The Gold Mine Has Turned Into The Money Pit In Florida
The Bradenton Herald reports from Florida. "Jo Lynne Navarro wants her $270,000 back. That's how much the Sarasota County woman paid to reserve two Bel Mare at Riviera Dunes condominium units two-and-a-half years ago. The units existed only in glossy sales brochures at the time, but Navarro - like many others lured by a sizzling condo market - was eager to buy early."

Hutto residents protest Lennar subdivision
Since purchasing their new homes, numerous residents of the Hutto Parke subdivision say they have found cracks and nail pops in their walls and ceilings, foundation problems and defective roof trusses - and do not want others to have to experience the same. Residents allege the subdivision's homebuilder, Lennar Corp., sold them "defective homes" and lied on Housing and Urban Development documents, claiming the homes were built on un-expansive soil.

Ryland employee sues homeowners 
A Ryland Homes saleswoman has sued two homeowners in the troubled Bridlewood Park subdivision, accusing them of harassing her and causing her to lose at least $26,000 in sales commissions. Several homeowners in the new neighborhood in Live Oak had been protesting for months near the model homes where she works and also have been airing complaints on Web sites about unaddressed problems with their homes...  "Things were going well until this," Kochan said. "We haven't protested in Bridlewood in five weeks or so. Where is this coming from? It's outlandish." "We were actually starting to feel like we were getting back to our lives. Then we got hit with this," Ferguson said.

Countrywide closes local subprime lending office
Countrywide Financial Corporation has shuttered its San Antonio office that specialized in subprime lending...Also, a joint venture between Countrywide and volume builder KB Home remains intact. Countrywide has an office at the KB Home office off of Fredericksburg Road just north of Loop 410. The partnership also often places Countrywide loan officers in KB model homes in San Antonio and across the country...Subprime mortgage loans are made to borrowers with a poor credit history or other factors that make them a high risk for a lender, and typically come with a higher interest rate and bigger fees.

Prince William Probes Builders
Prince William County officials are investigating whether two major developers built houses on bad soil that could, over time, crack the foundations of the homes and possibly cause landslides. At issue are Port Potomac, a 982-home development in Woodbridge built by Vienna-based KSI Services, and Four Seasons at Historic Virginia, an 800-home retirement community built by national developer K. Hovnanian. Both projects are in eastern Prince William, long known for its marine clay, a temperamental soil that shrinks and swells depending on moisture...The county's probe was prompted by an anonymous letter circulated among residents at Four Seasons last year. The letter questions the mixing of lime and soil..  A similar letter recently went to residents of the Fair Chase subdivision in the Fair Oaks area of Fairfax County. The development was built by Centex Homes and Beazer Homes, and the companies also used Geotechnical Consulting and Testing.

A House Divided part 1
Americans Rendered Helpless by New Home Building Industry – You or your family could be next. The Bruderman family is living a nightmare as their house is literally sinking into the ground.

Lennar, Stuart real estate broker settle suit out of court
More than a year and 27 thick volumes of court paperwork after it was filed, the lawsuit between Lennar Corp. and the Stuart real estate broker crusading against the homebuilding company has been dismissed.Circuit Judge Larry Schack congratulated Lennar and defendant Michael Morgan and ordered the case closed Aug. 29 after receiving notice they had reached a confidential settlement.

Calif. Supreme Court Qualifies Enforcement of Class Action Waivers
The California Supreme Court has ruled that class action waivers in arbitration agreements are unenforceable if a court determines "that a class arbitration would be a significantly more effective way of vindicating the rights of affected employees than individual arbitration."

Texas AG Enforces Industry-Wide Law Protecting Owners of Manufactured Homes
Texas Attorney General Greg Abbott today concluded a lengthy enforcement action against central Texas manufactured home retailers who sold homes without clear titles. Owners of repossessed manufactured homes across central Texas will finally receive clear titles to homes they purchased in good faith from the unlicensed, fraudulent retailers. Today's agreed judgment with unlicensed retailers Andrew and Edward Huizar of the former A&E Investments in Bexar County concludes the defendants' legal dispute with the Texas Attorney General's Office. Another defendant in the scheme, David Barroso of Sweet Homes, who defaulted by failing to contest the judgment, surrendered his retailer's license in January 2006 and fled to Nevada.

Going to Build a House? Better Think About Contractors and Arbitration!
Scott Kimbell is having the experience of a lifetime: His house is falling down! Everyone dreams of building their own house and when those dreams turn to trouble, you would hope there would be an avenue for justice. Hope? Not when the contractor you hire gets you to sign one of those forms that contains a provision requiring all disputes to be resolved by arbitration. Kimbell Website:Our House is Falling Down

Homicide victim linked to failed Punta Gorda builders
A Fort Myers man who was shot and killed early Tuesday was a licensed contractor associated with two failed Punta Gorda builders whose companies are under investigation in a series of construction fraud complaints. A spokeswoman for the the Fort Myers Police would not reveal whether the department is looking into homicide victim Clifford C. Joyner's links to builders Gary Oben and Dean Rossey, the principals in Floridian Gulf Coast Homes, Ideal Homes and G C Construction.

Lenders still finding ways to finance home purchases, refis
Despite the relentless onslaught of alarming headlines in recent weeks, there are still plenty of mortgage lenders willing to extend credit to subprime borrowers.  Although you might be hard-pressed to find subprime or Alt-A lenders offering 2/28 hybrid adjustable-rate mortgages (ARMs),100 percent financing or "piggyback" second loans, an informal survey of loan officers and mortgage brokers around the nation finds they're still able to help clients from all walks of life buy or refinance a home.

Buyer beware: Foreclosure sales not for everyone
Real estate buyers are taking note of the rise in foreclosures in many housing markets across the country, but foreclosure properties aren't for everyone, said David Levin, principal for David Levin & Associates, a Florida-based real estate consulting firm. "There are real risks in the foreclosures business ... in a normal market. If you're not schooled in this stuff it's not for the faint of heart," said Levin. During the days when home-price appreciation and sales were setting records month after month, investors could profit by scooping up properties for a quick flip. Foreclosures may lure buyers because of the potential for a discounted price, but there can be other associated costs. "I'm keeping my fingers crossed that people don't get seduced," he said.