Fed Up With Housing Slump, Couple Raffles Off Home (Tix $100. ea; will benefit local charity)

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Here's more on the story from the Hagerstown Morning Herald:

House raffle would benefit San Mar - Herald-Mail News for Hagerstown, Washington County Maryland, Pennsylvania and West Virginia

Bruce Anderson, executive director of San Mar Children's Home is shown outside a farmhouse on Indian Springs Rd that will be raffled off to benefit the agency. (Photo credit: Ric Dugan / Staff Photographer)

House raffle would benefit San Mar

By ARNOLD S. PLATOU arnoldp@herald-mail.com

WASHINGTON COUNTY — Like to buy a fully-restored farmhouse on 3.2 acres, surrounded by loads of natural Washington County beauty, for just $100?

Karen Crawford, Dennis Kelly, Cynthia Moler and San Mar Children’s Home are hoping thousands of you will.

Homeowners Crawford and Kelly, and Realtor Moler have teamed up with San Mar to raffle off the Big Pool-area house — now valued at $390,000 — by selling chances for $100 each.

After paying expenses, which include paying for the house, organizers hope to raise more than $100,000 for San Mar.

“We would be foolish not to embrace this opportunity that has presented itself to us,” said Bruce Anderson, executive director of San Mar.

The raffle also is a unique way to sell the house, which, Crawford said, she and her husband, Kelly, put on the market for $425,000 a year and-a-half ago, but haven’t been able to sell.

They blame the nationwide housing crisis.

“We had six couples interested in the home, but when they went for financing, we never heard any more,” Crawford said. “People could not get the money.

“Once that whole housing thing went down, a lot of young couples were blocked out. We had showings every weekend and we couldn’t get a buyer. It’s part of what’s happening today.”

A very good cause

So when Crawford saw a Herald-Mail story last year about a Midwestern farmer offering his place to the winner of an essay contest that had a $100 entry fee, she got excited. So, too, did her new Realty agent Moler, who took over the listing this past fall.

“I love the idea,” Moler said. “... This is going to sell their house — and it’s going to raise a lot of money for San Mar. It’s a very good cause.”

Moler said the raffle, which she said has been approved by a Maryland gaming authority, is offering a total of five prizes.

Moler said the house will go to the grand-prize winner. The house, at 13607 Indian Springs Road, has four bedrooms, three baths and a great room with a stone fireplace, sits next to a trout stream and is near Whitetail Resort, she said.

She said second prize is a 2008 Toyota Camry, the third prize is a handmade Persian rug, the fourth is furniture and the fifth prize is $1,000 cash.

Enough raffle tickets must be sold to pay for the house as well as the car and the furniture — which are being offered to raffle organizers at a discount by Younger Toyota and Statton Furniture Co., respectively, and the $1,000 cash, Moler said. The rug was donated earlier to San Mar, which is giving it for the raffle.

Moler is hoping to sell thousands of tickets beyond those costs so that more than $100,000 can be given to San Mar.

“I want to sell at least 6,000 tickets ... and we’ll still make almost $200,000 (for San Mar),” she said. “If they sell 7,000 ... they’ll make almost $300,000.”

Moler said she is most excited about that aspect. She said she was inspired by a recent visit to San Mar, a home near Boonsboro for 41 girls.

“San Mar exists today to provide structure, nurture and opportunity to help kids become productive members of society tomorrow,” Anderson said.

“Kids come from Social Services and Juvenile Services (agencies),” Anderson said. “We have three group homes, a shelter, a school, foster care for both boys and girls, and we’re a licensed adoptions agency.”

A win-win situation

Crawford, a native of Hagerstown and a longtime Washington County teacher, said she and her husband bought the house just two years ago.

Built in 1929, the house is surrounded by 1,500 acres owned by the Western Maryland Hunt Club, of which her husband is a member, she said.

But after completely restoring the house, Crawford said, the couple decided it wasn’t really best for them.

“It’s a beautiful house, but, believe it or not, it’s a two-story house and we want a one-story house,” she said. “We’re getting ready to retire ... We need a one-story. We discovered that the hard way.”

Now with the raffle a reality, Crawford said, “We’re hoping that we can go on the upbeat side of this that this could be a home for someone who ordinarily couldn’t afford that home, that this would be for a good cause. Plus, San Mar is going to benefit. It’s a ‘win’ situation.”

And, she said, whoever is the grand-prize winner “will be getting a house and three acres for $100. It’s a one-in-7,000 chance, which is better than the lottery.”

Anderson said the San Mar board agreed to the idea after Moler approached them with it and said she would handle all of the arrangements.

San Mar’s board has committed to the development of a multipurpose center “to more effectively serve the youth in care,” Anderson said. “These funds would most likely be directed toward helping that project get under way.”

He said such a center could include a gymnasium, classroom and housing for up to 40 girls — including 20 now living in an older building on San Mar’s campus. If built today, the center could cost as much as $4 million, he said.

Answer to a prayer

Anderson said he considers Moler’s enthusiasm and willingness to arrange the raffle as an answer to a prayer. He said that after a recent Bible study, he began praying to God “that You could cause people to look with favor on what we’re doing at San Mar.”

He said he wasn’t surprised when people began stopping by to offer ways to help the home.

“And so when this lady ... has the potential to raise $100,000, I said, well, that’s an answer to prayer,” he said.

The raffle’s other significance is that the winners are to be drawn at San Mar’s annual dinner on March 13, 2008 — the year that the organization is celebrating its 125th anniversary.

Crawford is planning to be present when the grand-prize winner is notified.

“I want to be there when they present the house to them,” she said. “I’m just anxious to see their joy.”

If past history is any guide, however, the raffle could be a tough sell.

In 1996, a Sharpsburg funeral home owner joined with the Williamsport Volunteer Fire Co. to raffle off his pre-Civil War-era building to sell it, plus raise money for the fire company.

But the effort “just sort of fizzled,” said Major Osborne, who owns Osborne Funeral Home and is a life member of the Williamsport squad. He said he eventually sold the Sharpsburg building — which was part-funeral home and part his own home — privately and moved his business to Williamsport.

“We didn’t really have enough interest,” he said. “We were told the Civil War people would just love to have a place in Sharpsburg. I think it was $100 a pop ... and I’m not even sure we sold half the tickets.”

Looking back, Osborne said, he sees at least two major problems with their efforts.

One is, they only allowed themselves four months to sell all of the tickets.

“We just ran out of time,” he said.

The other is “we were all amateurs. ... We missed the boat on probably advertising, on getting the word out.”

Told about the new raffle, Osborne said he would advise organizers to hire a professional fundraiser.

“If they would do that, I think in all honesty, it could be done,” he said.

Moler still was enthused after being told about the failure of the previous raffle. She said product promotion is a natural part of her business.

“That was then and this is now,” she said. “We’re going to try to get national exposure to this. ... This is a really good cause.”

To buy a ticket

To purchase a $100 raffle ticket, call Realtor Cynthia Moler at Coldwell Banker Residential Brokerage at 301-745-1523 or 1-800-455-5115, ext. 1523; or call Daniel Day, director of development at San Mar Children’s Home, at 301-733-9067, ext. 101.

Readers might also be interested in this lively thread from March 2007:

Alaska Town Giving Away Free Land (26- 1.3 acre lots in Anderson, pop. 300)

Ping :-)

A man’s reach should exceed his grasp - unless he’s buying a home.

Are they SURE this is legal in Maryland? In Texas - this would be a FELONY.....Illegal Gambling.

They blame the nationwide housing crisis.

“We had six couples interested in the home, but when they went for financing, we never heard any more,” Crawford said. “People could not get the money.

I don't suppose it ever entered their mind, that the house may be a bit overpriced.

Are they SURE this is legal in Maryland? In Texas - this would be a FELONY.....Illegal Gambling.

From the posted Fox News article:

Cynthia Moler, the couple's Realtor, said the raffle has been approved by Maryland gaming authorities.

This is just another cheap gimmick to sell their house. A few years ago it was creative and unique then it died out when people figured out that the “essay” had nothing to do with it, selling enough tickets was everything. This is no different they’ve just added a little twist. Good luck with it.

So If I pay 100 bucks and win the house is it not correct that I will owe federal taxes on the difference between the 100 bucks and the current asking price of 390,000, or in my bracket 35% of 389,900 or a little over $135,000 to the IRS.

Then there are the state taxes.

If you sold it immediately any gains would be taxed at ordinary gains. Otherwise you would have to live there to get the single exclusion ($250,000) or married ($500,000)

If you win you better have the ability to write a lot of large checks.

What catches my eye is the traditional Five, FOor, and a Door.

I couldn’t afford to win it.

“We’re getting ready to retire ... We need a one-story. We discovered that the hard way.”

Why? Anyone?

No Stairs! You must be a youngster.

No Stairs! You must be a youngster.

I'm almost sixty, and consider having to go up and down stairs a healthy fringe benefit.

Of course if one is handicapped, that could be a problem--but in such a case what about those stair masters things?

Not a bad looking little house.

I’d almost be interested, but Maryland is too hot, too overpopulated, and this house sounds like it’s nowhere near the ocean, so no good to me at all.

The house I spent the greatest part of my childhood in was a one-storey.

My grandmother lived with us, and to keep the peace, my dad built her her own kitchen in the finished basement.

She was well into her eighties when she died (and no lightweight, either), but she went up and down those stairs all day with no problem.

You could get a mortgage to pay the taxes. Assuming you live in the area or would like to and can afford a 30 or 15 year mortgage on $135,000 (assuming you don’t sell your current house to help pay the taxes and reduce the mortgae) this could still be a good deal. You’d have $234,900 of equity assuming the house is actually worth $389,900. Then there’s those messy property taxes to deal with also.

In short I wouldn’t enter the raffle if I didn’t want to live in that house and I’d also want to be pretty sure I could sell mine.

or....maybe those with bucks just didn’t like the house?

Maryland “Freak State” PING!