02-18-2009, 05:36 PM
Dakota wrote:
[quote=Gutenberg]
Your state is second only to Nevada in foreclosures, SDGuy. You think that's good for your state?
As long as the government tries to price homes we will sink deeper in this hole. Deep down that is what this plan does. Foreclosure is simply selling a house at a price that someone is willing to buy. None of the foreclosed properties will remain vacant so that is a red herring. People who lived there will go on and rent someplace. They won't end up on the street somewhere. Another red herring.
In the meantime, my children can afford a house, the builders will stop building houses no one wants and we will reach an equilibrium.
Another Dakota post from a narrow set of experience. Obviously you have not been through a foreclosure boom anything like this one. There are entire neighborhoods that in previous periods had a significant fraction of houses foreclosed on. Many did not sell for months or even years and sat vacant. I know of a number near me that during the last heavy round of foreclosures sat vacant long enough that they were vandalized into needing to be torn down instead.
Another thing can happen instead. The house actually does get a buyer. Happened to the house next to mine in the early '90's. Well, he bought it to rent out to the subsidized low income persons sent his way by the friend in social services. Most were okay, but several were not. The owner did next to nothing for repairs and upkeep of the property. By about 6-7 years ago he lost the occupancy permit for the building and he could not even put desperate renters in. It sat for several years, complete with a hole in the roof with a tarp over it, before he either fixed the minimum to get the permit back or something passed under the table. Still sitting there depressing the sell value of my and my neighbors' houses. I am certain similar examples can be found elsewhere
Actually though, your last statement is the most telling. It is the sort that comes from the mind-set of "I've got mine" and assumes everyone else is in the same state. Well they are not, and yes some are ending up on the street.