Bank Demolishing New Homes Instead of Selling Them

Ignorance is bliss

And apparently you are all blissful people. If the bank could sell the homes more profitably than pushing them over they would do so.

Haywood Jablome of CA @ Jun 15, 2009 11:46:18 AM

Interested in buying a new home for 55Plus

call immediately. (952) 431-7247

Alan Stuart Cohen of CA @ May 13, 2009 21:07:16 PM

bankster's stash bailout $ and destroy REO's

As the Titanic was taking on tons of water, the ships designer's kept a positive NLP attitude and kept telling the Captain, "it's OK, this ship cannot sink, TRUST ME, it was designed as an unsinkable ship. Look we closed the watertight doors. See, things are looking better, the water damage has slowed."

When the official good stats are reported, take them as half truth. When the bad stats come out, double them! It's all a shell game for the New World Order. Just play along and even one gets to go home early.

Just some warning news of things to come.

In the OC, a Newport Coast home value drops $8 million to under $5 million in 18 months.

Check Foreclosure Trackers dot com for your zip code to find homes in distress.

May 6, Zillow’s CFO reported 90 million American homes lost over $700 billion in value in the 1st quarter of 2009! California home values are dropping at a rate of $10,000 per month! Check the Zillow dot com charts.

In the last big RE crash in California in 1990-2000, my 2,000 sq/ft house in Upland (91784) went from $500,000(1990) to $130,000 (1998). I sold it for $220,000 in 2000. It's value peaked in 2005 at $700,000. Today, May 2009 value is $380,000. The homes value has dropped $10,000 per month in 2008 & 2009.

The home value curve on Zillow is STILL almost straight down vertical. In the 1990s the value leveled off for 2-3 years before any one would trust buying. Today it would need to level off for 6-9 months before I would trust the price stability and buy. The banks, like the auto makers, are going to get real desperate very soon to try and LURE buyers in.

Over 10,000 (ex-rich boy's) golf memberships for sale in Palm Springs.

We are in uncharted waters and California is leading the way with real time stats.

-Unprecedented number of foreclosures in California with 2008 having 530,000 homes in distress and 2009 on track to add another million. No end in sight until 2012.

-Unemployment in California running between 10%-25%, 2 million on the unemployment books plus another 2 million+ under the radar.

Of these 25% are doomed to foreclosure.

-Huge unsold new car inventory of 2008 and 2009 models just sit.

-Commercial RE crashing like a plane going down with one wing.

Every where you look another company is closing its doors.

Drive around your neighborhood retail and listen. it’s creepy quiet.

-Watch our banking experts (bankster’s) planning their future, as they take our bailout dollars and stash it while they destroy their REO inventory. Are they trying a crazy desperate move to stabilize the housing prices?

google Are Bulldozers Now The Best Neighbor? - Realty Check with Diana … - 7:23am -cnbc

May 6, 2009 … So this is what it has come to. A bank in Texas is bulldozing four brand new homes.

New homes in Victorville now under $100,000. It’s coming a complete RE price crash back to the 1970’s.

A lot of good discount sales in the future.

So who is going to have the money and credit to buy any of these great bargains?

al diro of CA @ May 07, 2009 14:18:23 PM

Not the whole story

What has not been included in the story is that basic infrastructure, i.e. electric, sewer, water, etc had not even been brought into the housing site. Habitat for Humanity could not have afforded to complete these requirements.

Although it sounds unreasonable at first blush, having all of the details gives a clearer picture. The homes, although "complete" were not habitable to homeless families. They would have become magnets for gang and drug activity.

I am stationed overseas, but have a home in the next town. When I saw the original news story, my jaw dropped. I made an effort to get the whole story. There are many empty homes in the area that are suitable for habitation, these homes were not. I applaud the bank for making the decision, even though there would bet he negative publicity. They have now eliminated potential gang havens, and returned the lots back to their original state.

Jo of CA @ May 07, 2009 03:55:38 AM

Absolutely Poor Judgment

Demolition of new homes is completely wasteful and reckless. This is a nation wide disgrace to all construction workers. Do they really want to insult and shame the American worker to this level? Men worked hard to design, permit and build those homes.

Lets think about the environmental aspects and complete waste of resources. These banks should be fined from this prospective alone. How about a little progressive thinking by these bullies. Perhaps, a more thoughtful decision that could have a better impact on the financial health and future of our communities. We are experiencing a high rate of unemployment, especially residential construction. Hire willing workers to complete the work, which would create jobs, then sell the homes. Or donate to a group for pro housing and take a write off. Let that group line up the guys to finish the work. Don’t blatantly destroy the work of hard working Americans.

C Arroyo of WA @ May 06, 2009 17:13:18 PM

Why so Mad?

There was no one living in the homes and the fact that they have been sitting uninhabited for a while (which the article failed to mention) the bank had to tear them down. This bank is not one of the "Big Boys" and has not received TARP or government funds. There are 2 sides to the story folks.

Marc of TX @ May 06, 2009 12:35:21 PM

Amazingly disgusting

We've got 53 year old men who have worked their entire lives and been productive citizens and now they find themselves out of work, unable to pay their rent or mortgage and are now living in tent cities........ WTF?!!! is wrong with this country?

There were definitely other options for this project, but the greedy bank only saw the dollar signs. I think the bank president and all the board members need to have their homes demolished and let them live in a tent for a month and see just how many dollar signs flash before their fat, greedy eyes.

I bet they'd change their tune then.

As for the statements that they made about tearing down the homes was in an effort to stop "vagrants and squatters" from living in the homes and to help make it safer for the nearby homes, that's TOTAL BS.

THere was a time when I loved this country and what it stood for........ but I'm fast losing that love on a daily basis.

Josh of AL @ May 06, 2009 06:04:32 AM

This is America

"This is America!" We hear this, or a variation thereof, all the time on TV and elsewhere. Well, folks, THIS IS America...and it's absolutely sickening. What makes me so upset is that it appears the bank didn't even make an effort to reach out to Habitat for Humanity, which must have a local chapter. I'm sure that with effort some type of arrangement could have been made, perhaps whereby the "luxury" materials in the development homes could have been replaced with more modest materials. Laminate countertops for granite countertops, and that type of thing. But the bank didn't do that because they bank just didn't care about people, and because our banks don't care about us on a very fundamental level. I don't blame President Obama for this, but I hope he is paying attention and reevaluating his position on aid for banks. I think he honestly wanted to help them, and expected them to be appreciative, and to pass the good will on to their customers. Well, they're obviously not doing that, so it's time for him to rethink the government's good will toward them. I think that good will should cease. They have abused the social contract far too long, and they should now pay for the consequences of their greed.

Josh of PA @ May 06, 2009 00:03:32 AM