Across the country, people like Mr. Williams have found themselves in similar predicaments. Unable to obtain a traditional mortgage, they have signed a high-interest, seller-financed deal known as a contract for deed that works like an installment plan for housing. For many, these deals can quickly turn into money traps.
The deals also have added to neighborhood blight when the houses fall into further disrepair.
Contracts for deeds are difficult to track because the transactions are not recorded in many states. It can become difficult to determine who actually owns the property — and who is responsible for its upkeep and paying property taxes — often because the original contract is sold to several investors over time.
From last July, but interesting. I didn't know about "contracts for deeds".
often because the original contract is sold to several investors over time.
I think if a property is challenged and the county can't determine who actually owns it unless the owner's lawyer shows up to claim it. Should be auctioned off.
I also support a Federal Property tax on 2nd SFH homes. And a draconian tax on 3 or more. Those third houses would either be back on the market for the American dream, or they will pay off the deficit within 5 years. That's the kind of tax I'm talking about.
I also support a Federal Property tax on 2nd SFH homes. And a draconian tax on 3 or more.
I think Georgism is a better solution. Just tax the land and not the result of productive activity like labor or commerce (no income tax or sales tax):
From last July, but interesting. I didn't know about "contracts for deeds".