Mini Paper 1: Ethical Issues (Promotion)
It is becoming more difficult for first-time homebuyers to purchase a home in San Diego. According to Yahoo News the median price for a house in San Diego is a daunting $500,000, yet we continue to see advertisement of homes starting at the low $300s. Is that price really true or is it just a way to lure prospective buyers to purchase a more expensive home by using ?bait-and-switch advertising'. Bait-and-Switch advertising is a dishonest sales practice in which home developers advertise a lower price for a home in order to attract home buyers and then inform the prospective home buyer that the advertised item is no longer available and attempt to sell the customer to a more expensive home. Based on my home buying experience, I found this to be a common marketing method used by home developers and real estate agents.
I experienced bait-and-switch advertising during my interaction with Escala, a new home development in Mission Valley, three years ago. When I first saw the area being prepared for home building, I was anxious to find out details about the home such as square footage, plans and most important the starting price to determine if I would be able to afford to buy my first home in this new development. As I was driving home one day I saw the first advertisement from this developer that stated "Escala- your life, your style, your home, starting in the high $200s". I was pre-approved for a home loan of $320,000, so based on their advertisement I would definitely be able to afford to purchase a home in this new development. When the sales office for Escala first opened, I put my name on the waiting list and asked to see the home ...