ABC's Extreme Makeover: Home Edition - Tilted Forum Project Discussion Community

REDL|NE · 09-24-2006, 05:05 PM

I haven't watched this show in awhile but caught the episode on tonight. For those who don't know, the show basically takes under-priviledged families who are living in very poor living conditions, and "make over" their house, most times just building them a new one. Its a very feel good show.

The episode on tonight featured a family of 13 living in a 900 square foot house. A single mother as well. The new house was roughly 5 times as large and had all new appliances etc.

My question is, what do you guys figure happens to the payments for the new house? This family could never be able to afford even just the electricity payments for this new mansion, let alone the taxes. Does ABC pick up the tab for all payments for lifetime? That's a pretty penny. Anyone have any knowledge on this?

ngdawg · 09-24-2006, 05:14 PM

I found this for starters:

Quote:

...And unlike some makeover families, who were unable to maintain their new, improved and larger homes, the Vardons are gradually catching up on their bills and look to the future optimistically.

Source

Gilda · 09-24-2006, 05:36 PM

The house and all the interiors are a gift from ABC. The residents don't have to pay anything for it. I'm unsure of whether ABC pays off their existing mortgages. ABC uses a loophole in the tax laws to help the residents avoid paying taxes. They rent the house from the owners. The subsequent home can thus be listed as leaseholder improvements, which are not taxable, and the interior goods, such as furniture and tvs, are used as rent for the two weeks the family is out of the home.

The owners do, however, have to pay taxes on the value of the new home and maintain it themselves, which can be a struggle given the additional size and value, the additional heating and cooling costs, and the extensive landscaping which tends to be high maintenance. I've also read that the IRS may not agree with the value of the new home not being taxable, that the leaseholder improvements should be taxed based on the difference in value between the old and new homes.

Gilda

streak_56 · 09-24-2006, 05:49 PM

Usually they builder pays off the house for them or atleast puts down a significant amount for either the house or will pay for the bills for a year. It really depends on the episode.

clifclav · 09-25-2006, 11:28 AM

I wonder if there is something in the agreement with ABC that the family has to keep the home for a year or some other such time. You remember all of those cars from Pimp my Ride that were showing up on ebay about two months after the show aired.

snowy · 07-10-2007, 05:25 PM

I am digging this thread up from the grave because we had a family in our community selected for the show. The family is gone to Hilton Head, SC right now--their house was torn down yesterday and volunteers are now building the new home on the site. It's a very cool process to witness as a community member.

The family was chosen because their young daughter has a rare form of childhood cancer that has basically bankrupted the family. They bought a small fixer-upper in our area some years ago, planning on remodeling it over time. Unfortunately, their daughter got sick and that drained their financial resources, and they were left with a home with dryrot that is an unsuitable place for a child with a delicate post-chemo immune system.

From the newspaper articles I've read detailing the process, the production company locates a construction/development company in the area where the family in question is. In our area they contacted Legend Homes, who agreed to coordinate everything. The entire project is volunteer and donation driven.

I feel sort of sorry for the people who have volunteered--unfortunately this is going to be the hottest week of the summer! But I applaud them for doing it...this family deserves it.

ASU2003 · 07-10-2007, 06:51 PM

I would like to volunteer to do that if they ever came to where I live.

tenniels · 07-10-2007, 07:37 PM

Most of the episodes I have seen end up with the house paid for, sometimes new vehicles and education funds for their children. It's one of the few shows on TV that actually touches me. I cry in a good way almost everytime I watch it, I do believe the show has done a lot of good. I don't think they have ever left a family completely high and dry. Of course maintainence is up to the family, but it seems fair to me.

09-24-2006, 05:05 PM	#1 (permalink)
REDL\|NE Crazy	ABC's Extreme Makeover: Home Edition I haven't watched this show in awhile but caught the episode on tonight. For those who don't know, the show basically takes under-priviledged families who are living in very poor living conditions, and "make over" their house, most times just building them a new one. Its a very feel good show. The episode on tonight featured a family of 13 living in a 900 square foot house. A single mother as well. The new house was roughly 5 times as large and had all new appliances etc. My question is, what do you guys figure happens to the payments for the new house? This family could never be able to afford even just the electricity payments for this new mansion, let alone the taxes. Does ABC pick up the tab for all payments for lifetime? That's a pretty penny. Anyone have any knowledge on this? __________________ "You learn more and more about less and less, until you know everything about nothing."

09-24-2006, 05:36 PM	#3 (permalink)
Gilda 32 flavors and then some Location: Out on a wire.	The house and all the interiors are a gift from ABC. The residents don't have to pay anything for it. I'm unsure of whether ABC pays off their existing mortgages. ABC uses a loophole in the tax laws to help the residents avoid paying taxes. They rent the house from the owners. The subsequent home can thus be listed as leaseholder improvements, which are not taxable, and the interior goods, such as furniture and tvs, are used as rent for the two weeks the family is out of the home. The owners do, however, have to pay taxes on the value of the new home and maintain it themselves, which can be a struggle given the additional size and value, the additional heating and cooling costs, and the extensive landscaping which tends to be high maintenance. I've also read that the IRS may not agree with the value of the new home not being taxable, that the leaseholder improvements should be taxed based on the difference in value between the old and new homes. Gilda __________________ I'm against ending blackness. I believe that everyone has a right to be black, it's a choice, and I support that. ~Steven Colbert Last edited by Gilda; 09-24-2006 at 05:39 PM..

09-25-2006, 11:28 AM	#5 (permalink)
clifclav absolute relativist Location: D.C.	I wonder if there is something in the agreement with ABC that the family has to keep the home for a year or some other such time. You remember all of those cars from Pimp my Ride that were showing up on ebay about two months after the show aired. __________________ Neither rain , nor cold, nor dark of night shall.......ahh whatever, just get me a beer!

07-10-2007, 05:25 PM	#6 (permalink)
snowy Kick Ass Kunoichi Location: Oregon	I am digging this thread up from the grave because we had a family in our community selected for the show. The family is gone to Hilton Head, SC right now--their house was torn down yesterday and volunteers are now building the new home on the site. It's a very cool process to witness as a community member. The family was chosen because their young daughter has a rare form of childhood cancer that has basically bankrupted the family. They bought a small fixer-upper in our area some years ago, planning on remodeling it over time. Unfortunately, their daughter got sick and that drained their financial resources, and they were left with a home with dryrot that is an unsuitable place for a child with a delicate post-chemo immune system. From the newspaper articles I've read detailing the process, the production company locates a construction/development company in the area where the family in question is. In our area they contacted Legend Homes, who agreed to coordinate everything. The entire project is volunteer and donation driven. I feel sort of sorry for the people who have volunteered--unfortunately this is going to be the hottest week of the summer! But I applaud them for doing it...this family deserves it. __________________ If I am not better, at least I am different. --Jean-Jacques Rousseau

07-10-2007, 07:37 PM	#8 (permalink)
tenniels Insane Location: Oh Canada!!	Most of the episodes I have seen end up with the house paid for, sometimes new vehicles and education funds for their children. It's one of the few shows on TV that actually touches me. I cry in a good way almost everytime I watch it, I do believe the show has done a lot of good. I don't think they have ever left a family completely high and dry. Of course maintainence is up to the family, but it seems fair to me. __________________ I like things. And stuff. But I prefer to have things over stuff.

09-24-2006, 05:49 PM	#4 (permalink)
streak_56 who ever said streaking was a bad thing? Location: Calgary	Usually they builder pays off the house for them or atleast puts down a significant amount for either the house or will pay for the bills for a year. It really depends on the episode.

07-10-2007, 06:51 PM	#7 (permalink)
ASU2003 immoral minority Location: Back in Ohio	I would like to volunteer to do that if they ever came to where I live.