They can list at an inflated price that harms the seller because they already have payment.

For example, during the aerospace recession between 1990 - 1995 when the LA metro housing market were declining in value, other parts of the country where appreciating at the rate of inflation.  

Selling real estate or facilitating a transaction at inflated values, without adding measurable value is unethical and at a point of grossly taking profits become fraudulent dealing, grossly overstating that value or understating value is deceptive dealing.

In some cases, Long inflated the purchase price of the residence, which enabled him to divert significant proceeds of the sale to himself, or to an entity that he controlled.

For this reason, with "traditional" companies, like State Farm, it is vital that values of property are accurately reported and updated annually to reflect inflation and other increases in cost.

What if we have substantial inflation?

Also don't pay an inflated wage.

With all the talk of inflation and deflation, USA debt, the lender problems and foreclosures, and all the rest, If I buy a foreclosed house from the government, is that purchase in danger of anything?

I think I drifted a little off course and read a few over-inflated strategies from some of the Guru's out there publishing books with no substance.

Quicken typically always inflates their fees and they charge a hefty loan origination fee as well.Have you received initial disclosures from AmeriSave or was that just their verbal quote?