers were on the Field Review List and some have stayed on for more than four years, according to the complaint. Berman said the list includes more than 50 appraisers in Washington. The lawsuit seeks class-action status to take in all affected appraisers nationwide and compensatory damages, but does not name an amount.

The lawsuit also alleges that any appraisal submitted to Countrywide from a Field Review List appraiser automatically goes to Countrywide subsidiary LandSafe, which then "shoots holes" in the evaluation in order to further discredit the blacklisted appraiser.

Lenders and loan originators have little reason to ensure homes are worth the agreed selling price these days because most mortgages are sold into the secondary market, the lawsuit says. It says the inflated sales prices end up as comparable sales, artificially inflating prices.

P-I reporter Aubrey Cohen can be reached at 206-448-8362 or aubreycohen@seattlepi.com. Read his Real Estate News blog at blog.seattlepi.com/realestatenews.

[kurt]

I think that is just one of several similar suits against Countrywide, WaMu, and their ilk. I've heard of a couple in Chicago by independent appraisers.

This is one of the many, many underlying tangled webs in the housing bubble. Venality reached from top to bottom in the real estate food chain. Fraud at all levels was rampant, near as I can tell.

I'm glad we have the NAR advising us on these important matters.

Actually, now that I think about it, I don't recall the NAR addressing the real estate bubble in any terms other than "it's a smart time to buy"(?).....

[:-idea]

[Brian G]

That's been going on for a long, long time, all across the country. Maybe a few enormous settlements will dampen the arm twisting a bit.

And in a totally unrelated vein.....

"Countrywide is in position to force out of the business honest appraisers," said Steve Berman, the lead lawyer in the case......

What a god-awful sentence from an educated person who makes his living with words. [:-yuck]

Brian G.

I Hope He's Better At Law Than At English []