Ardell at RCG has a subprime loan

[synthetik]

[brettro]

[kpom]

[synthetik]

Why should she care? She evidently gives an "RA" about a banking crisis, and bubbles are supposedly for bathtubs.

How many people has she sold down the river? If she had a subprime loan, how many did she recommend? How much did she make in kickbacks from those mortgage brokers?

Yes, that's how it works.

[Rhonda P]

I doubt Ardell has ever received kick backs for subprime or any loans. I know as a LO, I have NEVER provided anything of the sort to an agent or anyone. I had one agent ask to be paid for filling out a loan ap and I declined.

Ardell and I do not work together. I'd like to think that "kick backs" doesn't happen often.

[synthetik]

I knew many realtors over the years and interacted with them often, either through business networking or direct transactions.

Yes, it is a common practice.

Realtors have various contacts in mortgage, banks, brokers, appraisers, title insurance companies, real estate lawyers, etc... most of these contacts involve straight referrals, others, especially in the area of mortgage brokers - do give a kickback, or spiff.

Realtors will do whatever it takes to make a sale. Anyone telling you different is trying to sell you something. (Or a realtor)

[Rhonda P]

I probably work with about 15-20 agents as a lender (I worked with over 100 when I was in title insurance). I never paid for business.

[synthetik]

Glad to hear it... I guess you're in the minority then!

[Rhonda P]

I hope not. I really don't know.

[perfectfire]

[mike2]

[kpom]

[redmondjp]

Ardell said in her post:

I worked day and night, seven days a week, and made the payments gladly.

Gladly working 24/7 . . .

I wake up working. I go to sleep working. I work every single day.

But I do know that I will pay my mortgage payment as the rate adjusts higher. I'll work two and three jobs if I have to.

In a nutshell, this attitude is largely responsible for the housing prices we have today--the thought that one needs to own a house, at any cost. I don't know about you, but this certainly isn't my idea of the American Dream. I'd rather live in a trailer park and have some free time to enjoy life than work 24/7 to live in a nice home that I only get to sleep in.

It also perfectly illustrates the fact that our standard of living has severely declined in this country. In years past, it was possible for one median-income wage-earner, working one job, to be able to afford a house. There was free time left over to have fun and spend some waking hours inside one's house. And life didn't revolve around obtaining, paying for, or upgrading one's residence.

Now, we have people spending every waking moment working their butts off, just to say that they own a house. Is this really progress?

[kpom]

"It also perfectly illustrates the fact that our standard of living has severely declined in this country. In years past, it was possible for one median-income wage-earner, working one job, to be able to afford a house."

Ridiculous housing prices obviously have something to do with this, but another huge factor is the enormous increase in perceived entitlement in this country - look at the square footage of the average new house in the '50's and '60's vs. now (which is even more absurd given how average family size has declined). Once housing prices return to historical levels, I think a single wage earner will be able to easily afford a house - but sized to '50's and '60's levels. The same entitlement escalation is true of cars, vacations, etc.

It wasn't just that A. **had** to buy a house, but it had to be a **big** house - and she receives an enormous amount of societal reinforcement for doing so. (Look at some of the comments on the RCG thread as examples.)

[carlislematthew]