need to add title here

What's next for Cleveland?

December 18, 2011 12:58 PM

Former county treasurer Jim Rokakis says many responsible homeowners are now trapped in their homes because they can't afford to sell.

There Goes the Neighborhood
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by caresforyou December 25, 2011 8:22 PM EST
to bush1974 judyebush I believe I can help please email me at cj.farms@live.ca
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by tomptaylor December 19, 2011 11:57 PM EST
There should be a fund, I would like to help these families too. I was heart broken by the woman who did not want to give up on the American dream (the nurse). This is a tragedy, this is when the government should be getting involved. If the banks are not going to take care of these houses for resale, why are they kicking people out, why is the government not declaring eminant domain over these homes, and allowing the people to stay.

The people interviewed were not speculators, they did not seem to be taking big risks, they were everyday hardworking people stuck in a bad situation, the government and the rest of us need to help out.
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by janeapp December 19, 2011 4:09 PM EST
This is happening all over the country, but most cities can't afford to demolish even the very worst of the abandoned structures in their inventory. Where is Cleveland getting the money for all these demolitions?
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by zemplenbe December 19, 2011 3:02 PM EST
So let's review. You're a local government. Every time a house goes into foreclosure, you lose. The property flips from being a source of revenue to a source of costs (e.g., policing). Worse, it infects the neighborhood, further depressing property values and generating further foreclosures as people walk away.

The mortgage servicer either can't or won't help you. Maybe they're hamstrung by the fact that the mortgages are securitized. Maybe there is no manager in the servicing organization willing to take the initiative and settle for half a loaf. The reason why really does not matter now.

How about this idea: Stop sending the sherriff out! If foreclosures make the community worse for those who live in it and threaten your solvency, don't do them. You, the local government, move into the vacuum: work out terms with the delinquent homeowners and then negotiate with the servicers. Get your legislative delegation on board to provide legal air cover. Stop playing a losing hand.
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by hermanjamers December 18, 2011 9:38 PM EST
What is really sad is that I've read other blogs claiming that the property taxes in New Jersey are $9,000/yr. I saw a piece on PBS of a Long Island couple who pay $10,000/yr property taxes on their modest home. The wife went back to work just to be able to pay the property taxes. And Cleveland graciously is giving the vacant lot left over after they rip the abandoned home down to the next door neighbor. Some gift. Now they have more property taxes to pay. End exclusionary zoning and we wouldn't have problems like this. I lost my job of 23 yrs in Oct 2008 and I just moved my singlewide mobile home out of the mobile home park to someplace that permitted me to place it on a lot I bought there for $12,500. Now I'm paying property taxes to that community and saving $3,000/yr compared to what I was paying in lot rent to the mobile home park. With upgrades I have about $30,000 into my singlewide. I was able to retire because instead of flushing all my money down the 30 year mortgage toilet I saved and bought single premium immediate life annuities so I have income for life. Wouldn't it be nice to be able to move your home to your next job or to someplace cheaper and warmer in retirement? No one should be able to tell you how big your home should be or that it has to conform to existing housing. How about ending exclusionary zoning now? Let's not wait for a complete monetary collapse. I dare 60 Minutes to do a show on exclusionary zoning.
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by JVDavis123 December 18, 2011 8:03 PM EST
Is there a fund that has been started for some of these families? I would like to try to help out the sick nurse who may lose her home. At least enough to buy some food. jdavis - nyc
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