Sunday, September 08, 2013


(h/t Atrios)

The local DC government goes after people who owe back taxes and then lets the predators take over collection.  In some cases, a tax bill of as little as $200 leads to the loss of a fully-paid house worth perhaps 200 times as much as the original bill. From the WaPo:
Coleman, struggling with dementia, was among those who lost a home. His debt had snowballed to $4,999 — 37 times the original tax bill. Not only did he lose his $197,000 house, but he also was stripped of the equity because tax lien purchasers are entitled to everything, trumping even mortgage companies.

More than half of the foreclosures were in the city’s two poorest wards, 7 and 8, where dozens of owners were forced to leave their homes just months before purchasers sold them. One foreclosed on a brick house near the Maryland border with a $287 lien and sold it less than eight weeks later for $129,000.

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