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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?


To: Think4Yourself who wrote (57590)7/12/2006 3:48:22 PM
From: tdl4138Read Replies (1) | Respond to of 306849
 
What am I missing here?

Framers here in Fla bid a job by the foot. Since Lennar is nothing but a tract home builder, the costs for framing, as well as everything else would be known up front...down to the penny. I.E., the framing cost for model XYZ is based on whatever the square footage is. No matter how many times you built that plan, it would remain the same. Material cost would also stay the same. Obviously, you would know exactly how much material was used for each model. Some allowance would have to be made for variance of material cost. But that again would be easy to verify and substantiate.

How could a framer...be committing fraud? The work was either done and signed off or it wasn't. I find it hard to see anything that would fall inbetween.

Maybe I'm missing something here. It wouldn't be the first time.