BAIL OUT BANK DEMOLISHES NEW MODEL HOMES- HOUSING MARKET COLLAPSE
November 28th, 2009 | by admin |
Final Vid part 6 of 6
Wall Street Journal
http://online.wsj.com/article/SB124148169574985359.html
Victorville model homes being demolished.
BREAKING NEWS Developing: Another bank will begin the tear down of 20 Temecula homes in Southern California.
NEW HOMES DEMOLISHED
By Patrick Thatcher, staff writer for, Daily Press
Victorville- The housing collapse is taking a literal form for one bankrupt housing development.
Four model homes and 12 nearly finished spec homes at Bear Valley Road and Highway 395 are being demolished.
The developer filed bankruptcy about 18 months ago and the foreclosed property went to Guaranty Bank in Irvine.
A Guaranty Bank official, Real Estate Officer Dean Smith, said they were facing daily fines from the city of Victorville if they didnt do something with the homes and property that not up to code. He said it was a choice of pumping their own money into property site improvements and additional money to bring the home up to code or tear down the 16 homes.
Smith said the bank is not in the building or land development business and because of the current housing market does not see anything happening with the property for at least five years.
Our only option is to either proceed with putting more than a million bucks into the land, which weve already taken a huge hit on and lost a lot of money, or, we tear down the houses, Smith said.
He said the builder put up the homes before completing the site improvements and failed to have enough money to finish roads, walls, and other improvements that bring the community into code.
Everything just fell apart at that point and we cant sell homes that are not up to code, Smith said.
He said the city of Victorville fined the bank once because the home are out of code and would have faced daily fines if Guaranty didnt do something with the vacant houses.
There are still substantial dollars that need to be put into the land before the city of Victorville will give certificates of occupancy on the houses and the bank isnt willing to put forward that amount of money, Smith said.
He said the homes are a liability to Guaranty and that all of them are heavily vandalized inside and out with broken glass everywhere.
Our projections are that those houses would sit the way they are for at least five years, what would they be worth then? Smith said.
He said once the homes are demolished the property will be put on the market again. Calls to the developer were not returned.
Patrick Thatcher may be reached at 760-951-6227 or at pthatcher@VVDailyPress.com
Part 5 Video
http://www.youtube.com/watch?v=ZsgOaCZ2Lag
Duration : 0:1:4
[youtube 4Ilayp2ykts]
25 Responses to “BAIL OUT BANK DEMOLISHES NEW MODEL HOMES- HOUSING MARKET COLLAPSE”
By logic2reason on Nov 28, 2009 | Reply
1. nowhere else can …
1. nowhere else can you get a loan, besides a bank. 2. money doesnt exist. They create it, and can encourage you to create it with yoru signature when they want you to. 3. they can also say no when they want to. 4. greedy familes are to blame jsut the same as the other 6 billion who rather not know anything about there lives. can’t take power that is given to you
By sfordgg on Nov 28, 2009 | Reply
THANK GOD FOR …
THANK GOD FOR SECTION 8
By devere84 on Nov 28, 2009 | Reply
Main stream media …
Main stream media doesn’t want to report the truth. They are telling the opposite.
By MRMILO57 on Nov 28, 2009 | Reply
zeusvalentine …. …
zeusvalentine ….left wing….
You look it up!
By zeusvalentine on Nov 28, 2009 | Reply
left wing? the only …
left wing? the only people I know who are left wing are government employees or people in unions. they want the guy at McDonald’s to give up half his wages to support them – hardly fair.
By zeusvalentine on Nov 28, 2009 | Reply
this should have …
this should have been news on CNN
By MRMILO57 on Nov 28, 2009 | Reply
PsychoticusRex …I …
PsychoticusRex …I think you are a very harsh critic.
But you got my point loud and clear.
One more thing, I never have been dishonest with people when it comes to money, I actually do work for animal/wildlife charities.
You have yourself a nice day, because I sure am.
By PsychoticusRex on Nov 28, 2009 | Reply
If not pointless …
If not pointless boasting of an adolsecent you’ve identified yourself as one of the monied problem children, you money allows you to get by without the kind of conflict resolution skills others have to take for granted. Go ahead, wade through life declaring everyone else bad people because they don’t have the money you stole from them. Fascist, take your blame the vitim mentality and shove it up your loving oriface.
By MRMILO57 on Nov 28, 2009 | Reply
PsychoticusRex…. …
PsychoticusRex….that did make me smile!
Even though financially, I’m in a rather comfortable position, if I want, I could go out and get loan, buy that 10 million dollar house with a 3.5 million dollars cash deposit.
The bank is not forcing me to, I choose if I want to do that!
So, I am happy to live in my 1.5 million dollar home, without dept.
You getting my point?
By PsychoticusRex on Nov 28, 2009 | Reply
You obviously have …
You obviously have no idea how banks, insurance and finance work, not even a grade school primer level of knowledge. There are plenty of instructional videos on YouTube, get yourself wise, arguing with you is like talking my dog out of licking himself; futile.
By MRMILO57 on Nov 28, 2009 | Reply
logic2reason …… …
logic2reason …….greedy familes are to blame for all the mess concerning unaffordable Australian properties, the famlies choose to take to loan, the banks don’t force them!!!
By logic2reason on Nov 28, 2009 | Reply
if it were familes, …
if it were familes, then you could also blame it on people have more kids that would be required to replace yourself. but anyways, its the banks who give the loans. That is the problem. just becuase someone wants a house, you cant buy it unless its for sale. If you dont want to sell, offer more money! you cant offer more money unless the bank says so. its the banks fault, end of story. 100% of the worlds problems are because of this planets ideals on money and banks….
By logic2reason on Nov 28, 2009 | Reply
ha ha
ha ha
By ilililhy on Nov 28, 2009 | Reply
There is a new …
There is a new saying in America,SHOOT A BANKER SAVE A BUCK
By sageb1 on Nov 28, 2009 | Reply
private banks …
private banks promote greed amongst the middle class, and this is the result both in the Americas and in Oz, as well as in a banana republic (like when Central America was run by the Contras and South America before the socialists took over).
Tho the socialist South and Central American countries soon become dictatorships due to abreaction to the neocon rightwing militias arising out of the ashes of the past.
By MRMILO57 on Nov 28, 2009 | Reply
PsychoticusRex
…
PsychoticusRex
Families have and do cause greed, not only the banks!!!….they are definately not victims, there are no leftwing people anymore, everyone is trying to make fast money.
By MRMILO57 on Nov 28, 2009 | Reply
PsychoticusRex… …
PsychoticusRex…incorrect.
Families in Australia, have hardly paid off their 1st house and use it as collateral to borrow for a 2nd house.
So when they lose the 1st house they automatically lose the 2nd house and so forth.
When Australia has our property bubble and the hits the fan, those families deserve everything they get, they deserve to lose everything.
By PsychoticusRex on Nov 28, 2009 | Reply
Civic officials …
Civic officials have to give permission for properties to be demolished in their municipalities, it’s called a demo-permit. EVERY level of government in your country is corrupt. if you had a CIVIC official just unwilling to give new demo permits this would never happen. instead they think it’s their job to give a rubber stamp if they do it in a safe and clean manner.
By PsychoticusRex on Nov 28, 2009 | Reply
get a clue, that’s …
get a clue, that’s right wing blame the victim mentality! No one gets foreclosed on if they have a 2nd property since they can use that as leverage on the 1st and rent out the 2nd.
dolt
By benzo771 on Nov 28, 2009 | Reply
The important thing …
The important thing is the bank exec’s are well taken care of….
By MRMILO57 on Nov 28, 2009 | Reply
In Australia, our …
In Australia, our property prices are 60% over valued.
Australia’s current economic situation is a result of inflation out of control.
Families are to blame for most of it, 1 home isn’t enough anymore. They want 6 or 12 or 20 homes!
By bukakkesake on Nov 28, 2009 | Reply
way to stereotype …
way to stereotype there buddy, you ever been to america? You can blame the central banks for this shit. The central banks of the WORLD, in cooperation with one another. The elite monetary class.
By DtraRagh on Nov 28, 2009 | Reply
Schnappt euch eure …
Schnappt euch eure Scheiss-Waffen und verteidigt euch endlich.
By moh2o on Nov 28, 2009 | Reply
This is what your …
This is what your tax dollars are Paying For!!!
By nobleowl on Nov 28, 2009 | Reply
Guaranty Bank of …
Guaranty Bank of Austin is wrecking the structures to provide a “safe environment” for neighbors of the abandoned housing tract in Victorville. Victorville city officials said the bank told them the cost of finishing the development would exceed what they could sell the homes for. The bank also faced escalating city fines as vandals and squatters took over the sprawling housing project, leaving behind graffiti and drug paraphernalia, city officials said.