Comments on: Own to Rent Program in New Jersey http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey.html Mon, 23 Nov 2009 08:18:14 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: REIDeX http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey.html#comment-11704 REIDeX Sun, 20 Jul 2008 22:55:00 +0000 http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey/#comment-11704 If you like the social benefits of this own-to-rent scheme for the homeowners, you will love the additional economic and financial benefits for both the homeowners and the mortgage lenders that the SwapRent (SM) program could provide. The SwapRent (SM) methodology is a result of 6 years of dedicated research which was first conceived in 2001 before the real estate bubble that had caused the current foreclosure crisis even got started. <br/><br/>As I have commented before that the own-to-rent scheme is nothing more than the simple concept to "foreclose and rent back" forced upon the lenders. <br/><br/>The SwapRent (SM) program on the other hand, is a 100% free market based solution which transfers only the economic interests of such a traditional "sale and rent back" concept. In a typical SwapRent (SM) contact, the homeowner will reversibly be the economic tenant of their own home for a certain period of time. The homeowners will get to stay in their own homes and also keep 100% the legal title ownership. The economic landlords could be the very same lending bank or any other third parties in a typical SwapRent (SM) transactions. <br/><br/>Unlike in a "own-to-rent" scheme where the property will be foreclosed and the associated mortgage value trashed, the SwapRent (SM) helps prevent foreclosures to begin with. <br/><br/>These detailed proposals have been communicated to Dean Baker academically and to all the regional FHLBs including the NY Branch since July/August of 2007 for their adoption. For more info about the SwapRent (SM) project please visit http://www.SwapRent.com or http://www.REIDeX.com . Thanks. If you like the social benefits of this own-to-rent scheme for the homeowners, you will love the additional economic and financial benefits for both the homeowners and the mortgage lenders that the SwapRent (SM) program could provide. The SwapRent (SM) methodology is a result of 6 years of dedicated research which was first conceived in 2001 before the real estate bubble that had caused the current foreclosure crisis even got started.

As I have commented before that the own-to-rent scheme is nothing more than the simple concept to “foreclose and rent back” forced upon the lenders.

The SwapRent (SM) program on the other hand, is a 100% free market based solution which transfers only the economic interests of such a traditional “sale and rent back” concept. In a typical SwapRent (SM) contact, the homeowner will reversibly be the economic tenant of their own home for a certain period of time. The homeowners will get to stay in their own homes and also keep 100% the legal title ownership. The economic landlords could be the very same lending bank or any other third parties in a typical SwapRent (SM) transactions.

Unlike in a “own-to-rent” scheme where the property will be foreclosed and the associated mortgage value trashed, the SwapRent (SM) helps prevent foreclosures to begin with.

These detailed proposals have been communicated to Dean Baker academically and to all the regional FHLBs including the NY Branch since July/August of 2007 for their adoption. For more info about the SwapRent (SM) project please visit http://www.SwapRent.com or http://www.REIDeX.com . Thanks.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey.html#comment-11695 Anonymous Sun, 20 Jul 2008 14:25:00 +0000 http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey/#comment-11695 The problem with these lend to create homeowner programs is the maintenance. New roofs, fencing,floors, heaters, waterheaters,upgraded windows, driveways, are avoided due to the limited economic situation of the new owner and as a result the home either rapidly degrades or slowly.<br/>The other issue is that these citizens would be better off renting from a economic point of view, maintenance and spirling taxes would not be a problem and they have the ability to quickly move to take advantage of new employment. The problem with these lend to create homeowner programs is the maintenance. New roofs, fencing,floors, heaters, waterheaters,upgraded windows, driveways, are avoided due to the limited economic situation of the new owner and as a result the home either rapidly degrades or slowly.
The other issue is that these citizens would be better off renting from a economic point of view, maintenance and spirling taxes would not be a problem and they have the ability to quickly move to take advantage of new employment.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey.html#comment-11685 Anonymous Sun, 20 Jul 2008 07:02:00 +0000 http://www.nakedcapitalism.com/2008/07/own-to-rent-program-in-new-jersey/#comment-11685 Due to property taxes, we are all renters. Due to property taxes, we are all renters.

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