From Homescape

written by Amy Le on Monday, May 12, 11:16PM

Amy Le

The 43-year-old Canseco retired from the major leagues in 2001, but in recent years has been at the forefront of a media frenzy with his tell-all-book on steroid abuse in the league. On Thursday, Canseco landed himself in the headlines again with another startling admission. The Associated Press reported that Canseco told the celebrity TV show, Inside Edition, “It didn’t make financial sense for me to keep paying a mortgage on a home that was basically owned by someone else.” Foreclosure documents show Canseco owed a bank more than $2.5 million on the 7,300-square-foot-home located in the Los Angeles suburb of Encino.

The poor house
While the former MVP may not be in the same financial mess as other working-class families currently facing foreclosure, Canseco says his dwindling finances are the cause behind his recent misfortune. He told Inside Edition, “You know my life, this financial thing, is a very complicated issue. Obviously, when you make all that money, people think, ‘OK, let’s assume it is $35 million.’ People have to understand that $35 million, you’re paying the government 41 percent. That leaves you with about $17 or $18 million, not even. Then you’re taking care of your whole family.”

With gas and food costs up, it sure must be tough raising a family off of a meager $17 million. Dining out at five-star restaurants and pumping fuel into a suped-up SUV will drive you to the poor house alone. No way Jose, no sympathy from this baseball fan. While there are a good number of hard-working families who have fallen on hard times and have lost their homes — in many cases, not by their own making — a part of me looks at Canseco’s attitude as symptomatic of the real causes behind the housing bust. People borrowed money they knew they couldn’t pay back, used the equity in their home like an ATM machine and bought property they really couldn’t afford.

Living the American Dream
Before I get accused of being an elitist, it’s important to note I spent most of my life with a plastic spoon in my mouth. While I may not have had to walk 14 miles up a hill to get to school, my parents did come to this country with $10 in their pocket. Our family of four lived in a tiny 1-bedroom apartment until I was 8 years old. My parents worked minimum-wage jobs as a janitor and waitress, but they saved every dime they earned, and eventually bought their own home and started their own business. We all want to live the American Dream, and I truly believe anyone can achieve it in this country. But before that dream can be lived, it has to be earned.

I’m not going to pretend that I’m the poster child for fiscal responsibility, but it blows my mind when I see people live a lifestyle way beyond their means. I have friends who have $15,000 in credit card debt, but still go out and by a $3,000 flat-screen television. And I’m sure I’m not the only person who knows people like this. We may not be able to predict the future, but we can sure try to prepare for it the best we can.

Got hot local housing tips or a story you want to share? Contact Amy Le at openingdoorsblog@homescape.com.

written by Amy Le on Thursday, April 24, 9:01AM

Amy Le

The recent housing bust has churned out some pretty interesting news stories. After reading about abandoned pets in foreclosed homes and a Wisconsin man offering the title to his $500,000 life insurance plan to anyone willing to buy his home, I thought I had heard it all. That was until my friend sent me a CNNMoney.com article this morning about two real restate agents giving tours of foreclosed homes.

Bus Tour
Instead of sitting on their rears complaining about the bad luck that’s plagued their industry, Barbara and Marshall Zucker are taking their clients to see it firsthand. As they watched the Las Vegas foreclosure rate skyrocket 169 percent from 2006 to 2007 — making Nevada one of the hardest hit states in the nation — the clever couple had noticed that 40 percent of all home sales were foreclosed properties. So in February, the Zuckers bought a 24-seat Ford bus for $40,000, named it the Vegas Foreclosure Express, and began offering locals and out-of-state investors tours of repossessed homes.

The trip is free, but the couple requires riders to sign exclusive-representation agreements covering any property included in the tour. In addition to viewing the sites, they offer onboard finance consulting and educational seminars on home buying.

Out-of-the-box
Now I thought the Wisconsin man’s marketing ploy to attract homebuyers with a life insurance plan was a little off-the-wall. But creating a tour of foreclosed homes is brilliant on so many levels. The quicker the number of foreclosed homes get sold and taken off the market, the sooner home values will climb back up as inventory shrinks. And as for the agents, these are hard housing times, and the opportunity to close a deal on a single home is better than not selling anything at all.

Before the Foreclosure Express hit the road, the Zuckers brokered annual sales of $150 million, worth an estimated $4.5 million in commissions. They have since scored 120 new clients — first-time buyers as well as out-of-state investors — and anticipate netting an additional 15 to 20 sales a month as a result of the tours.

What do you think of Foreclosure home tours, brilliant or bozo idea?

Got hot local housing tips or a story you want to share? Contact Amy Le at openingdoorsblog@homescape.com.