FEMA May Use Foreclosed Homes As Shelters

Agency Explores Placing Storm Victims In Bank-Owned Houses If Other Options Are Full

(AP)  The federal government is exploring how to put Florida hurricane evacuees in foreclosed homes if a Katrina-like storm devastates the region and shelters, hotels and other housing options are full.

Officials told The Associated Press on Tuesday that it is an effort to find some benefit in the foreclosure crisis and keep people close to their homes and communities instead of scattering them around the country, which happened when Hurricane Katrina devastated New Orleans and other parts of coastal Louisiana and Mississippi almost four years ago. Thousands of victims who lost their homes in the storm moved to Houston, Atlanta and other cities, and many never returned.

New Orleans has been slow to recover, partly because of the lost population.

"When you have a diaspora that leaves the state it's very hard to get those guys back. You really want to prevent them from leaving the state," said Jeff Bryant, the Federal Emergency Management Agency's federal coordinating officer for Florida. "We want to keep them in their same local community."

The idea is still being developed, but FEMA would likely contact banks, other mortgage holders and their representatives to compile a list of available homes. The evacuees would then be assigned homes close to their own and FEMA would use a contractor, acting as its agent, to pay rent directly to whoever owns the home, said Jon Arno, FEMA's individual assistance branch director for Florida. His duties include finding temporary housing for disaster victims.

If the idea works in Florida, it could serve as a model nationally.

In April, there were 278,287 homes in some stage of foreclosure in Florida, according to RealtyTrac.

Images of Katrina refugees, from the lines to get on buses at New Orleans' Superdome to the numerous cots at Houston's Astrodome, are seared into memory. When the evacuees made their way out of the Gulf Coast region, many boarded buses and planes without knowing their destination. Many of them were separated from immediate family with no way of finding them.

Bryant said the plan will probably only be implemented in a "large catastrophic event," anywhere the housing situation was devastated and only as a last resort.

"But a large disaster, everything has to be on the table, including foreclosed homes," said Ruben Almaguer, the new interim director of the state's Division of Emergency Management.

Angelo Edwards, a Katrina victim who just returned to New Orleans from Houston three months ago, likes the idea.

"It provides income to the bank, the person who holds the deed ... It's taking some of that inventory out of the market," he said. "With this program they could keep that family unit together."

Edwards said he would have rather stayed closer to New Orleans when he evacuated.

"Families dispersed across country and couldn't get back," he said.

[tautomer]

I guess I wasn't too far off last year when I said Obama would be housing his homies in our homes!!!! The only thing I didn't figure was that he'd throw us out of the homes before the homies moved in!!!! Yeah Obama!!!

[quickly101]

Good idea. They could also be used as shelters for the homeless in large urban areas.

[smoknmirrors]

There are without a doubt many Houstonians who would give this proposal a hearty "hear, hear," and "don't let the door hit you on the way out." The main problem is finding banks gullible enough to accept the kind of diaspora into their properties that Houston too late discovered was part of the criminal and vandal hordes that flooded New Orleans before Katrina got there.

[toldyouso29]

Those homes should go back on the market at cut rates for those who earn money to have a chance to buy them--they should not be made extensions of HUD. Anyone who has seen 'government owned housing knows that within a few years, most homes --no matter how lovely originally are roach and rat infested hovels. Many people tend not to take great care of things that they do not have a stake in or personally own.

There is no reason that perfectly marketable homes should be rendered HUDville just because of the need for housing of Katrina or other disaster victims. At the least, offer the nicer homes for sale to buyers and let the victims have the homes that are vacated, that will at least keep the market moving. To turn over what may be wonderful but insolvent homes to people who have no means to pay or upkeep those homes due to disaster is to destroy housing coming and going.

I do believe the Katrina victims and other disaster victims have not been treated either fairly or well, but FEMA and the government tend to knee jerk their responses. Everything in moderation. Put them in defunct base housing or build low income temporary units so that next time, these places will still be available--put many locals to work constructing such homes--on concrete piers, made of concrete and used for a maximum of 18 months stay after a disaster.

To take good housing and just hand it over to people who have not been able to help themselves iin 4 years is beyond irresponsible.

[Observer1504]

Moving them into foreclosed homes is easy ........ getting them out is gonna be a whole 'nuther deal. Who gets to pay to maintain these homes or pay for utilities? As for our Dear Leader helping out forget it, just this morning I heard him commit over 1 billion dollars per year for the next 10 years to rebuild Afghanistan ...and where will that $$$$ come from ?

[payasyougo]

I can see where this will go.

Some politicians relative's new real estate company will buy the houses for next to nothing or will negotiate a rehab contract w/ FEMA (see article snippet below).
He'll use government money to fix them up.
He'll insure them for more that the market would command, by AIG.
He'll lease them to FEMA, at which time they'll be destroyed.
He'll collect from AIG. He'll collect from FEMA.

21-April-2009:
On the day the new Congress convened this year, Sen. Dianne Feinstein introduced legislation to route $25 billion in taxpayer money to a government agency that had just awarded her husband's real estate firm a lucrative contract to sell foreclosed properties at compensation rates higher than the industry norms.

[payasyougo]

"FEMA May Use Foreclosed Homes As Shelters"
----
Oh good. If the condition of the trailers is any indication this move by FEMA will reduce the cost of demolition since the tenants will remove anything of value and compromise the structural integrity of the houses by their destructive, thanks for the handout, behavior.

[Dgunner]

When the katrina victims came to a city near me . They stole from our local merchants robbed our citizens , trashed our streets and ******* and protested when thier FREE ride back to thier beloved tore all to hell city was running a couple of hours late. These houses will be destoyed and treated as free property to be used abused and then left behind. The remodlers and insurance companies and local contractors are counting the money already.

[dwilson59]

I live in florida now can I get into the forclosed home on the intercoastal the one with the 3.5 million price take

[KingSkibo]

No clear thinking banker would ever rent out their distressed assets to the fed. govt. Of course the banks that the fed govt has an interest might be forced to comply with this program. Perhaps that's why the banks that received bailout funds aren't allowed to repay the money. This is just another piece of Obama's redistribution of wealth program. Hugo Chavez is jealous.

[jschmidt27]

booby- so your saying the Democrat legislators incharge of the area of NO really messed up. Maybe that's why the people elected a Republican governor Bobby Jindal. But you also fail to answer why other states, Mississippi, Alabama and Texas seem to have done alright in recovery. I have heard the outrage from those states about the Feds being slow. Anyway you have the Messiah now and surely in 4 years, he'll be able to rebuild NO to be bigger and better. What you need to do is organize the people into unions-then they'll get their bailout. Your anger at Bush is not realistic.

[bobbyduck1]

Blame the governement all you want but there are other areas that were devastated by katrina and they have recovered. Why can't N.O. recover?
Posted by endurorob at 9:07 AM : Jun 3, 2009

There are still many of the poorer communities along the Gulf Coast that have not been rebuilt or had other equivalent disaster aid provided, such as we would have done for Manhattan or La Jolla. The ones that have been helped involved significant commercial concerns such as offshore drilling support, shipping concerns, casinos etc. In other words, items of interest to the GOP.

Those of you who continue to defend FEMA and the Bush administration's Katrina response are the ugliest part of the problem that still remains. Fortunately you are a rapidly dwindling minority - can't wait until 2010 elections, when you will become even more insignificant !

[bobbyduck1]

bobby- it was the Dem Mayor and Governor that messed up, by not evacuating, canceling trains and buses for evacuation, not calling the National Guard in until too late(THe FEDS can't send them in without a request), and trying to blame it all on Bush.
Posted by jschmidt27 at 9:32 AM : Jun 3, 2009

That's a load of stinking manure! While there is some merit to what you say as regards the initial HOURS of this debacle, the lack of meaningful help in the YEARS since this occurred is what is outrageous. And would NEVER have been allowed to happen in places like Manhattanm or La Jolla - you know, where all the rich white Republicans live? Had it happened there, and regardless of what the local or state governments may have done in the beginning, it would all be erased and back to normal by now.

All of you who defend our government as regards Katrina aid are part of the problem and also most likely listen to Rush daily.....what we didn't do (and still haven't done) to help the lower 9th ward will forever be a disgraceful chapter in American history.

[jschmidt27]

bobby- it was the Dem Mayor and Governor that messed up, by not evacuating, canceling trains and buses for evacuation, not calling the National Guard in until too late(THe FEDS can't send them in without a request), and trying to blame it all on Bush.

[endurorob]

If Katrina had happened in Manhattan or La Jolla, there would be absolutely no evidence of it any more. America will be forever tarnished by the racist, elitist, abhorrent response to the lower 9th ward unfortunates.

You can almost hear Bush and Cheney chatting it up: "They ain't nothin' but just a bunch of poor blacks who mostly vote Democrat, we can't waste any money cleaning that up! Who needs 'em anyhow? Shoot, we could buy us a few more bombs instead of helping them! Or maybe bail out another Wall Street firm that we helped run into the ground"
Posted by bobbyduck1 at 8:50 AM : Jun 3, 2009


Blame the governement all you want but there are other areas that were devastated by katrina and they have recovered. Why can't N.O. recover?

[skyk-2009]

another example of gov seizure
Posted by mjvwsr at 8:42 AM : Jun 3, 2009

Are you Right Wing LOSERS living in a CAVE or something?? LOL You walk down the Street I live on and there's got to be 5 or 6 homes running down, lawns not mowed. Now what earthly good does it do this nation or my town to let them sit there and continue to rot down? Honestly when your ideology gets to the point that you lack basic COMMON SENSE, it has gone WAY to far and YOU make WAY to much money!!

[bobbyduck1]

Not a bad idea. They could start by helping all of the Katrina victims who are still homeless and still waiting for some actually meaningful action by our "government".

If Katrina had happened in Manhattan or La Jolla, there would be absolutely no evidence of it any more. America will be forever tarnished by the racist, elitist, abhorrent response to the lower 9th ward unfortunates.

You can almost hear Bush and Cheney chatting it up: "They ain't nothin' but just a bunch of poor blacks who mostly vote Democrat, we can't waste any money cleaning that up! Who needs 'em anyhow? Shoot, we could buy us a few more bombs instead of helping them! Or maybe bail out another Wall Street firm that we helped run into the ground"

[mjvwsr]

"Agency Explores Placing Storm Victims In Bank-Owned Houses If Other Options Are Full"

another example of gov seizure

[All_pols_need_2_go]

Let me see if I have this straight. The government aka FEMA aka worthless humps, now wants to use the homes of people who lost them to foreclosure? Perhaps the income tax burden along with ALL the OTHER TAXES we pay helped to run a lot of these people out of their homes. Had they not been stripped of a large % their paycheck each month before getting it themselves they might have been able to make it through hard times and keep their home. But unlike government they can't print money when we are running low or borrow from China to cover our expenses, only government can do that. So now government will use these freebie houses to place people isn't that special.