Extreme Makeover -------> Extreme Foreclosure

Posted by: Peter Coy on July 29, 2008

extreme makeover.jpg
I love this Washington Post story todayabout an extravagant makeover that just went into foreclosure. It seems that the owners took out a big loan against their beautiful home that they were unable to repay. They have not been forthcoming about giving their side of the story to the media. You don’t know whether to laugh or cry.

Extreme-2.jpgIf you hunger for more on this story, check out the Atlanta Journal-Constitution story from a few days ago or WSB-TV, which broke the story.

Reader Comments

Allen

July 29, 2008 4:07 PM

A typical greed that went too far, perfect example of what caused today's Housing market fiasco...

Sally in Chicago

July 29, 2008 4:12 PM

I don't think this is new, it was happening all the while during the house makeover shows. The house was deeded to the new owners and they took out second mortgages or tried to sell the house. Stuff happens.

nancy

July 29, 2008 5:25 PM

wow, that is very sad. that should have been part of the deal, financial counseling. it's easy to get caught up in thinking that you are making the right decisions. when you build your future, you start small ans work you way up. you don't want to "risk it"...! when you are handed something, it's hard to see how easy it can be taken away. i feel bad for them. I do...

Francina

July 29, 2008 7:22 PM

I would LOVE a house like this or even half of this home for my two Child my husband and I. I live in a two bedroom trailer trying to go to school full time work full time and still have to live from pay check to paycheck and still can't make it and here this family got a free house with a very nice nest egg and still are not happy SHAME ON YOU.

Mike R.

July 29, 2008 7:26 PM

You loved the WaPo story? Why? I thought it was appalling. Not because of the topic but because of the shoddy journalism and worse writing e.g., "momming" is not a word, nor is "wha'ppen."

N

July 29, 2008 7:32 PM

Oh, I'm laughing all the way to the next story about this whole idea that we all need to live like that.....

Bender Rodriguez

July 30, 2008 1:36 PM

Stupidest-ass family in America...we have a (bunch of) losers!!!

Maddie

July 30, 2008 9:38 PM

The Harper family are not the only ones stuck on stupid in this situation:

1. Why didn’t their original real estate agent mention the words “home inspection” and “home warranty”? Greedy agent.

2. Why did ABC/Beazer homes put $450K into a house in a neighborhood where the average house is $150K? They only needed a new septic system. Greedy sponsors.

3. Why did the Harpers start a “construction” business, something they obviously know nothing about? And did they tell the bank that’s what the money was for? Did the bank ask to see a business plan? Greedy sponsors.

4. How did the bank appraise the house? Isn’t an appraisal supposed to be what a sane person would pay for a house? What sane person who can afford $450K is going to buy in a neighborhood of $150K houses? Greedy bank.

estimate of value (it’s the expensive one in the middle.)
5489 Ahyoka Drive, GA
http://tiny.cc/ZWfEA

jeff

July 31, 2008 10:28 PM

Makes you mad doesn't it?! You'd think a major windfall like that would be worth protecting. I guess not.

Invest the tax money, get a job you enjoy and don't let anything endanger that kind of security. That was really dumb.

Carey

August 1, 2008 8:06 AM

This is what is WRONG with America, and the producers of this show should wise up!!

Instead of building these generally poor families ridiculous gargantuan homes with Viking appliances, pools, and other luxuries you KNOW they they can never afford to keep up, WHY NOT just build them a nice, but modest, energy-efficient home that actually fits in to their nieghborhood, versus one that lords over the place like a sore thumb??

These people were opportunistic leeches to take advantage of what they were given like this! Not only did Beazer give them 100K in cash, but they paid the mortgage off in FULL!

This is just so disgusting!!

Isioma

August 4, 2008 11:11 AM

Greedy Bums. Why would any person in their right minds gamble such a gift. Over 1800 people volunteered their time to build a home for these "needy" people and all they can think to do with such a wonderful gift is gambol it in the housing market. True we all make mistakes and I could happen to anyone. But not everyone gets a Mansion and 250000 dollars for free. So, it sucks for them!

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About

BusinessWeek editors Chris Palmeri, Prashant Gopal and Peter Coy chronicle the highs and lows of the housing and mortgage markets on their Hot Property blog. In print and online, the Hot Property team first wrote about the potential downside of lenders pushing riskier, "option ARM" mortgages and the rise in mortgage fraud back in 2005—well ahead of many other media outlets. In 2008, Hot Property bloggers finished #1 in a ranking of the world's top 100 "most powerful property people" by the British real estate website Global edge. Hot Property was named among the 25 most influential real estate blogs of 2007 by Inman News.

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