Banks turn from forclosing houses to churches in record numbers

[CaseAgainstFaith]

The surge in church foreclosures represents a new wave of distressed property seizures triggered by the 2008 financial crash, analysts say, with many banks no longer willing to grant struggling religious organizations forbearance.

Since 2010, 270 churches have been sold after defaulting on their loans, with 90 percent of those sales coming after a lender-triggered foreclosure, according to the real estate information company CoStar Group.

In 2011, 138 churches were sold by banks, an annual record, with no sign that these religious foreclosures are abating, according to CoStar. That compares to just 24 sales in 2008 and only a handful in the decade before.

The church foreclosures have hit all denominations across America, black and white, but with small to medium size houses of worship the worst. Most of these institutions have ended up being purchased by other churches.

The highest percentage have occurred in some of the states hardest hit by the home foreclosure crisis: California, Georgia, Florida and Michigan.

"Churches are among the final institutions to get foreclosed upon because banks have not wanted to look like they are being heavy handed with the churches," said Scott Rolfs, managing director of Religious and Education finance at the investment bank Ziegler.

http://www.reuters.com/article/2012/03/09/us-usa-housing-churches-idUSBRE82803120120309

Am I a bad person because I'm not outraged in the least over this? lol  I think there are too many church buildings anyway so a reduction of them can't really be bad right? 

[Old Viking]

Tee-hee.

[Captain Jack Harkness]

I just want to point out that they mention that small to medium churches are the ones being the hardest hit.  I don't see anything about those megachurches shutting down!

In this sense, this feels like another front of class warfare, where the smaller churches that rely on a limited base of donations and funds can't operate, but the big boys are just raking in the shit.  As far as I know, the Pope hasn't had to give any of his opulence up even though Europe has that goddamn financial crisis.  The rich's douchebaggery does not know any religious barrier, truly.  I think that the larger churches should be giving money to the smaller churches to support them.  Then again, there's that pesky dogma incompatibility and greed.  I don't agree with the teachings of most churches, but i support their right to exist.  This whole situation is just...dumb and messed up.

Any way, I can understand their reluctance, but at the same time, they have to do their jobs.  I mean, how is this any worse than a family losing their home?  I hate it, but churches should only get so much wiggle room.

[nickiknack]

I just want to point out that they mention that small to medium churches are the ones being the hardest hit.  I don't see anything about those megachurches shutting down!

In this sense, this feels like another front of class warfare, where the smaller churches that rely on a limited base of donations and funds can't operate, but the big boys are just raking in the shit.  As far as I know, the Pope hasn't had to give any of his opulence up even though Europe has that goddamn financial crisis.  The rich's douchebaggery does not know any religious barrier, truly.  I think that the larger churches should be giving money to the smaller churches to support them.  Then again, there's that pesky dogma incompatibility and greed.  I don't agree with the teachings of most churches, but i support their right to exist.  This whole situation is just...dumb and messed up.

Any way, I can understand their reluctance, but at the same time, they have to do their jobs.  I mean, how is this any worse than a family losing their home?  I hate it, but churches should only get so much wiggle room.

THIS^

[Witchyjoshy]

While this isn't as bad as families losing their homes, I do have to say, I've been to a couple of small churches, and they were filled with wonderful people.

Oh well, I guess they can start meeting in people's homes, if that's how it happens.

[Art Vandelay]

I'm rather pissed off that banks are more willing to foreclose on a family home than on a church. Because who cares if thousands of people are rendered homeless as long as they've got a building in which to sing about their imaginary friend, right?

[Yaezakura]

I think the reason it affects "small to medium sized" churches more is that these are the ones far more likely to have a mortgage they can't make payments on. Megachurches may be all kinds of stupid to the rational mind, but they do bring in a ton of money and so aren't very likely to miss a bill payment barring massive abuse by the staff.

And I just don't think any church deserves a pass here--if you take a loan to stay operating, you have to pay it back. Why should churches get a pass when the local hobby shop doesn't? Especially considering the hobby shop contributes something of value to the world.