4 ms·

$150 House

9 points by taylorwc 11y ago

copsarebastards 11y ago
On top of this being a raffle, it's not even a good business plan. The value of the house is supposedly $394,000--to recover that amount they would have to get 2627 people to pay them $150. I kinda doubt that's going to happen.
- runholm 11y ago
  Or they sell it to a secret accomplice, pocketing $150 from who ever thought it was a legitimate opportunity to get out of poverty.
  - copsarebastards 11y ago
    Right, my assumption is that someone smart enough to set up a whole nicely-designed website is probably too smart to not have done the simple division I did to get the numbers in my post.
quadrangle 11y ago
So… a raffle for a house combined with some of the hassle people already do (writing letters about why you should be the buyer of a house is already common in tight markets just for normal purchase situations). The idea that this makes home ownership more affordable is no more valid than saying that the lottery enables social mobility. How about next moving to penny auctions for houses! <sarcasm>
kentt 11y ago
Any reason why this wouldn't be a scam? eg. collect $150 fee from a bunch of people. Award house to preselected person who pays some amount less than the normal market value of the home.
- bra-ket 11y ago
  or don't award the house to anyone
Someone1234 11y ago
Selecting the best essay seems silly. Unless you're submitting a hard luck case or some other sentimental diatribe there's little point competing. Plus it is very hard to believe bias wouldn't be a factor. Also this: > By putting our home on the market for a dollar, we have made home ownership in an expensive and competitive market more affordable to a greater portion of the population. Feels completely disingenuous. So they're taking $150 from 2000+ people who they feel bad for because they're poor. That makes absolutely no sense. That's like selling poor people a lottery ticket but proclaiming "but they could will ten million dollars!"
- cmdrfred 11y ago
  I agree a nomination system makes more sense. "This is why the janitor at my work deserves a house" kinda thing.
  - mwachs 11y ago
    Nomination is interesting, but what if the person nominated doesn't want the house? Then we (I'm the person who runs 150house) have gone through potentially thousands of essays for nothing. I guess it doesn't really matter, but I don't believe this is a scam and it's not preying on poor people: We (middle class) submitted an offer under similar terms for a bed and breakfast in Maine. There is only one house, so only one person/family/entity can eventually own it. Also, if we don't sell the home via this process (which looks likely), we're refunding money. But sure, call it a scam--although it's the very worst scam considering I've told everyone where I live with my family, my phone number in a large font, my email, and potentially making no money. Quite sinister, indeed.
    - cmdrfred 11y ago
      If the person doesn't want the house, maybe go to the next person on the list? If you vote by committee (maybe let the internet vote) you have a line of succession. I don't think its a scam, but lotteries are bad news for families living in poverty. It's great for the one that wins, its a kick down deeper for the rest.
joedavison 11y ago
I'm pretty sure this is illegal. http://www.consumer.ftc.gov/articles/0199-prize-scams http://www.consumer.ftc.gov/articles/0199-prize-scams http://www.ohiostartuplaw.com/is-your-business-running-an-illegal-lottery/ http://www.ohiostartuplaw.com/is-your-business-running-an-il...
someone12345125 11y ago
I don't believe that this is illegal. Because of the fact that they're doing the "write an essay" thing it's a competition not a 'raffle'. While yes, it's completely subjective... It remains within that competition level. Think about it like this: You enter a pro-poker tournament, you pay $10k to POSSIBLY win $2million. Or a better example, you enter a baking competition with a $50 entry. The judges choose based on their feelings. They use their expert knowledge and weed out the people who couldn't perform technically.... but everything after that is based on their feelings and personal tastes/preferences. This is no different. To the point of some other people in this thread... Ye this is totally preying on desperate people and is Fked up. I don't know if they realize or just don't care but anyone entering is looking to 'better' themselves. There's no reason to enter a subjective competition like this when you're an investor with money to burn... so everyone entering is people with sob stories looking for hope and they're most likely spending money that they really shouldn't be giving up with their current situation.
bobbygoodlatte 11y ago
How is this not gambling / illegal?

9 points by taylorwc 11y ago

On top of this being a raffle, it's not even a good business plan. The value of the house is supposedly $394,000--to recover that amount they would have to get 2627 people to pay them $150. I kinda doubt that's going to happen.

runholm 11y ago
Or they sell it to a secret accomplice, pocketing $150 from who ever thought it was a legitimate opportunity to get out of poverty.
- copsarebastards 11y ago
  Right, my assumption is that someone smart enough to set up a whole nicely-designed website is probably too smart to not have done the simple division I did to get the numbers in my post.

quadrangle 11y ago

So… a raffle for a house combined with some of the hassle people already do (writing letters about why you should be the buyer of a house is already common in tight markets just for normal purchase situations). The idea that this makes home ownership more affordable is no more valid than saying that the lottery enables social mobility. How about next moving to penny auctions for houses! <sarcasm>

kentt 11y ago

Any reason why this wouldn't be a scam? eg. collect $150 fee from a bunch of people. Award house to preselected person who pays some amount less than the normal market value of the home.

bra-ket 11y ago
or don't award the house to anyone

Someone1234 11y ago

Selecting the best essay seems silly. Unless you're submitting a hard luck case or some other sentimental diatribe there's little point competing. Plus it is very hard to believe bias wouldn't be a factor. Also this: > By putting our home on the market for a dollar, we have made home ownership in an expensive and competitive market more affordable to a greater portion of the population. Feels completely disingenuous. So they're taking $150 from 2000+ people who they feel bad for because they're poor. That makes absolutely no sense. That's like selling poor people a lottery ticket but proclaiming "but they could will ten million dollars!"

cmdrfred 11y ago
I agree a nomination system makes more sense. "This is why the janitor at my work deserves a house" kinda thing.
- mwachs 11y ago
  Nomination is interesting, but what if the person nominated doesn't want the house? Then we (I'm the person who runs 150house) have gone through potentially thousands of essays for nothing. I guess it doesn't really matter, but I don't believe this is a scam and it's not preying on poor people: We (middle class) submitted an offer under similar terms for a bed and breakfast in Maine. There is only one house, so only one person/family/entity can eventually own it. Also, if we don't sell the home via this process (which looks likely), we're refunding money. But sure, call it a scam--although it's the very worst scam considering I've told everyone where I live with my family, my phone number in a large font, my email, and potentially making no money. Quite sinister, indeed.
  - cmdrfred 11y ago
    If the person doesn't want the house, maybe go to the next person on the list? If you vote by committee (maybe let the internet vote) you have a line of succession. I don't think its a scam, but lotteries are bad news for families living in poverty. It's great for the one that wins, its a kick down deeper for the rest.

joedavison 11y ago

I'm pretty sure this is illegal. http://www.consumer.ftc.gov/articles/0199-prize-scams http://www.consumer.ftc.gov/articles/0199-prize-scams http://www.ohiostartuplaw.com/is-your-business-running-an-illegal-lottery/ http://www.ohiostartuplaw.com/is-your-business-running-an-il...

someone12345125 11y ago

I don't believe that this is illegal. Because of the fact that they're doing the "write an essay" thing it's a competition not a 'raffle'. While yes, it's completely subjective... It remains within that competition level. Think about it like this: You enter a pro-poker tournament, you pay $10k to POSSIBLY win $2million. Or a better example, you enter a baking competition with a $50 entry. The judges choose based on their feelings. They use their expert knowledge and weed out the people who couldn't perform technically.... but everything after that is based on their feelings and personal tastes/preferences. This is no different. To the point of some other people in this thread... Ye this is totally preying on desperate people and is Fked up. I don't know if they realize or just don't care but anyone entering is looking to 'better' themselves. There's no reason to enter a subjective competition like this when you're an investor with money to burn... so everyone entering is people with sob stories looking for hope and they're most likely spending money that they really shouldn't be giving up with their current situation.

bobbygoodlatte 11y ago

How is this not gambling / illegal?