Here's an update on HP favorite Little Boy David Crisp, the flash-in-the-pan Bakersfield mortgage fraudster

Bling is the thing!

I guess not.

Must suck to be facing significant jailtime at his age, all because of greed. Must suck to be one of the millions of mortgage fraudsters, corrupt realtors and shady appraisers wondering every night if the FBI is gonna come get them too.

And it must suck to be Hillary Clinton, George Bush or Chuck Schumer, when they eventually realize that they destroyed their own political careers and legacies by trying (and failing) to use government resources to bail out mortgage fraudsters like David Crisp.

Fake it until you make it: A housing flipper saga

When David Crisp was only 25 years old, the Bakersfield, Calif., real estate star tooled around town in a $560,000 Mercedes-Benz McLaren sports car, along with a cohort of "black-suited bodyguards." He sported a $50,000 Chanel watch and Armani suits. His company, Crisp & Cole, leased Gulfstream jets to fly prospective investors into Bakersfield and Las Vegas and fronted money to its team of agents so they could sport their own luxury cars and designer clothes.

On Monday, Crisp's mansion was put up for auction with a starting bid of $1.8 million. Nobody bit, and the home was repossessed by the lender. According to the Bakersfield Californian, more than 100 defaulted and foreclosed-upon properties can be traced to associates of Crisp & Cole.

But what does it all mean? How many other David Crisps ran wild in the great housing boom of the early 21st century? How many of the collateralized debt obligations made out of repackaged subprime mortgage securities were built from loans made to similar scammers?

Is Little Boy David Crisp the new Charles Ponzi? Crisp & Cole now tied to 94 properties in default and $59 million in mortgage loans gone kaput

Gotta love a good Ponzi Scheme. Gotta love a good swindle. Gotta love a good snake oil salesman, promoted by the snake oil company (the NAR). And gotta love it when out of control bankers lend millions to a little shoe shine boy during the greatest financial mania in recorded human history. David Crisp was simply Casey Serin with a much bigger credit line.

And we all know how this one ends....

Here's what the monkey-run NAR had to say about David Crisp in 2005 in their glowing "30 under 30" feature:

Bling is the thing: Crisp insists that his salespeople wear professional attire and be well-groomed. He buys luxury automobiles for his salespeople and has flown clients in private jets to view properties. “Image is key in this market,” he says. “Clients want to feel important and be with a real estate professional who’s successful.”

And of course, here's the report today, which is starting to read more like a police blotter:

On Sept. 10, the Department of Real Estate issued a complaint against Crisp, Cole and three employees, charging them with deceiving lenders to take out $12 million in home loans.

On Sept. 12, FBI and IRS agents searched 13 homes and offices related to the former Crisp & Cole Real Estate firm. Warrants were sealed, but a list belonging to a law enforcement officer listed bank records, appraisal documents and business and financial documents among items to be seized. San Joaquin Appraisals, owned by Kirk “Mark” Newton, was also searched.

As of the third week in September, Crisp, Cole, their companies, family members, employees and associates have defaulted on at least 94 properties. Payments are late on $58.76 million worth of home loans.

But don't forget the NAR's overarching message in this rags to riches to rags to orange jumpsuits story: BLING IS THE THING!!!

HP follow-up.... Nice to see the FBI raid on little boy David Crisp and Crisp & Cole

Bakersfield Bubble has been all over this story from the start. The little shoe-shine boy who got banks to loan him millions, then allegedly committed mortgage fraud all over California.

(Anyone remember ZZZZbest and Barry Minkow? Got some deja-vu)

Little boy Crisp was the American Dream (and crash), on a much bigger scale than Casey Serin. I really liked the articles that fawned all over the kid for his expensive suits and private jets. But of course, it was done on debt, you fricking MSM idiots. And when the Ponzi Scheme ended, fruitcake pretend businessmen like this are the first to fry.

From waiter to flashy real estate developer to Convict #275820

Here's how he was described by the clueless Realtor.org idiots in 2005:

Bling is the thing: Crisp insists that his salespeople wear professional attire and be well-groomed. He buys luxury automobiles for his salespeople and has flown clients in private jets to view properties. “Image is key in this market,” he says. “Clients want to feel important and be with a real estate professional who’s successful.”

And here's how David Crisp is being written about today:


Crisp & Cole's businesses & homes raided by FBI

The FBI is saying little about the raids at the homes and businesses of the once prominent real estate duo Crisp & Cole.

Today's raids come as the California Department of Real Estate has a number of serious accusations against the once, high profile Bakersfield real estate team, Crisp & Cole. The DRE says it was an investigation, quote, "several months" in the making. The realtors could have their licenses suspended or even revoked.

The rise and fall of David Crisp - a little boy who got hold of a lot of debt and then proceeded to blow it

Here's the latest on little boy David Crisp, who can no longer make the payment on his own house.

From waiter to big-spending jetsetter real estate developer, and then back to waiter...

Ah, the American Dream

Thanks WC for the tip

Just like dot-bomb, the housing mania will be remembered for little kids playing with (and losing) big money: The tale of David Crisp of Crisp & Cole

HP'ers are likely familiar with the story of little boy David Crisp, who went from waiter to Bakersfield real estate mogul in a matter of months, with plenty of flash, smoke and mirrors. In 2005, even the NAR was pumping the kid (he's 25), with this description:

David M. Crisp 25 president, Crisp & Cole Real Estate, Bakersfield, Calif

In four years, Crisp has gone from waiting tables to being president of his own real estate company, which he launched this year. He’s also opened his own loan company and production outfit, which creates the 30-minute television shows he uses to promote his listings.

Bling is the thing: Crisp insists that his salespeople wear professional attire and be well-groomed. He buys luxury automobiles for his salespeople and has flown clients in private jets to view properties. “Image is key in this market,” he says. “Clients want to feel important and be with a real estate professional who’s successful.”

And then there was this write-up (why do I feel like I'm watching a scene from Boiler Room?):

Agents at Crisp & Cole Real Estate sport Armani, Gucci and Louis Vuitton. They drive Benzes and Beamers. The partners lease a jet to whisk clients, agents and associates to meetings in Las Vegas.

It all started five years ago when Crisp was waiting tables at On the Border and Cole was a salesman for Kyle Carter Real Estate. Cole was trying to sell a house to Crisp’s mother but had to deal with her fearless teenaged kid who kept injecting himself in the negotiations.

“I couldn’t believe the brass on this boy. I went home and told my wife I’d met this punk kid who was going places,” he recalls. Then one day Cole discovered the kid working beside him at the agency. Testosterone, hunger, aggression and flash – this boy had ’em all in abundance. Cole was both amused and aghast.

“He went out and borrowed the money to buy a Corvette. He bought designer suits. He went on vacation in Tahiti,” Cole recalls. “And this was before he’d sold one home!”

Well, I don't even have to tell you how this story ends. Kid's big condo tower project hits the skids. Kid now has eight houses under foreclosure. Kid downsizes his office and operation. Charges eventually get filed (just like his dad who went to jail for passing bad checks). Kid tries desperately to line up new financing.

That's where we are today. Tomorrow? Kid goes to jail. Kid loses everything. Kid's investors get hosed. Kid's buyers get screwed. Kid loses it all. Kid sells off the cars and fancy duds. Kid goes back to On the Border.

And once again, the world learns that little kids shouldn't play with fire, or else everyone gets burned.