Thursday, November 8, 2007

Dave Ormsbee

Dave couldn't afford these homes, yet he knowingly signed the loan applications. He obviously had some help getting the loan, but it takes two to tango, and buyers are also to blame. I like how Mr. Ormsbee says 'they made me'. What a loser.

The Mortgage Mistake in Utah
Dave Ormsbee has never been inside this Draper home, which he now owns. Dave thought he was becoming a real estate investor. “Good credit was a curse,” he says. Dave says it was his good credit alone that bought a home in Draper and a house in St. George, both with no money out of his pocket. Now at the age of 27, Dave owes more than a million dollars in mortgage loans.

Sounds like he makes a lot of money, but quite the opposite is true. Dave is a college student and waits tables after school. He makes maybe $11,000 a year, yet he bought the Draper house for more than $700,000.“

You’re a server at a restaurant. How can you afford a $719,000 house? I can’t” says Dave. But how could a college student making $11,000 a year convince any lender to give him a million dollars in mortgages? Take a closer look at Dave Ormsbee’s loan application. It shows him as the owner of his own company, Ormsbee Graphic Design.But there is no such physical company, it’s all created on paper, he says, under the direction of Ron Haycock. “That’s the company that they had me make up,” says David.


John said...

Did they put a gun to his head or just tickle his greed?

If the Fed gets wind of it they could both be prosecuted for fraud.

Tyrone said...

It depends on whether or not the Feds consider the offense egregious.