This is aimed at no one in particular, just my two cents.
I belonged to a huge fraternity at my university - over 140 actives and pledges each year during my four years at school. Fraternities are selective as there are more people wanting to join than the houses can hold physically. Some members do live outside of the house, but that was discouraged. The whole point is living together.
Elitish? Maybe, but practically every student group on campus in some way selects its members, either through a bid system (like fraternities) or social/political ideology or by social pressure. The whole "pay for friends" is a tiresome charge. As if no other social group makes its members pay to join and remain active. The scholarship athletes at my university (major midwest football powerhouse with many national championships) used to level that charge at us, but then scholarship athletes are hardly ones to talk -- they were selected on the basis of being able to run, jump or whatever better than the average person. They get paid (scholarships) to be part of a select group.
Our pledges worked very hard to join - study halls, social projects, daily responsibilities and yes, learning about our history and where we, as an organization, came from. Many pledges and members chose to leave and some were asked to leave, but by in large, those that pledged became members if they did what was asked of them, had a good attitude and made grades that were modestly difficult to achieve.
No doubt we had parties. Many huge and raging parties. Booze was everywhere, but not many drugs. Socializing was a key part of the experience. We weren't trying to be perfect scholars, nor were we trying to be like Animal House. A major organized party for a given semester might run $10-12k and have 500 plus attendees. But for all of the beer and fun, the whole experience comes down to learning how to live with, understand and thrive within a membership of different personalities, interests and viewpoints. In other words, good training for the corporate world or just the world in general. In no way is it perfect, but for those that want the experience, it can be rewarding. That said, I know there were plenty of people who felt wronged by fraternities and I can't and won't attempt to tell them to feel otherwise.
However, snobbery and selectivism exist in every corner of a university. Major programs of study within a university are highly selective as those colleges only select those that they think could add to and thrive within their course of study. A major university in my state only accepts the top 1-2% of students for their business or pre-law school. Having social organizations doing the same does not seem so wildly out of place.
Now, because my fraternity had an enormous house on campus and group showers, the crowd seems to want to know about the boys and what went on. Sex of any kind wasn't as in the open as everyone might fantasize about. We had private rooms and most sex took place like it would in a normal world - behind closed doors and between consenting adults. Plenty of talk though and many walls weren't exactly sound proofed.
The whole idea of circle jerks and gay sexual hazing is not within any experience I've had or heard of within the context of a major fraternity. I had high school friends in other major fraternities and they all said the same thing. This whole sexual fantasy about fraternities is just that, a fantasy. There may be fraternities that have substantial gay membership, but not where I went to school. If anything, social fraternities, at least in the 80s, were as homophobic as other parts of society, maybe more in that so many boys lived, worked and slept in close proximity. Could it be homo-erotic though to live there...hell yes. But no one and I mean no one wanted to be labeled or "outed" in those days. We live in a different world now and its for the better.
Now, I will say that while I'm entirely normal in my own endownments, a pledge brother of mine (i.e. joined in same year) had the largest penis I've ever seen. He was as skinny as a rail and his dick limp was about 6 inches and fairly impressive. He had balls like a billy goat and as a result wasn't real excited about people watching him shower. Erect this boy was about 9 inches and erect wasn't hard like mine...it was more like a soft large sausage. He used to shower early in the morning or late at night, because as he put it, it gets tiresome having people make comments or point or stare or whatever else people do when they are in the presence of a big penis. Believe me, I liked looking at it too because all guys at some level are size queens. But I respected my friend's desire to be seen as something other than a large set of genitals.
Not to be outdone, he had two other brothers who were also members and they were as hung as he was. One morning I saw one exiting his room and his roommate pulled off his towel. To this day I can recall gasping at the sight -- his dick was like a rope that hung to his knees. Both brothers talked about how it got crazy for them at parties when they'd be with a girl and she'd put her hand on their crotch and *surprise* an enormous penis would be her reward.
By in large though, the showers were a parade of normalcy. Everyone seemed to have about the same sized dick, the same sized balls, etc. There were some times when we'd compare and guess what? Most of us were between 5.5 and 6.5 inches erect. After a while, no one bothered to "look" at you unless you woke up early with a hardon and had to quickly shower to make the bus to campus.
Perhaps in today's world, where experimentation with sex is more accepted or even expected, the fraternity experience might be different.
So, to bring this rambling opus to an end, let me summarize -- the gay fantasy about fraternities is 99.9% a fantasy. Most fraternities are surprisingly mundane and have normal people as members and sex, while happening all the time, was discrete and private. No cirlce jerks, no group sex, no gang bangs, just plenty of good old solo masturbation, sex with girlfriends and floozies and plently of mindless bragging about escapades that only happened in the mind of the speaker. In other words, boys were being boys.
Cheers.