Federal Land Ownership - What they may plan on using in the Lottery

[Lone_Star_Dem]

I'm curious just what land they're going to be using in NOLA and started poking around.

What I think they have planned might be to use the HUD and REO properties. This is total speculation on my part due to the fact that they've removed all HUD and REO properties from the marketplace in Texas, Oklahoma, Kentucky, Tennessee and Georgia recently. They did this post Katrina until HUD decides on their re-listing status.

Since I'm not sure how HUD makes such decisions, and can't get a hold of my friend whose in real estate, I thought I throw this out here and see if any one else thought this was a possible source.

Yes? No? What do you folks think?

[Wilber_Stool]

1. If you can fix an election

you can surely fix a lottery.

[Lone_Star_Dem]

2. I'm not saying it's going to be fair

I'm wondering what they plan on using. I'm thinking since they have put a hold on all HUD and REO listings in these other states they aren't planning on most of these people returning to NO either.

[creeksneakers2]

3. That was my guess too

See Whitehouse.gov:

The President Proposed An Urban Homesteading Initiative To Provide A New Beginning For Lower-Income Evacuees. Homesteading will allow evacuees to occupy a government-owned home at a favorable mortgage rate, in exchange for their personal investment of sweat equity in the property. Under this approach, we will identify property in the region owned by the Federal government, and provide building sites to low-income citizens free of charge, through a lottery. In return, they would pledge to build on the lot, with either a mortgage or help from a charitable organization like Habitat for Humanity. The Department of Housing and Urban Development, in cooperation with other Federal agencies, local governments, and public housing authorities, will support the development of homes on Federal property in New Orleans and cities across the region, and will encourage nonprofit organizations to commit properties as well. Homeownership is one of the great strengths of any community, and it must be a central part of our vision for the revival of this region.

Note the exchange for "sweat equity" and the mention of HUD. They'll probably be mostly severely storm and flood damaged properties, not worth a great deal more than the cost of fixing them up.

[creeksneakers2]

5. Also, it says on the HUD website under Katrina relief

HUD will make available programs for damaged or destroyed properties. HUD's Section 203(k) loan program enables homebuyers and homeowners who have lost their homes to finance both the purchase and/or refinancing of a house and the cost of its rehabilitation through a single mortgage. It also allows homeowners who have damaged houses to finance the rehabilitation of their existing single-family home. This program encourages lenders to make mortgages available to borrowers who would not otherwise qualify for conventional loans on affordable terms and to residents of disadvantaged neighborhoods.

Also on the HUD website it says properties within 500 miles will be used for temporary housing. So you have BINGO!

[Lone_Star_Dem]

6. The Federal Government has nothing to lose as I see it

This comes out as a win for the Feds in NO since they'd need to sell these parcels anyway. They get a new home built on the site or the old one refurbished where possible and start fresh.

If the new owners default on their mortgage they profit on the sweat equity of the previous owner. It's a no risk deal.

[ellenfl]

4. my first thought was that the

parcels would be in east shebeebie (aka bumf*ck egypt). we'll just have to see. i would imagine that native americans found this quite amusing. they can tell you all about government backed re-settlement initiatives.

ellen fl

[Lone_Star_Dem]

7. If they plan on using this program to restore/rebuild

HUD REO foreclosures at the expense of charities they can't go wrong. A certain percentage of these homes will again go into foreclosure and they reap the profits from it.

That's how I'm seeing it anyway.