[Flifuss]

The purchase price to the agency would be 60% of pre-Katrina value. If this property is in an area where redevelopment is allowed, it will definitely be worth considerably more than the pre-Katrina level. The increase in property value, depending upon the circumstances at the time of redevelopment should be much closer to the overall purchase cost.

Thanks for the information.

Another Question, going back to my example, fair market value of home $75,000. Purchase price @ 60% = $45,000.00. Say conservatively $10,000.00 for demolition, cleanup, and preparation. $55,000.00 cost just for vacant land now. You state if the property is in an area where redevelopement is allowed, the property (just land) is going to be worth considerably more than pre-Katrina levels. Sorry for being a pain, but I'm just trying to understand. So, the vacant land is going to be more valuable than a pre-Katrina home?

I would hope the land could sell for the purchase price and improvements totalling $55,000.00, but that seems unrealistic to me.

Am I getting this right?

[Uncle Sham]

We need more info from the ones who wrote the bill. I don't know all of the details, but in general how it's supposed to work. There might be charges passed to the developers or things like that. Need more info. This isn't perfect but by far the best plan that has been suggested.