First item tonight on CBS “60 minutes”. They’re tearing them down as the banks are also walking away from them.
A bunch of InterNACHI members should get together with me and buy an entire culdesac. Then we can re-roof them all, dry them in, secure them…then wait.
I’m game!
Nick I am from that area and my best friend was going to buy them. The problem is that the minute you get it remodeled they are in ripping it off again. Put the siding up today, its gone tomorrow…Siding, electrical, plumbing…then the cost to secure them is high.
He did the numbers and decided not to do it…
Don’t remodel. Just dry them in, re-roof them if need be, and wait.
We can get these homes for nearly nothing.
The problem in Cuyahoga county is that they give you a list of what must be repaired and by when. If not then you get fines. There is a city next to it called Euclid, and it is in Lake county and you can buy and sit.
This is why no one buys them. The city must come and inspect to ensure you repairs are up to code and per their requirements.
Most of these homes in blighted areas are beyond economical repair. I’ve done quite a few inspections for out of state Investors that bought these type of properties sight unseen for 5K to 10K then call me for an inspection to “get an idea” of the condition of the house and what needs to be done. Most told me they were going to put it back on the market in hopes of recuperating at least some of their money.
You can “dry them in” but chances are they won’t stay that way long. The last one I did the power company actually cut the overhead service at the pole to prevent people/squatters from steeling electricity.
PS-
The estimated cost to tear them all down: $150,000,000- all out of taxpayers pockets!!
If the city was smart they use them for fire fighting training .
PS-
The estimated cost to tear them all down: $150,000,000- all out of taxpayers pockets!!
Not a bad gig for the people tearing them down…
I haven’t looked at the prices lately but last year a lot of those houes were selling for $200-$300… less than an inspection!
one of the reasons the bank won’t take them is because they don’t own them, the investment vehicle is bankrupt, unknown or unreachable. the bank can not get the investor to fund the money so they sit, in limbo until they are destroyed/demolished. seems like it would just make more sense to find a way for the homeowner to stay there
A lot of those houses there are already owed by out of town investors who refuse to do anything with them, the city has already been chargeing them for not cutting their grass but they have a hard time getting them to come into Cleveland to face the charges.
Nick, what I found most interesting was that the city is giving the cleared properties to the owners of the adjacent properties in the hope they would maintain the grounds. Most of those owners are in financial straights themselves and probably do not want the extra taxes or unpaid upkeep really. Thing to do would be to form an investment group to offer small reverse mortgage to them conditional on splitting off the extra serviced lot deeded back to investment co at end of mortgage. When things get better, lack of homes ie all or most unoccupied torn down, will make serviced lots much more valuable. No upkeep costs, no security costs, no ongoing financial’s other than depositing the repayment cheques to the bank when done.
Just a thought.