A random idea for the housing market

**Saul Good** · 08-04-2011, 03:17 PM

I was reading yet another article today about how abandoned, foreclosed houses are creating a burden on municipalities. These houses fall into disrepair, and they attract crime. I was trying to think of a solution, and the first thing to come to mind was this:

Could we force the banks to sell the houses within a certain amount of time (one year or so, maybe) following the foreclosure? If they fail to do so, the local government is allowed to auction off the property, collect a fee, and give the rest to the banks.

This would generate revenue for the municipality, clean up the neighborhoods a bit, and help ease the housing glut (albeit by dropping home prices way down).

The banks would take a hit, but I'm not worried about banks that created a lot of this mess in the first place.

Thoughts?

08-04-2011, 03:17 PM	Topic Starter
Saul Good Quit your bullshit Join Date: Jul 2005 Location: Bored of winning Casino cash: $10052799	A random idea for the housing market I was reading yet another article today about how abandoned, foreclosed houses are creating a burden on municipalities. These houses fall into disrepair, and they attract crime. I was trying to think of a solution, and the first thing to come to mind was this: Could we force the banks to sell the houses within a certain amount of time (one year or so, maybe) following the foreclosure? If they fail to do so, the local government is allowed to auction off the property, collect a fee, and give the rest to the banks. This would generate revenue for the municipality, clean up the neighborhoods a bit, and help ease the housing glut (albeit by dropping home prices way down). The banks would take a hit, but I'm not worried about banks that created a lot of this mess in the first place. Thoughts?
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