Foreclosures
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Alright, so I feel the need to rant about this a bit, and hear what you guys have to say.
I've personally had experiences with this twice (and I'm not into real estate or anything, etc) recently. A house was foreclosed, the bank shuts the power off. Does anyone see anything wrong with that equation? I get that they are trying to save money by not having any power on to the house, but what happens when the sump pump doesn't turn on? Or it lays vacant for an entire year? I'll tell you what happens. The bank loses $50k-60k in an instant. No one will go over there to check on it, and it just sits, unopened and unmonitored. Just to clarify, house gets power cut, basement floods, mold grows, value is decreased EVEN MORE. One specific house has mold on every wall, fixtures, cabinets, etc.
I understand the bank is trying to save money by doing this, but if in the long run enough of them get destroyed, wouldn't it pay to have the sump pump run for the measly $10/month so you have a chance in hell at getting your money back? The bank is already probably losing it's ass on it the way it is, correct? It just seems extremely irresponsible to do something to save a few pennies. I don't want to say that this was responsible the state of the market, but it couldn't have helped if this is a common thread.
I hope someone will tell me something I don't know about the situation to enlighten me, but it'd have to be a pretty good reason to explain using my money to cover up terrible practices like that.
What do you think?
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Sounds like a good time to start a home watching service for the banks Tony. Set up a proposal in which they pay the power on the home and you'll go in once a week and verify that the house is in sound working order (5 to 10 minutes on site) in exchange for a monthly fee per home....I'd say $50/month to do this for them. Sell it as a preventive maintenance agreement. I've seriously thought of setting up services like this in several larger metropolitan areas and subbing the work out.
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yeah most banks don't look at it as an investment in getting there money back, they look at it as just a bigger loss if they have to pay for anything more.
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DrifterExtreme;261387 wrote:
yeah most banks don't look at it as an investment in getting there money back, they look at it as just a bigger loss if they have to pay for anything more.i agree, except ive been paid 500/mo to mow a lawn the size of your driveway for them...
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They do look for their money back though. That's the whole issue I have with it. Before somethings wrong with it, try to make an offer on the house. Most of the time they will say we need this much, and nothing less. Ok, so 6 more months go by, and now the house is flooded and moldy, and only worth a fraction of its original price(unless, again, they dump thousands of dollars in it rather than pay $10/month to keep it "healthy").
Specific example: House is selling for $75k foreclosed(which is likely UNDER market value because of their "investment"), ends up sitting vacant for a year, gets moldy, now it needs to be gutted for ~$17k and you have to sign a damn waiver just go look at the house. RETARDED!
Chuck, that's not a terrible idea...
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Trafik Jamz;261385 wrote:
Sounds like a good time to start a home watching service for the banks Tony. Set up a proposal in which they pay the power on the home and you'll go in once a week and verify that the house is in sound working order (5 to 10 minutes on site) in exchange for a monthly fee per home....I'd say $50/month to do this for them. Sell it as a preventive maintenance agreement. I've seriously thought of setting up services like this in several larger metropolitan areas and subbing the work out.Thats a really good Idea!!!!
Tony, I will work for you!
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I'm saying you need to let them know to keep the electricity on as well...and you will check on the property.
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btw, if anyone is interested in setting up a business like this, let me know. I have put a fair amount of thought into it and would be willing to assist someone in getting started.
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treimche;261403 wrote:
In the spring time when all the snow is melting, you would need to be emptying the sump every hour. There's times in the spring where mine will run every 15 min dumping a ton of water out. They just need to have power to the sump pump all the time.Having the A/C kick on every once in awhile isn't a bad thing either. Helps keep the humidity down, and how often will it run(CA anyway) if the doors never open or close? Rarely. Hell even emptying a dehumidifier every week or so would help a ton.
I'd be interested.
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PSiedTSi;261407 wrote:
Having the A/C kick on every once in awhile isn't a bad thing either. Helps keep the humidity down, and how often will it run(CA anyway) if the doors never open or close? Rarely. Hell even emptying a dehumidifier every week or so would help a ton.I'd be interested.
Why bother running the A/C? Air conditioning is NOT cheap and neither is running a dehumidifier.
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MisterCMK;261420 wrote:
Why bother running the A/C? Air conditioning is NOT cheap and neither is running a dehumidifier.20/mo for electricity > 67k dollars to completely gut and remodel the house
i think is the point being made
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NickB;261433 wrote:
That's why they hire brokers and SafeGuard(I think)..We are a direct broker for several large banks, they don't hire out to just anyone. Now they hire a certain company of their liking to handle everything
Sure looks like everything is being "handled" :icon_scratch: A retarded monkey could prevent a vacant house from growing mold. Hell, too bad they killed that one earlier this week, I'm sure he would have done a great job.
MisterCMK;261420 wrote:
Why bother running the A/C? Air conditioning is NOT cheap and neither is running a dehumidifier.Running an A/C at say 78-80 degrees when the door is hardly opened will NOT cost a lot, especially when considering remodeling costs, etc.
A swing and a miss by CMK.
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Are bank's paying insurance premiums on these homes? This could be intentional on the part of the banks, since it might be the only way for them to get a post-collapse price for the house. Enough mold makes a house a total loss, right ?
If that's not the case, i don't think it would take more than a few photos of some of the "after" pictures and a written estimate of the repair costs to make the case to a bank that it's worth $50/home/month to do this kind of crap. Most are already paying snow removal crews to comply with city laws [hint: banks also like to sell foreclosures before winter if they can make it happen]
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24valvenotak;261422 wrote:
20/mo for electricity > 67k dollars to completely gut and remodel the housei think is the point being made
67k to gut and remodel a house because the air conditioning is not running? What point are you making here? Oh what did they do before A/C?
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PSiedTSi;261465 wrote:
Running an A/C at say 78-80 degrees when the door is hardly opened will NOT cost a lot, especially when considering remodeling costs, etc.A swing and a miss by CMK.
You never answered my question about what is the point of running the A/C. Opening and closing the door is not what is going to cause the air handler to run...
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