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Government Considers Ways to Rent Foreclosed Homes


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http://online.wsj.com/article/SB10001424053111904233404576458300001332210.html

 

Anyone with WSJ subscription care to fill in the details?

 

Oh, and this sounds like a really bad idea. :wallbash:

Without the details it's difficult to know whether it's a good idea or a really bad idea but understand nothing good happens to an unoccupied house, you still have to pay property taxes, maintain insurance, you still have to pay to keep the lawn maintained, maybe the sidewalk shoveled, any utilities will have a connection fee, without security you could have your aluminum siding ripped off or copper plumbing etc, if you have a roof leak or flooded basement then the damage could continue for a long time before anyone knows about it let alone fix it - a lot of banks recently are making an effort not to foreclose, not out of the goodness of their hearts but because with the terrible housing market they have the bad options of paying to maintain an unoccupied house, being landlords, or selling at a much lower price than they have the asset valued at which would effect the banks paper value. If the government is guaranteeing rent payments and doing a renter property insurance it is a tremendous bailout for the banks.

 

of course helping renters contradicts Bush's ownership society but what the Hey

 

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Without the details it's difficult to know whether it's a good idea or a really bad idea but understand nothing good happens to an unoccupied house, you still have to pay property taxes, maintain insurance, you still have to pay to keep the lawn maintained, maybe the sidewalk shoveled, any utilities will have a connection fee, without security you could have your aluminum siding ripped off or copper plumbing etc, if you have a roof leak or flooded basement then the damage could continue for a long time before anyone knows about it let alone fix it - a lot of banks recently are making an effort not to foreclose, not out of the goodness of their hearts but because with the terrible housing market they have the bad options of paying to maintain an unoccupied house, being landlords, or selling at a much lower price than they have the asset valued at which would effect the banks paper value. If the government is guaranteeing rent payments and doing a renter property insurance it is a tremendous bailout for the banks.

 

of course helping renters contradicts Bush's ownership society but what the Hey

 

youtube.com/watch?v=CwPG-7FTkyM

 

For starters Bush isn't President anymore. I know you guys have some kind of inbred trait that likes to knee jerk right back to Dubya but you're going to have to get over that. Now that that's out of the way.

 

If the banks own the distressed properties, how does the Government become landlords?

Do they nationalize the properties? ie Socialism

Do they buy it from the banks? ie Bailout

 

If they buy it what kind of price will they pay? Will they use taxpayers money to overpay and artifically keep prices high or will they get a bargain and drive prices lower?

 

Will the rent for properties in slumland be the same as properties in Suburbia? Will it be racist or discriminatory to charge differing rents based on location?

 

Most distressed properties need some work done. Who will pay for these updates while the house is unoccupied?

 

I just bought a house. It doesn't have granite countertops. Can I get the Government to pay for that too?

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If the banks own the distressed properties, how does the Government become landlords?

Do they nationalize the properties? ie Socialism

Do they buy it from the banks? ie Bailout

 

According to the article, Fannie and Freddie (i.e. the government) own the foreclosures.

 

of course helping renters contradicts Bush's ownership society but what the Hey

 

youtube.com/watch?v=CwPG-7FTkyM

 

You're an idiot.

 

I had a long diatribe prepared explaining why you're an idiot...but then I realized it was completely useless to explain to you the government has been pushing low-income home ownership for a couple decades, long before Bush got into office...because you're an idiot.

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According to the article, Fannie and Freddie (i.e. the government) own the foreclosures.

 

 

 

You're an idiot.

 

I had a long diatribe prepared explaining why you're an idiot...but then I realized it was completely useless to explain to you the government has been pushing low-income home ownership for a couple decades, long before Bush got into office...because you're an idiot.

Blaming it all on Bush was not my point, but he supported it as did many Republicans- and it wasn't like the financial industry was against it either, people were making a lot of cash and they didn't care about the risk because the housing market was going to do nothing but go up- also and I hate to say it but Obama is now to the right of Dubya and not by a little bit.

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Blaming it all on Bush was not my point, but he supported it as did many Republicans- and it wasn't like the financial industry was against it either, people were making a lot of cash and they didn't care about the risk because the housing market was going to do nothing but go up- also and I hate to say it but Obama is now to the right of Dubya and not by a little bit.

 

Even pBills would give that a HAHAHAHAHAHAHAHAHAHAHA

Edited by 3rdnlng
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For starters Bush isn't President anymore. I know you guys have some kind of inbred trait that likes to knee jerk right back to Dubya but you're going to have to get over that. Now that that's out of the way.

 

If the banks own the distressed properties, how does the Government become landlords?

Do they nationalize the properties? ie Socialism

Do they buy it from the banks? ie Bailout

 

If they buy it what kind of price will they pay? Will they use taxpayers money to overpay and artifically keep prices high or will they get a bargain and drive prices lower?

 

Will the rent for properties in slumland be the same as properties in Suburbia? Will it be racist or discriminatory to charge differing rents based on location?

 

Most distressed properties need some work done. Who will pay for these updates while the house is unoccupied?

 

I just bought a house. It doesn't have granite countertops. Can I get the Government to pay for that too?

The gubment should mandate that people have to rent a foreclosed house when they go on vacation. If they don't, you're fined/taxed/whatever. They can rent anytime and the rent is the same no matter where they stay. They can even destroy the property and still pay the same rent in the future.

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Blaming it all on Bush was not my point, but he supported it as did many Republicans- and it wasn't like the financial industry was against it either, people were making a lot of cash and they didn't care about the risk because the housing market was going to do nothing but go up- also and I hate to say it but Obama is now to the right of Dubya and not by a little bit.

 

Everyone supported it, with a great deal of very questionable policies. They still are - one of the reasons home sales are low is because borrowing is that much harder, because most of the lenders have tightened their lending standards (my wife can't recall the last time she closed a purchase financed 95/5, or with a first and a second. Most are requiring 20% down) despite being "encouraged" by the government to lend to the looser standards that got us into the mess to begin with. There's no partisan blame in the real estate or financial market mess...everyone involved spent several decades building that house of cards.

 

Obama, to the right of Bush? You must be kidding.

 

The gubment should mandate that people have to rent a foreclosed house when they go on vacation. If they don't, you're fined/taxed/whatever. They can rent anytime and the rent is the same no matter where they stay. They can even destroy the property and still pay the same rent in the future.

 

Better yet, mandate that anyone currently renting has to be a house, or be fined...

 

 

No, wait, that won't work. That'll drive housing prices down, like it's supposed to health care costs...

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Blaming it all on Bush was not my point, but he supported it as did many Republicans- and it wasn't like the financial industry was against it either, people were making a lot of cash and they didn't care about the risk because the housing market was going to do nothing but go up- also and I hate to say it but Obama is now to the right of Dubya and not by a little bit.

 

Trying tell Tom... and everyone else... something we don't know.

 

This was addressed in another thread just recently.

 

Point is that the recession had its genesis with the liberal feel-good policy of putting poor people in homes they couldn't afford, and hoping that the high concept of home-ownership would somehow/magically make them less poor.

 

Further point is, government should not be in the business of owning the markets, setting prices, etc. Way too many people of all stripes know exactly how to game the system to either get receive things they don't pay for (read: things that other people then have to pay for via taxes). And in addition to that, the government will often tell people exactly how to game the system.

Edited by UConn James
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Everyone supported it, with a great deal of very questionable policies. They still are - one of the reasons home sales are low is because borrowing is that much harder, because most of the lenders have tightened their lending standards (my wife can't recall the last time she closed a purchase financed 95/5, or with a first and a second. Most are requiring 20% down) despite being "encouraged" by the government to lend to the looser standards that got us into the mess to begin with. There's no partisan blame in the real estate or financial market mess...everyone involved spent several decades building that house of cards.

 

Obama, to the right of Bush? You must be kidding.

 

 

 

Better yet, mandate that anyone currently renting has to be a house, or be fined...

 

 

No, wait, that won't work. That'll drive housing prices down, like it's supposed to health care costs...

Not kidding at all

 

 

Bush waging war in two countries

Obama waging war in six counties

 

Bush's medicare part D was less a corporate give away than Obamacare

 

Bush claimed the right to torture foreigners Obama claims the right to assassinate American citizens.

 

Obama is willing to cut Social Security, medicare and medicare, in amounts that Bush never even dreamed about.

 

Obama has collected more money from Individuals working for finance, insurance and real estate than either Bush or Romney.

 

Obama has run an even less transparent government and has gone after whistle blowers harder than bush.

 

American CEOs have had record bonuses despite being "nervous"

 

 

Obama is perfect left cover for corporations.

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Not kidding at all

 

 

Bush waging war in two countries

Obama waging war in six counties

 

Bush's medicare part D was less a corporate give away than Obamacare

 

Bush claimed the right to torture foreigners Obama claims the right to assassinate American citizens.

 

Obama is willing to cut Social Security, medicare and medicare, in amounts that Bush never even dreamed about.

 

Obama has collected more money from Individuals working for finance, insurance and real estate than either Bush or Romney.

 

Obama has run an even less transparent government and has gone after whistle blowers harder than bush.

 

American CEOs have had record bonuses despite being "nervous"

 

 

Obama is perfect left cover for corporations.

 

 

interesting. even when someone is true left, he's actually right?

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Not kidding at all

 

 

Bush waging war in two countries

Obama waging war in six counties

 

Bush's medicare part D was less a corporate give away than Obamacare

 

Bush claimed the right to torture foreigners Obama claims the right to assassinate American citizens.

 

Obama is willing to cut Social Security, medicare and medicare, in amounts that Bush never even dreamed about.

 

Obama has collected more money from Individuals working for finance, insurance and real estate than either Bush or Romney.

 

Obama has run an even less transparent government and has gone after whistle blowers harder than bush.

 

American CEOs have had record bonuses despite being "nervous"

 

 

Obama is perfect left cover for corporations.

 

Ah, sarcasm.

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For starters Bush isn't President anymore. I know you guys have some kind of inbred trait that likes to knee jerk right back to Dubya but you're going to have to get over that. Now that that's out of the way.

 

Well, we are ALL trying to get over Bush's disasterous Presidency, even if the Tea Party thinks it was Obama that created every problem ever conjured up by guilty man

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Without the details it's difficult to know whether it's a good idea or a really bad idea

You don't need details to know that even if the idea has merit, in the hands of the federal government it would be a colossally wasteful, corrupt, cluster-!@#$ whose costs would vastly outweigh any possible benefits. Fortunately, Obama will realize that there's no way something like this could impact economic conditions before next November so the idea will go nowhere.

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