I got this story from the lender (a coworker) when I went to pay the annual property taxes (it's escrowed) and saw that the property taxes had decreased significantly.
Millionaire buys a house on the bay in Wisconsin for $300,000. It's right next to his huge, gorgeous house. Tells the lender he's buying it because he doesn't want anyone else to move in. Then he tears down that house to improve his view of the bay. This decreases the market value of the property to about 1/4 of what it was.
Good for him that he can throw away that much in assets, I guess. It means that the loan is underwater now, though. Not sure what the lender is going to do about that.
Millionaire buys a house on the bay in Wisconsin for $300,000. It's right next to his huge, gorgeous house. Tells the lender he's buying it because he doesn't want anyone else to move in. Then he tears down that house to improve his view of the bay. This decreases the market value of the property to about 1/4 of what it was.
Good for him that he can throw away that much in assets, I guess. It means that the loan is underwater now, though. Not sure what the lender is going to do about that.
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