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I don't see how you'd get around the reason those houses were abandoned in the first place: They have more debt attached to them than they're worth. Buying the

by derleth 13y ago

I don't see how you'd get around the reason those houses were abandoned in the first place: They have more debt attached to them than they're worth. Buying the house at auction means that you'd be responsible for those debts. I doubt adverse possession would change that. Even if the above were not true, or the debts could be forgiven, the buyer would still be responsible for property taxes, which means they'd need a revenue stream to avoid the government coming to repossess the land. That could be hard to work up.

jacalata 13y ago
No it doesn't. Buying a foreclosed house at auction makes you responsible for the amount you bid on it (and yes, property taxes). The bank would have to eat the remainder of the debt.
- cinquemb 13y ago
  From looking at this[0], in paragraphs, "actual" and "open and notorious", it seems like one can pay taxes on it without buying it in an auction, while still claiming adverse possession. And to address the how to pay for it aspect, it would raise income like other hacker spaces through "members" (among other ideas the community who works/habitates there decides to do through whatever entity that is the claimant of adverse possession). [0] http://legal-dictionary.thefreedictionary.com/Adverse+possession http://legal-dictionary.thefreedictionary.com/Adverse+posses...
  - varelse 13y ago
    I would counter that if any such properties existed in SF, and there was an opportunity for this sort of arbitrage, it already happened. There are just too many agents scouring this market for bargains at all times for me to believe otherwise. Consider it a weak form of the efficient market hypothesis. In my own experience, any amazing(tm) bargain I encountered over the past 5 years since the crash was quickly bid up to efficient rates. Here's my personal favorite example that I descended upon only to balk at all the offers already in place: http://www.socketsite.com/archives/2011/01/11_offers_and_27_over_asking_yields_9_under_2001_on_pot.html http://www.socketsite.com/archives/2011/01/11_offers_and_27_... That said, you never know until you know...
    - cinquemb 13y ago
      >I would counter that if any such properties existed in SF, and there was an opportunity for this sort of arbitrage, it already happened… Consider it a weak form of the efficient market hypothesis… I can agree with what you are saying, but I propose that maybe (having never been/lived in SF) that the types places agents are looking for (quick flips? and off the market for reasons mentioned already) and the types of places that might be suitable for hackerspace group ltd|org|corp|llc (enclosed and with a roof and off the market for reasons mentioned already), if one were to make a venn diagram there would be at least one third agents havent been looking at (maybe less so in sf than in other areas in the country). Or proposed another way, how many homes are being knocked down by banks[0] (and in SF to be relevant)? I'm asking friends who are involved in real estate (not in sf), because talking about this more has got me more interested to see who else I know is up for trying something. [0] http://www.newser.com/story/124793/why-banks-are-knocking-down-foreclosed-homes.html http://www.newser.com/story/124793/why-banks-are-knocking-do...

by derleth 13y ago

jacalata 13y ago

No it doesn't. Buying a foreclosed house at auction makes you responsible for the amount you bid on it (and yes, property taxes). The bank would have to eat the remainder of the debt.

cinquemb 13y ago
From looking at this[0], in paragraphs, "actual" and "open and notorious", it seems like one can pay taxes on it without buying it in an auction, while still claiming adverse possession. And to address the how to pay for it aspect, it would raise income like other hacker spaces through "members" (among other ideas the community who works/habitates there decides to do through whatever entity that is the claimant of adverse possession). [0] http://legal-dictionary.thefreedictionary.com/Adverse+possession http://legal-dictionary.thefreedictionary.com/Adverse+posses...
- varelse 13y ago
  I would counter that if any such properties existed in SF, and there was an opportunity for this sort of arbitrage, it already happened. There are just too many agents scouring this market for bargains at all times for me to believe otherwise. Consider it a weak form of the efficient market hypothesis. In my own experience, any amazing(tm) bargain I encountered over the past 5 years since the crash was quickly bid up to efficient rates. Here's my personal favorite example that I descended upon only to balk at all the offers already in place: http://www.socketsite.com/archives/2011/01/11_offers_and_27_over_asking_yields_9_under_2001_on_pot.html http://www.socketsite.com/archives/2011/01/11_offers_and_27_... That said, you never know until you know...
  - cinquemb 13y ago
    >I would counter that if any such properties existed in SF, and there was an opportunity for this sort of arbitrage, it already happened… Consider it a weak form of the efficient market hypothesis… I can agree with what you are saying, but I propose that maybe (having never been/lived in SF) that the types places agents are looking for (quick flips? and off the market for reasons mentioned already) and the types of places that might be suitable for hackerspace group ltd|org|corp|llc (enclosed and with a roof and off the market for reasons mentioned already), if one were to make a venn diagram there would be at least one third agents havent been looking at (maybe less so in sf than in other areas in the country). Or proposed another way, how many homes are being knocked down by banks[0] (and in SF to be relevant)? I'm asking friends who are involved in real estate (not in sf), because talking about this more has got me more interested to see who else I know is up for trying something. [0] http://www.newser.com/story/124793/why-banks-are-knocking-down-foreclosed-homes.html http://www.newser.com/story/124793/why-banks-are-knocking-do...