David Lereah's Re - Conning of America
So, first this guy talks millions of people into buying far more home than they can afford. Then, when that scam falls apart, he leaves the National Association of Realtors and skedaddles for some Web outfit. Now he's advising Wall Street on how to clean up investing in the wreckage of the disaster he created.
He finally comes clean (barely) and pronounces housing's bottom as not yet in. No Shinola, Sherlock. You, of all people, ought to know just how out-of-whack home prices are with historical norms.
It turns out he has recently set up a new firm called Reecon Advisors, which is advising Wall Street firms and institutional investors about the real estate market. "Wall Street has an intense interest in [this], because they're looking for when is the recovery going to come, and at what point does the cycle turn," Lereah told me.
I wonder if Lereah is even a tiny bit aware of the irony in his starting a company almost called "re- con."
Let's hope the quality of advice to Wall Street will be as good as it was to those millions of would-be-homeowners out there who were left holding an empty bag because of Lereah's empty promises and Wall Street's usury.