Faced with rapidly rising default rates, the FHA must be scrambling around trying to find a way to stop the bleeding. And in seeking guidance for a sound solution, who better to look to than Lenny Dykstra? While Nails may have come up with an unconventional course of action for the FHA, it's effective.
The home defiling movement that Lenny recently helped shine the spotlight on is doing wonders to make homes more affordable, reignite the market, and save the FHA. No stranger to inflated home prices, thieves in Arizona are helping spur organic growth by stripping foreclosed properties of every fixture that has even the slightest change of being resold on Craigslist.,
"Without question, probably 85 to 90 percent of houses on the market under $200,000 have been stripped," said Tempe real-estate agent Kim Baker.
"Appliances are the most commonly poached item, but plumbing fixtures and faucets, ceiling fans, light fixtures, water heaters and air-conditioning units are fair game" in the eyes of the strippers, she said.
As the FHA will not extend a loan on a property that is not intact, the Dykstra Plan will likely save the agency untold millions by forcing people to seek more expensive, toilet inclusive homes falling outside of the FHA's purview.
Theft of fixtures becomes major risk in foreclosures [Arizona Republic]