Realtors are licensed
Appraisers are licensed
Homebuilders are licensed
Banks are licensed
People who drive cars are licensed
Fishermen are licensed
Strippers (in AZ) are licensed (so I hear)
Yet the one group who had the most to do with the housing bubble, "mortgage officers", have no regulations, no licenses, no rules, no oversight, no nothing. Just get the sale at any cost, make the commission, screw the buyer, and move on.
And look where that got us to today.
The system got gamed. An unregulated rouge collection of con men, swindlers, call center jockeys, bartenders, strippers, used car salesmen and generally the scum of society banded together under the seemingly professional title of "mortgage broker" and "mortgage officer" these past few years and screwed America.
And nobody in government thought it would be a good idea to step in.
Hmmm... maybe because the National Association of Mortgage Brokers, the National Association of Realtors and the National Association of Homebuilders, who wanted to maintain the status quo, have your corrupted leaders in their pockets?
Here's a report from the cesspool of mortgage fraud and fraudsters, Phoenix Arizona:
Rules sought on mortgage officers
Bill to require licensing would help curb fraud, backers say
Bill to require licensing would help curb fraud, backers say
Many of the people in Arizona who help home buyers finance what is often the biggest purchase of their lives are not licensed. In the rapidly growing mortgage industry, many of these unlicensed people who handle home loans can put consumers at risk.
It's estimated that there are as many as 18,000 unlicensed people taking mortgage applications, negotiating rates and getting loan commissions statewide. Many are enticed by the Valley's housing boom, exotic and often risky mortgages and no licensing requirements.
"I know of mortgage people working out of their bedrooms and selling stereos on the side. They got into the business six months ago and don't know a lot about it. They can give the industry a bad name," said Rick Allen, a branch manager with the Valley mortgage firm O'Dowd and Associates.
