Aug 02, 2011
…and if all else fails, bulldoze!
02 Aug 2011
Posted by Andrew Kantor
So you’re a bank. A big one. And you’ve been foreclosing on people left and right. Problem is, the market is so saturated in some places, you’re stuck with a lot of those empty homes.
You can’t sell them, and it costs to keep them up, so what can you do? According to the Boston Globe:
Bank of America Corp., faced with a glut of foreclosed and abandoned houses it can’t sell, has a new tool to get rid of the most decrepit ones: a bulldozer.
The lender will pay as much as $7,500 for demolition or $3,500 in areas eligible to receive funds through the federal Neighborhood Stabilization Program. Uses for the land include development, open space, and urban farming, according to the statement. Simon declined to say how many foreclosed properties Bank of America holds.
Which, of course, begs the question: Wouldn’t it have been better for everyone — bank, neighborhood, original owners — to let the people stay in their homes? As I tell my eight-year-old son when his play turns to (pretend!) smashing or killing, “Anyone can destroy something. But only smart people can make things. Which are you?”