Friday, October 2, 2015

Foreclosure fixed up

From the Times Ledger:

Dozens of Habitat for Humanity and Delta Airlines volunteers, a few carrying small luggage, gathered Wednesday on a rainy day to start work on restoring an abandoned home in Cambria Heights.

The derelict house, infested with termites, fell victim to foreclosure and then became a zombie home until a fire destroyed most of the property. The property was then handled by the U.S. Department of Housing and Urban Development before being acquired by the New York City Housing Authority to become affordable housing.

Future homeowners are required to volunteer in the restoring of their homes. At the Cambria Heights house at 219th St, 53-year old carpenter Richard Thompson was ready to work on his future home.

“I found out about the program when I was looking for a home, but I did not have enough money for a down payment,” said Thompson, who currently lives in Brooklyn.

The program through Habitat for Humanity offers a 30-year fixed mortgage at a 2.0 percent rate with only a 1 percent down payment for a restored home.


(sarc) said...

Story stars out so nice, but think about it.

"I did not have enough money for a down payment,” said Thompson,

So how much social security will he get when he retires after working most of his life claiming minimum income?
From the story, it looks like this poor soul is not exactly a financial wizard.

He will be very happy make the last payment at the vibrant age of 83 years "young".
I wish him a long, happy, healthy productive life!
I hope and pray that he doesn't end up in a shelter.

And hopefully the PMI won't be used to pay off mortgage.
Not a good idea to be worth more dead than alive, too much incentive.

Even with the low interest no money down, he will still be on the hook for over $2000 a month.
Not including utilities, cell phone, cable, internet, car payment, gas insurance, etc..
Oh yea - food. I guess they will hopefully get snap cards.

How long do you think it will be until there is a second mortgage on the property, and then it will all be under water.
Why do you think ABC ended "Home Makeover"?
Most were in financial ruins just a few years later. Some people cannot manage their lives.

But the story is supposed to make us feel better about things, and make each one feel guilty that they are not helping more.

Please follow this and let us know when the foreclosure sale is, might be a good deal...

Anonymous said...

Flip this house in 3... 2... 1

Anonymous said...

hope the fire alarms work when it is done