You can really get some good deals on stigmatized properties. Stigmatized properties include properties where a murder occurred, suicide occurred, or where there is a reputation of haunting or ghost activity. Personally none of the above bothers me. If the price is right I am on top of the deal. The only problem I have is I can only purchase it for investment because Debra and the kids say they will refuse to live in any stigmatized property. Remember if mama isn’t happy then nobody’s happy! 

A few years ago in a very prominent Montgomery, Alabama neighborhood a gruesome murder occurred. My wealthy friend was in the market for a new home. I immediately told him about what I had seen and heard on the news the previous night. I suggested to him that he keep his eyes on the house where the murder occurred. When the house was placed on the market, my wealthy friend made an offer to purchase all the contents in the house including the two automobiles in the garage. 

It was a very strange feeling when my wealthy friend, Debra and I entered the home soon after the double murder. Debra was close behind us scared out of her wits, walking like a ghost would jump out any minute. I reassured Debra that this was a nice neighborhood, but she immediately responded, “I don’t care! I want to get out of here!” She returned and waited in the car. It was close to Halloween so that made it even more dreadful. It was so sad to see things as they were left by the deceased with every expectation of returning to them. There was a refrigerator full of the deceased’s favorite foods. Hanging in the closets were designer clothes and shoes. In the closets were packages of unopened underwear and socks. It seemed as though everything in the house reminded you of the deceased. 

My wealthy friend’s offer was rejected. The sellers did not want to discount the value of the house. My friend told his agent to tell the seller that he was not willing to raise his offer because the house was stigmatized. “There could be ghosts in the house. The seller said that in the north they didn’t believe in ghosts. My wealthy friend said, “Well in the south we do and my offer is off the table.” 

I was disappointed that he didn’t purchase the house, because I was already planning the Halloween party of the century. There are other stigmatized properties on the market today that could be purchased for a bargain if you know what you are doing. 

Even the most seasoned real estate agents find it difficult to sell a stigmatized property. Many states have different laws as to whether the agent must disclose if a murder or suicide occurred in a home. I suggest you do your homework before you purchase a home. You need to talk to the neighbors. You need to learn the history of the house. Somebody will definitely let the cat out of the bag. 

In some states, such as Georgia and California, sellers are required by law to disclose to agents if a murder or suicide has occurred inside a dwelling for a number of years after the event. I recommend that if you should negotiate to purchase a stigmatized property you should discount your offer by as much as 10 percent to 30 percent of the normal appraised value. 

Typically it can take as many as seven years for the value of a stigmatized property to return to normal. 

In the words of my dad, Dr. Melvin J. Griffin Sr.: “I have never seen a U-Haul following a Hearst.”

Greg Griffin is a free lance writer. You can read his previous articles by visiting his web page at www.greggriffin.com or write to him at P.O. Box 250194 Montgomery, Alabama 36125-0194.