Six Months Later: Open House Picks 7/6/07
Comment: Interesting to see the Crown Heights house go almost $100,000 over asking. Far as we can tell, the Park Slope listing was pulled, but let us know if that’s not the case. Open House Picks 7/06/07 [Brownstoner]
Comment: Interesting to see the Crown Heights house go almost $100,000 over asking. Far as we can tell, the Park Slope listing was pulled, but let us know if that’s not the case.
Open House Picks 7/06/07 [Brownstoner]
“Records show was bought by a Corcoran broker and his mortgage is $634k on the prop.”
And that disproves the kickback theory how, exactly?
“The Waht is definitely right in this instance.”
You are in deep, deep trouble if you take ANYTHING this person has to say seriously. Just a warning.
as too speculative imagination of commentors re: CH house.
Records show was bought by a Corcoran broker and his mortgage is $634k on the prop.
So – keep dreaming up and perpetuating conspiracies, fraud, etc, etc, etc.
Don’t ever do research and find real info.
Take it from The What on the percentage back. He’s done his share of cash-back deals over the last several years!
“It is very difficult to prevent this however; only serious prison time for offenders will make sellers think twice before making such a deal.”
I agree with you, however the damage has been done. Our financial system is ruin. It will take a depression to clean things out.
BTW I think the number is higher on “Cash Back” deals. Maybe about 37%.
The What
Someday this war is going end…
The Waht is definitely right in this instance. There is a very good chance the CH property was involved with mortgage fraud.
This is a *huge* problem in the US, with some estimating as many as 20% of recent deals involve cash back deals in exchange for higher prices.
It is very difficult to prevent this however; only serious prison time for offenders will make sellers think twice before making such a deal.
Kicking cash back to the buyer is also known as mortgage fraud by the buyer (if there is a mortgage involved) and arguably tax fraud by the buyer in the future (if the inflated price is used as the basis when the house sells). Add the fact that you have both buyer and seller, and you can add conspiracy counts against the seller.
Regarding the Crown Heights house:
Mr. What, while I know that goes on all the time, I don’t think it’s the case here. This is a really nice house, competitively priced, on a nice block. As 12:38 said, people do want to live here, and the neighborhood, especially this block, is just fine. It was simply the case of someone willing to pay over list for a property they really wanted. Nothing more, nothing less.
And I will invest in psychotherapy after reading Brownstoner too much! 🙁