Issue Position: Abandoned Housing & Foreclosures

Issue Position

The vacant housing crisis is cited by more of you when we meet than any issue except for the economy and jobs. It's not surprising: there are 15,400 abandoned homes/lots in our city, meaning that 1 in 27 Indy properties are part of the problem. To turn things around, we must:

Take Action Equal to the Impact of the Problem
Recognize that abandoned and foreclosed homes have far-reaching consequences that choke the life and economic viability out of our neighborhoods in multiple ways as:

(a) Boarded-up, weed-infested eyesores that sink property values of nearby homes;
(b) Revenue drains that cause $83.5 million in lost property taxes annually;
(c) Havens for criminals where they can use drugs, plot crimes, and evade police;
(d) Targets for arsonists and vandals to set fires, draw graffiti, and steal scrap metal;
(e) Structurally unstable safety hazards and garbage dumps that attract rodents and bugs;
(f) A problem that only gets worse: the longer a vacant house sits, the more it deteriorates;

Make Combating Vacant Housing a Top Government Priority
Consolidate any fragmented government services handling vacant housing into one central office to increase efficiency and build capacity to get things done for citizens much more quickly;
Recognize that demolishing vacant homes is only one option; equally embrace renovating homes in adequate shape to create jobs, redevelop neighborhoods, and restore the tax base;
Target/expand private investment marketing to qualified local buyers by upgrading Indy’s vacant housing website to include photos of all city-held properties on a map with price-tags;
Strengthen the city’s ability to enforce abandoned/foreclosed housing maintenance and penalize delinquent/negligent owners in cases where the owners of vacant homes are known;

Use Vacant Housing as an Opportunity for Neighborhood Redevelopment
Build neighborhood control into the system where citizens owning nearby homes have input about which houses to demolish, which to rehabilitate, and how use vacant lots (e.g., community gardens, playgrounds, parks);
Create and market low-interest loan and tax incentives that help families, neighborhood groups and associations, nonprofits, and owners of adjacent homes to purchase abandoned and foreclosed properties to demolish or rehabilitate;
Recognize that demolishing vacant homes is only one option; equally embrace renovating homes in adequate shape to create jobs, redevelop neighborhoods, and restore the tax base;

PROGRESS MADE ON ABANDONED HOUSING & FORECLOSURES:
Justin authored the Urban Homesteading Program allowing cities the ability to sell abandoned homes for as little as $1 to people who can demonstrate they have the financial means to fix it up and make it their primary residence. Several cities have enacted this program but Indianapolis has yet to do so.

He also established the Neighbor Next Door Program allowing the County Treasurer to sell abandoned homes to the neighboring homeowner next door for as little as a $1. Unfortunately, the County Treasurer has yet to adopt this program.

Justin worked to expand The Good Samaritan Law to allow residents to paint over the graffiti that has been spray painted onto an abandoned home without fear of trespassing or being sued by a bank.

Justin worked to successfully expand eligibility into Hardest Hit Fund program to provide relief to thousands of homeowners trying to keep their homes. If you or someone you know cannot pay their mortgage due to unemployment, underemployment, unforeseen medical expenses, death of a income earning household member or military service, please call 1-877-438-4673.

Justin led the effort to establish the first ever state funding program to help cities demolish abandoned homes. The $75 million blight elimination program resulted in Indianapolis being awarded $6.8 million to tear down the worst of the worst properties. These demolitions are beginning to go underway now.

Justin fought against the powerful landlord lobby to regain Indianapolis’ authority to regulate landlords. This resulted in a community driven effort to pass the first ever Landlord Registry here in Indianapolis. Landlords must now provide the city with their full contact information so neighbors, law enforcement and city officials can contact them.

Justin continues to find ways to streamline the cumbersome system is where many abandoned homes go and never get out. He worked on a new law to give cities the tools to shorten the timelines and abandoned homes sold quicker to potential buyers.

Justin helped establish the Negligent Property Owner Database with the Attorney General’s Office, to establish the first ever statewide database of negligent property owners. This list can be used by city and county officials to prevent these slumlords from buying more property at tax sale auctions.

Cities now have the ability to offer tax incentives for rehabilitating an abandoned home Indianapolis has not yet adopted these tax incentives

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