Euclid Ohio, Cleveland, Amy Scott discussed on Marketplace All-in-One


The option to quit their jobs but as you remember ten years ago things weren't so good we're headed now to south euclid ohio an outer suburb of cleveland it's part of our year long series on the legacy of the financial crisis called divided decade like a lot of cities that were hit hard by foreclosures south euclid saw a lot of its housing stock bought up cheap by investors who thought they could flip them when the market got better but it didn't and a lot of those houses fell into disrepair and some of those landlords started unloading houses through shady rent to own deals the city has been trying to get to the bottom of those deals marketplace's amy scott brings us the story there is a picture of sallie martin taped up in the housing department at south euclid city hall she standing in front of an abandoned house knee deep in grass holding an oversize yardstick the caption reads the littlest enforcer martin is mall just four eleven with short blond hair and she didn't get that nickname by accident when the housing bubble burst a decade ago there was a lot of predatory lending that went bad in our community so in two thousand eight the city of south euclid hired its first housing director to make sure this middle class community with its good schools and low crime rate didn't sink into a sea of abandoned homes and blight sally martin got the job to enforce the city's housing code and keep south euclid south euclid what's great place to live i live here myself my husband grew up here many lower income families in the cleveland area aspire to live here too and subprime mortgages with no money down and adjustable rates had allowed a lot of those families to trade up what happened next is a familiar tale over twenty percent of our stock in up in foreclosure some streets had you know over ten percent sometimes twenty percent bacon see before long martin started hearing about shady rent to own deals that illegally saddled would be buyers with the responsibility for thousands of dollars in taxes and repairs we try to find out you know who's doing this what's going on and what the outcomes are and unfortunately the outcomes are usually terrible martin takes me on a tour of south euclid to show me just what terrible looks like that's when we meet maria torres who's rent to own house turned out to have one hundred twelve housing code violations we came in and we really this is skimpy a big job a job martin says should have been done by the landlord the laws vary explicit i think the question is how easy is quite and be to prosecute when may the parties are not local and not easy to find maria torahs landlord originally was.

Coming up next