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Investigation into the HUD loan program 203(k) for nonprofit organizations to purchase and fix-up run-down housing for resale. Johnson found a wide-open opportunity for speculators to purchase inexpensive buildings and immediately resell them at inflated prices to nonprofits. The story concludes that the program's flaw is a lack of HUD oversight, which leaves policing to appraisers and mortgage lenders who have few incentives to act responsibly.
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