Thursday, July 14, 2005

A $1 Million House for $150!

House Raffles have been around for awhile now. But they've become much more popular as the bubble has inflated, pushing up the cost and scarcity of housing. Charitable groups, museums, and similar organizations have found the raffles to be a great way to raise money, but not without risk. Consider what might happen if the market went south and they didn't sell enough tickets to cover the cost of the home in the first place? In that way, the charities expose themselves to the same risk as the flippers. Nonetheless, the market in Southern California is still hot. How else could an organization hope to sell 18,000 tickets at $150 each? Many organizations have put such contests together, including this one in California sponsored by the Santa Barbara Contemporary Arts Forum. The deadline was supposed to be July 18, but the main page for the arts forum says the raffle is already sold out. No surprise. When you consider the odds, it's probably a safer bet than buying a house right now.

They sold out last year too.

Here are some links to past house raffle contests:

Palos Verdes Art Center House Raffle

Irvine Public Schools Foundation House Raffle

Fender Museum's Kids Rock Free Contest