Report: Homes of elderly taken for pittance by investors
(AP) -- A report says elderly people and other vulnerable homeowners are losing their homes to big investors because they owe a few hundred dollars in back taxes.
The report is being released Tuesday by the National Consumer Law Center. It says outdated laws allow investors, including big banks and hedge funds, to reap windfall profits by buying the houses for a pittance and reselling them.
The report says states, cities and towns are selling homes with owners who owe as little as $400 in overdue property taxes. It says tax sales pose the greatest threat to elderly homeowners who can't keep track of their finances and poor homeowners who were targeted by subprime lenders.