Tag Archives: HUD

AND There Goes Facebook Targeting… Just Like That… Thanks NAR

All it takes is one complaint to HUD? Wow! Really? 

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“HUD filed a complaint against Facebook last week. 

“HUD claimed the social network’s advertising platform allowed users to discriminate against prospective renters and buyers by being able to limit who saw their ads based on the users’ race, color, religion, sex, family status, national origin, disability, ZIP code, and other factors.” ( From REALTOR® Magazine) 

This is interesting because I don’t know even one REALTOR® who uses Facebook ads to discriminate.

Every single person I know who is a member of NAR and runs ads, runs ads to reach their niche audience, their targets- this is called advertising. This has nothing to do with discrimination. 

I doubt any of the employees of the HUD department have ever had to make a living selling  products, services, or real estate. 

My team was starting an ad campaign for an agent this week and we could not target: 

Homeowners!!! 

Homeowners have been removed. 

Tell me, HUD and NAR—- 

If you are a listing agent how in the world is it discriminating to target ONLY homeowners. After all, if we are running a home value ad, why would I want to waste our money on getting our ad in front of 20 years olds who are first time home buyers??? Or renters?  It makes no sense to offer home values on your property to those who don’t own property! 

You have to pay for impressions. This means that your ads just got a lot more expensive becuase of the ignorance of the powers that be at NAR who so quickly run to support these complaints. I highly doubt they have asked any of us what we are doing with our ads. 

Why are they jumping so fast to say they love that Facebook deleted all our targeting?? 

We are running another ad campaign for another agent — and guess what— yep! The Zipcode targeting is gone!!! 

Now, I know that some people say that zip code advertising is discriminating but then why oh why… does the U.S. own government company the United States Postal Service allow us all to target our direct mailing by zip codes?????? 

I am so tired of NAR speaking for all of us but not talking to all of us before they speak!!! 

If we have a million dollar listing we don’t want to waste money on ads going to people who only make $20,000! It is not discrimination, it is common sense marketing. We want to put our listing in front of the best possible buyers who can afford this listing. 

How did Facebook respond? 

Of course, they did not take our backs. They went back with their tail between their legs and got rid of over 5,000 targets we all use in Facebook advertising. Facebook already makes you agree that you are obeying the Fair housing laws when you run real estate ads. Why did they not just fight on this? 

I then went to the NAR website and see the title to their article about this and the title is: 

Realtors® Applaud HUD Decision to Target Online Housing Discrimination

Interesting title since there was NOTHING In the article listing ANY realtor who was applauding this decision except for the NAR President:  

‘National Association of Realtors® President Elizabeth Mendenhall, a sixth-generation Realtor® from Columbia, Missouri and CEO of RE/MAX Boone Realty, issued the following statement in support of HUD’s aggressive enforcement of the Fair Housing Act:

“In 2018, as America recognizes the 50th anniversary of the Fair Housing Act, the National Association of Realtors® strongly supports a housing market free from all types of discrimination. However, as various online tools and platforms continue to transform the real estate industry in the 21st Century, our understanding of how this law is enforced and applied must continue to evolve as well. Realtors® commend the Department of Housing and Urban Development and Secretary Ben Carson for taking decisive action to defend fair housing laws, and for working to ensure its intended consumer protections extend to wherever real estate is marketed.” ‘

So where in this article are the many realtors who are so applauding wasting money on needless impressions… and making our ad cost go up way higher! 

What needs to happen in cases like this, is for NAR to do an investigation, survey, round tables, etc. with local agents around the country and find out what kinds of ads they run on Facebook, how they target, and why. Then take that data to HUD, and explain to HUD, about marketing and advertising.

Take our backs; will you!!!! 

Because in actuality how many of those NAR presidents and committees on those higher levels are running Facebook ads daily to get listings and buyers? 

And that is my rant for the day… I am livid!!!”

Source: By virtual Services Marketer, Katerina Gasset | Active Rain

Facebook Removes Their Favorite Ad Options After HUD Complaint

Facebook is removing thousands of targeting options from its advertising platform after the Department of Housing and Urban Development accused the social media giant of discriminatory practices with its housing ads.

HUD filed a complaint last Friday against Facebook that claimed the social network’s advertising platform allowed users to discriminate against prospective renters and buyers by being able to limit who saw their ads based on the users’ race, color, religion, sex, family status, national origin, disability, ZIP code, and other factors.

“There is no place for discrimination [on our advertising platform],” Facebook stated in response to the HUD complaint. So far, they’ve removed more than 5,000 ad target options to “help prevent misuse,” according to the company. Facebook removed options such as “limiting the ability for advertisers to exclude audiences that relate to attributes such as ethnicity or religion.”

The company also announced that all advertisers in the U.S. will be required to comply with its non-discrimination policy if they wanted to advertise on Facebook.

“While these options have been used in legitimate ways to reach people interested in a certain product or service, we think minimizing the risk of abuse is more important,” Facebook said of its decision to remove the target options within its ad platform.

Facebook said it will share more updates to its targeted advertising tool over the next few months as it continues to “refine” it.

The National Association of REALTORS® released a statement this week in support of HUD’s enforcement of the Fair Housing Act and actions against Facebook. This year marks the 50th anniversary of the Fair Housing Act.

“As various online tools and platforms continue to transform the real estate industry in the 21st century, our understanding of how this law is enforced and applied must continue to evolve as well,” Elizabeth Mendenhall, NAR president, said in a statement. “REALTORS® commend the Department of Housing and Urban Development and Secretary Ben Carson for taking decisive action to defend fair housing laws, and for working to ensure its intended consumer protections extend to wherever real estate is marketed.”

Source: Realtor Magazine

BOOM: HUD Files Housing Discrimination Complaint Against Facebook

Secretary-initiated complaint alleges platform allows advertisers to discriminate

WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) announced today a formal complaint against Facebook for violating the Fair Housing Act by allowing landlords and home sellers to use its advertising platform to engage in housing discrimination.

HUD claims Facebook enables advertisers to control which users receive housing-related ads based upon the recipient’s race, color, religion, sex, familial status, national origin, disability, and/or zip code. Facebook then invites advertisers to express unlawful preferences by offering discriminatory options, allowing them to effectively limit housing options for these protected classes under the guise of ‘targeted advertising.’ Read HUD’s complaint against Facebook.

“The Fair Housing Act prohibits housing discrimination including those who might limit or deny housing options with a click of a mouse,” said Anna María Farías, HUD’s Assistant Secretary for Fair Housing and Equal Opportunity. “When Facebook uses the vast amount of personal data it collects to help advertisers to discriminate, it’s the same as slamming the door in someone’s face.”

The Fair Housing Act prohibits discrimination in housing transactions including print and online advertisement on the basis of race, color, national origin, religion, sex, disability, or familial status. HUD’s Secretary-initiated complaint follows the Department’s investigation into Facebook’s advertising platform which includes targeting tools that enable advertisers to filter prospective tenants or home buyers based on these protected classes. 

For example, HUD’s complaint alleges Facebook’s platform violates the Fair Housing Act. It enables advertisers to, among other things:

  • display housing ads either only to men or women;
  • not show ads to Facebook users interested in an “assistance dog,” “mobility scooter,” “accessibility” or “deaf culture”;   
  • not show ads to users whom Facebook categorizes as interested in “child care” or “parenting,” or show ads only to users with children above a specified age;
  • to display/not display ads to users whom Facebook categorizes as interested in a particular place of worship, religion or tenet, such as the “Christian Church,” “Sikhism,” “Hinduism,” or the “Bible.”
  • not show ads to users whom Facebook categorizes as interested in “Latin America,” “Canada,” “Southeast Asia,” “China,” “Honduras,” or “Somalia.”
  • draw a red line around zip codes and then not display ads to Facebook users who live in specific zip codes.

Additionally, Facebook promotes its advertising targeting platform for housing purposes with “success stories” for finding “the perfect homeowners,” “reaching home buyers,” “attracting renters” and “personalizing property ads.”

In addition, today the U.S. Attorney for the Southern District of New York (SDNY) filed a statement of interest, joined in by HUD, in U.S. District Court on behalf of a number of private litigants challenging Facebook’s advertising platform.

HUD Secretary-Initiated Complaints

The Secretary of HUD may file a fair housing complaint directly against those whom the Department believes may be in violation of the Fair Housing Act. Secretary-Initiated Complaints are appropriate in cases, among others, involving significant issues that are national in scope or when the Department is made aware of potential violations of the Act and broad public interest relief is warranted or where HUD does not know of a specific aggrieved person or injured party that is willing or able to come forward. A Fair Housing Act complaint, including a Secretary initiated complaint, is not a determination of liability.

A Secretary-Initiated Complaint will result in a formal fact-finding investigation. The party against whom the complaint is filed will be provided notice and an opportunity to respond. If HUD’s investigation results in a determination that reasonable cause exists that there has been a violation of the Fair Housing Act, a charge of discrimination may be filed. Throughout the process, HUD will seek conciliation and voluntary resolution. Charges may be resolved through settlement, through referral to the Department of Justice, or through an administrative determination.

This year marks the 50th anniversary of the Fair Housing Act. In commemoration, HUD, local communities, and fair housing organizations across the country have coordinated a variety of activities to enhance fair housing awareness, highlight HUD’s fair housing enforcement efforts, and end housing discrimination in the nation. For a list of activities, log onto www.hud.gov/fairhousingis50.

 

Persons who believe they have experienced discrimination may file a complaint by contacting HUD’s Office of Fair Housing and Equal Opportunity at (800) 669-9777 (voice) or (800) 927-9275 (TTY).

Source: HUD.gov

HUD’s Top Tech Employee Resigns Amid Corruption Scandal

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On the same day Ben Carson, head of The United States Department of Housing and Urban Development (Commonly known as HUD) testified before Congress about the dire need to upgrade the Department of Housing and Urban Development’s computer systems, its chief information officer resigned amid corruption allegations.

Johnson Joy submitted his resignation to Carson on Tuesday, according to a report from The Guardian, and the secretary accepted. Whistleblower Katrina Hubbard, Joy’s former executive assistant, filed a complaint about potential corruption in the CIO’s office, including suspicious over payments of a subcontractor.

Hubbard also claims that she was transferred and then fired after reporting the suspected fraud, with HUD citing job performance issues.

Joy first came under scrutiny last weekend, when The Guardian reported his connection to GJH Global Ministries, a religious charity that solicited donations but did not have a clear objective. The group’s website had mission statements copied from other churches, and was soon locked after The Guardian began asking questions about it.

“We literally did nothing,” GJH Global Ministries director Stephen Austin told a Guardian reporter.

Another HUD official who resigned amid questions about his background, Naved Jafry, was also involved in the charity; Jafry was a subcontractor associated with the same firm that allegedly received inflated payments.

The DC palace intrigue comes as Carson, a former Republican US Presidential Candidate and Trumps pick to head up HUD tries to weather the MSM (main stream media) hype controversy surrounding his office’s attempted purchase of a $31,000 dining room set, which was cancelled amid critical news coverage. Carson was again thumped in the MSM for his response to the situation during a Congressional hearing Tuesday, in which he appeared to blame his wife — who is not a HUD employee — for arranging the purchase and claiming that the old furniture was a safety hazard.

During the same hearing, Carson repeatedly emphasized the importance of upgrading the Federal Housing Administration’s aging information technology infrastructure, which he claimed weathers 2,000 to 3,000 hacking attempts per week — and is based on software that dates back decades. 

“We have to get the IT systems at FHA up to par. We are putting a lot of money and a lot of people in jeopardy by continuing this,” he said.

Source: By Alex Spanko | Reverse Mortgage Daily

Breaking: HUD To Raise Premiums, Tighten Limits On Reverse Mortgages

The Department of Housing and Urban Development on Tuesday will formally announce plans to increase premiums and tighten lending limits on reverse mortgages, citing concerns about the strength of the program and taxpayer losses.

Mortgage insurance premiums on Home Equity Conversion Mortgages will rise to 2% of the home value at the time of origination, then 0.5% annually during the life of the loan, The Wall Street Journal reported Tuesday morning. In addition, the average amount of cash that seniors can access will drop from about 64% of the home’s value to 58% based on current rates, the WSJ said.

“Given the losses we’re seeing in the program, we have a responsibility to make changes that balance our mission with our responsibility to protect taxpayers,” HUD secretary Ben Carson told the WSJ via a spokesperson.

The HECM program’s value within the Mutual Mortgage Insurance Fund was pegged at negative $7.72 billion in fiscal 2016, and the WSJ noted that the HECM program has generated in $12 billion in payouts from the fund since 2009. The value of the HECM program fluctuates over time, however: In 2015, the reverse mortgage portion of the fund generated an estimated $6.78 billion in value; in 2014, the deficit was negative $1.17 billion.

Unnamed HUD officials told the WSJ that without this change, the Federal Housing Administration would need an appropriation from Congress in the next few years to sustain the HECM fund. The officials also said that the drag created by reverse mortgages has prevented them from lowering insurance premiums on forward mortgages for homeowners.

“You have this cross-subsidy from younger, less affluent people who are trying to achieve homeownership,” HUD senior advisor Adolfo Marzol told the WSJ.

The move took the industry by surprise, with the WSJ reporting that leaders were not briefed on the changes beforehand. 

By Alex Spanko | Reverse Mortgage Daily

HUD Audit Reveal BILLIONS In Bookkeeping Discrepancies

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Dr. Ben Carson testifies before a Senate Banking, Housing and Urban Affairs Committee confirmation hearing on his nomination to be Secretary of the U.S. Department of Housing and Urban Development on Capitol Hill in Washington, U.S. January 12, 2017. REUTERS/Kevin Lamarque

Department of Housing and Urban Development’s (HUD’s) financial books are in such bad shape that HUD’s Inspector General (IG) can’t complete an audit even after HUD officials corrected $520 billion in bookkeeping errors, according to a new IG report.

Officials at HUD fixed $3.4 billion in errors from its 2015 books and $516.4 billion in errors from its 2016 books after the IG in December was unable to issue an opinion on either year’s financial statements and highlighted 11 material weaknesses, seven significant deficiencies and five instances of failure to comply with laws and regulations.

These same problems have been reported for three straight years by the IG.

One can only stand aghast at the incompetence on display.  No wonder the government has put us all near the brink of financial ruin.  If this was a private company, you can guarantee people would be going to prison.

So pretty much everything the law requires be done for financial accountability was totally ignored.  Given the deplorable state of his former department, you would think Castro would hang his head in shame.  You would be wrong!  He actually tried to give Ben Carson advice on how not to screw up his department.  What a joke!

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Former HUD Secretary Julian Castro

This department seems to have a great mission, but as usual, Democrats have totally ruined it.  Let’s hope Ben Carson can use some of that brilliance he’s known for to clean this department from top to bottom.  The first thing he should do is fire all the Obama appointees who are doing shady things with our tax dollars.

http://dailycaller.com/2017/03/07/hud-can-fix-520-billion-in-accounting-errors-but-still-cant-document-its-spending/ *** http://readmeeveryday.com/audit-hud-discovers-billions/

Senate Showdown On Federal Takeover Of Neighborhoods

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The Senate is voting on whether to rein in President Obama’s outlandish regulation that uses $3 billion community development block grant money to coerce 1,200 recipient cities and counties nationwide to submit local zoning plans to the Department of Housing and Urban Development (HUD) to redress imagined discrimination based upon neighborhoods’ racial and income make-up.

Sen. Mike Lee (R-Utah) has an amendment that would actually prohibit this implementation of the Affirmative Furthering Fair Housing (AFFH) regulation, specifically stopping HUD from attaching zoning changes as a condition for receiving funding, and it deserves every senator’s support.

According to the Federal Register, AFFH directs municipalities “to examine relevant factors, such as zoning and other land-use practices that are likely contributors to fair housing concerns, and take appropriate actions in response” as a condition for receipt of the block grants. It’s right there in the regulation.

On the other hand, Sen. Susan Collins (R-Maine) offers an amendment which merely reiterates current law that the federal government cannot compel the local zoning changes, stating no funds can be used “to direct a grantee to undertake specific changes to existing zoning laws.”

As noted by the National Review’s Stanley Kurtz, “Federal law already forbids HUD from mandating the spending priorities of state and local governments or forcing grant recipients to forgo their duly adopted policies or laws, including zoning laws. AFFH gets around this prohibition by setting up a situation in which a locality can’t get any federal grant money unless it ‘voluntarily’ promises to change its zoning laws and change its housing policies in exactly the way HUD wants.”

Kurtz emphasizes the point: “This trick allows HUD to avoid formally ‘directing’ localities to do anything at all in order to get their HUD grants. But HUD gives localities plenty of informal ‘guidance’ that makes it perfectly clear what they actually have to do to get their federal grants.”

Therefore, even with the Collins amendment, AFFH will still require municipalities to “examine relevant factors, such as zoning and other land-use practices that are likely contributors to fair housing concerns, and take appropriate actions in response” as a condition for receipt of the block grants.

This is an attempt by the Senate to pretend to have acted to stop the federalization of local zoning decisions without actually doing so. The Lee amendment will remove the local zoning strings attached to the funding, plain and simple. The Collins amendment will not.

It is telling that President Obama is threatening a veto of an appropriations bill that has “ideological” content, when the President himself is exercising the power of the purse to compel his ideological vision on our nation’s cities, towns and counties through implementation of AFFH.

The Collins amendment, ironically, will enable and advance this ideological agenda — while offering constituents false comfort that it has been abated when it has not. Only the Lee amendment can stop this HUD driven transformation of our neighborhoods.

The House has already passed the Lee language twice with vocal support from across the Conference ranging from Representatives Paul Gosar to Peter King.  Americans for Limited Government urges every senator to vote yes on the Lee amendment to the Transportation-HUD appropriations bill — and stop the federalization of local zoning policies once and for all.

By Rick Manning | NetRightDaily