Ok, I’ll admit it: we’ve been shamelessly entering to the win the 2009 HGTV Green Home on a daily basis lately. As much as we love our own home, we can’t pass up the chance at winning a beautiful, eco-friendly abode in sunny Florida (and the shiny new hybrid car that comes with it). Plus, think of all the things we could blog about if it were our names that they announced on June 28th.
So it was with Green Homes on the brain that we took a little detour last week while on our secret trip to Georgia. Thanks to our Florida vacation last Spring, we remembered that the 2008 HGTV Green Home was just about 5 minutes off of I-95 in South Carolina. We didn’t tour it last year (it carried a hefty $25 admission fee!) so we figured we’d swing through Tradition, SC again this year and see if last year’s winner was home and might invite us in for a free tour (you know, all southern hospitality-like). Well, that didn’t happen (surprise). There were no glasses of organic lemonade waiting for us on a recycled bamboo tray. In fact, it didn’t even look like anyone was home…
And our guess as to why no one was home? Because it did look like anyone had moved in yet. There was even a key-box on the door like a house that’s on the market…
…and why do we think no one has moved in? Because they’re just about the only house in the neighborhood so far.
I guess the little golf community of Tradition needs a bit more time to get off the ground. Then again, can we really be surprised in this real estate market? It did look like it was shaping up to be a beautiful place (the four or five other in-progress homes were in the same beachy cottage style that we love). But we can’t say our visit didn’t alter our utopian daydream a little bit.
So, moral of the story: don’t bother entering to win the 2009 Green Home (you’d just be hurting our chances anyway). Just kidding. Enter away. She’s a beaut this year. Just check out their virtual online tours for plenty of green eye candy. Update: check out the comments for some interesting revelations!
Sherrie says
Perhaps it’s unoccupied because the winners might have also had to pay the taxes on the house, which if it has true Green features, then that would be a hefty penny.
At least, with most winnings, one has to pay the taxes.
YoungHouseLove says
Hey Sherrie and Kara,
We wondered that too. Or we wondered if they put it on the market right after winning it which would also explain the key box. Maybe next year we’ll drop by and ring the bell and see who comes out!
xoxo,
s
Ruth says
Here’s is the real problem with winning the house.
Read the fine print, you are responsible for paying taxes on the VALUE and it’s contents if you win the home.
So if the house and furnishings are worth 2 million you will have to pay taxes on 2 million dollars, at a high rate (prize winnings) and in the fine print it says you are not allowed to sell the house first to make profit. First you have to pay the taxes before you sell.
You get screwed!
The last house i made it a hobby submitting an entry every day until my husband read the fine print.
Kara @ KSS says
Wow, that’s really sad!! Such a waste…I wonder if the winners are still planning on moving in?
Teresa says
My cousin won a house in Pinehurst, NC a few years ago. She entered on a whim, but then when she won she couldn’t afford the taxes on her win and then the property taxes on the home. She had to sell it. Fortunately this was during a much easier selling time. There is just no such thing as a free lunch!
Dianne says
WOW!!!! I am surprised you were able to get to see the house. Last year, when we entered the sub-division, a security guard asked us (politely) to leave. So we never got to see the house. However, I was a bit disappointed 1. that the house isn’t on Hilton Head island and 2. it was pretty much the only house in the area. I never guessed that from watching the HGTV show. I guess it’s the power of TV.
TheUpstart says
If you do some googling, you’ll find that people rarely move into the HGTV prize homes. They sell the houses to pay the taxes and HOPE that there’s a little left over to pocket.
Only two families have ever moved into an HGTV prize home. One family that moved into an HGTV dream home in Texas was financially ruined by it. I haven’t looked at the Florida home, but I read that the Sonoma home winners would have to cover about $1 million in taxes between the property taxes and the tax assessed on the prize (home + furnishings + car).
I don’t enter the contests anymore. I’m too scared to win and deal with hiring an attorney, accountant, and real estate agent to deal with getting rid of it.
YoungHouseLove says
Yikes! Maybe I should tell John to stop entering (are you reading this honey? if so stop entering!). Sounds like it could be a headache…
xo,
s
Katie says
I’ve heard that the taxes are VERY hefty and yes, like previous post, I’m sure if it’s green they are even higher. Plus if they lived/worked somewhere else logistically it might be hard and easier to just sell it and take the profits (if any).
The housing market today is so awful and I’d venture to guess that Tradition SC is more of a community to have a 2nd home in, if you’re able to do that.
Guess it’s a good tax write off for HGTV though!!!! ha.
Southern says
Thanks for reminding us to vote! I keep forgetting. That house looks so sad and lonely…but it is gorgeous.
Katie says
Diane – I would definitely say that it would have been better and more profitable in a more est place like HHI (although my grandparents lived there for 25 yrs and I was going there when there was only one grocery store and NO shopping. It was totally a secret until everyone else found it too!!! ha.) But I’m guessing that Tradition, SC is hoping that it turns into the same type of area like HHI started off as……….
Yeah, I’ve heard that it’s financial nightmare to win one of their homes. They get top of the line everything and it’s definitely your dream home until you see all the expenses that go along w/it!!!
Clara says
This year’s home looks quite beautiful and I’ve enjoyed looking through all the rooms for design inspiration.
I read a couple of earlier posts, and I’m a bit confused as to why the property taxes would be even higher if the house is green. Because it’s worth more? Please fill me in – I’m just starting to learn about greening one’s home.
YoungHouseLove says
Hey Clara,
Since the winner not only has to pay property taxes but also has to pay taxes on the entire value of their win I think people are alluding to the fact that it’s not cheap to build a green home so paying taxes on the total value of the prize could be pretty steep. Yikes!
xo,
s
Erin says
http://money.aol.com/cnnmoney/realestate/canvas3/_a/the-house-that-swallowed-don-and-shelly/20060627161909990001
KayHud says
Sadly, as Sherry commented above, whoever won the house would most definitely have to pay taxes on the fair market value of the house. Often times people who win big non-cash prizes like this have no choice but to turn around and sell them immediately just to pay the taxes. Some winners might consult w/ their tax adviser and not even agree to receive the prize at all. After all, what would happen if you couldn’t sell the house in the down real estate market by April 15th of the following year when your tax bill was due? Then you’d start accruing interest and penalties to the IRS on your unpaid tax balance. Yikes!
For ex, if you file your taxes married filing jointly and had an additional $350,000 added to your tax bill, you’d most likely end up in the highest marginal tax bracket (35%). That could result in an additional tax bill of more than $100,000 payable by the winner to the IRS and due by the following April 15th. And that’s assuming the house is only worth a meager $350K (a number I pulled out of thin air).
“Congratulations! You just won a fabulous dream home. Now pay up!”
Amy@Designing A Life I Love says
Are you KIDDING ME!? Wow, I really didn’t know the back side of this (and other) sweepstakes! I just assumed each one moved right in, or they sold the house for a hefty profit.
That would explain why last year, the lady looked so “unenthused” when she won! Check it out:
http://www.youtube.com/watch?v=9hRfeg9mC9Y&feature=related
Also, I was almost crying from laughing so hard at HGTV host Lauren Lake, who was SOOO overly-excited about being “in that moment” that she overshadowed the actual winner! I mean, can she have any bigger facial expressions???? LOL!! BACK TO YOU, CLIVE!!!
Ellie says
I’m so happy to have seen this follow up for something I’d always wondered about. Fantastic, this little blog is like real reporting right now!
Tee says
I should have read the comments first! O well lol That really sucks that if you DO win you may not even be able to enjoy your prize. I had already pictured myself drivin’ down to my little Florida home and layin out with a nice glass of lemonade lol
Sherrie says
Clara,
I commented on a higher price with Green features, because like many trends in a capitalist society (don’t get me wrong, I’m so down w/ capitalism) when a consumer is not savvy and conducting research, companies will charge extra simply from slapping the word “Green” on it. And for the legitimately energy efficient products/building materials, they are Green because they save you money in the long run by keeping energy costs down. But one has to balance the cost of the item(s) with what one can afford up front and will actually save on the life of the home.
Many consumers do not care or are ignorant of what their homes are made of and how it affects their everyday comfort level, so builders often use the cheapest materials to give the cheapest price. Buyers, of course, give them the license by not expecting more, and/or not purchasing quality homes.
My husband devours energy efficient research, and while we do not buy everything energy efficient because of the cost, we do purchase what we think will actually save us in the long run. We do our own research, and figure our own savings given the cost/usage of an item. An energy rater can do the same for a person seeking to seal up their home, or use state of the art technology to conserve energy. Most items worth buying for the average homeowner are an energy efficient water heater, sealing one’s ductwork and insulating it by wrapping it w/ a special foam insulation, blowing insulation in the attic yearly, and installing quality windows and doors. Things like that.
For a home that is pieced together by HGTV, it could be that the materials are donated in exchange for free advertisement. Then the house’s price tag would be based upon appraisal value, or the value of what the materials would normally cost. Considering that the hard-working wealthy people only make up like 12 percent of us, most people would not have the funds to use state of the art energy efficient materials to build their home, let alone know the technology exists. So most of us wouldn’t have the immediate capital required to pay the taxes to support it as well. Even when things are free and affordably so, there is still exchanging what one wins with participating in advertisement for companies, sometimes having your story used to generate feel-good moments as is the case with “Extreme Home Makeover,” thereby generating more viewers for the show. Sounds sad, but one cannot be taken advantage of in most situations without consenting.
Jennae @ Green Your Decor says
I’m sad to see it go empty for so long. I would happily move in if I had the chance :) A truly green home (which I have to say both the HGTV Green Homes have been) would be like heaven for me.
But like everyone else, I know that super-high value prizes like a brand new home and car also come with super-high taxes. That said, I’d still love to win this year’s green home. It is absolutely beautiful! My only problem with it is the location — Florida. We lived in Florida (moved in 2007) and the housing market was terrible then. I can only imagine what it’s like now. If the winner had to sell the Green Home to afford the property taxes and taxes on the prize amount, that would be a tough sell.
Beth says
Where I work, we have quite a few sweeps per year. We do run into problems with getting people to accept prizes, and after they consult with their accountant, decide to decline the prize. We’ve had trouble giving away a $10,000 prize before, so I can only imagine the difficulty with giving away a prize worth more than 20 times that! I’ve always wondered how many people actually move in to those homes, so thanks for that info, TheUpstart.
melissa @ den design studio says
My one question is: How is building a brand new home in a new housing development “green.” Why not take an existing home and make improvements to it instead. I think that is quite a bit more green, especially if no one ends up living it in. We have destroyed nature just to build an empty “green” home.
MC says
I grew up a little down the road on Hilton Head, and my parents are still there. When they were visiting, they gave us the scoop: the woman who won was unable to pay all the gift taxes (half the value of the house, I believe) as well as other taxes associated with homeownership. She wasn’t going to be able to sell the home and have that cover the cost of the taxes she would pay, so the company decided graciously to purchase it back from her at an amount that would cover all of her fees. My guess is they’re trying to sell it now.
Tradition was only established and planed out about two years ago. I love the towers at the entrance, and hope it starts to take off soon!
Alexandra says
This is one area where it’s much better to be Canadian. We don’t have to pay any taxes on winnings. Though any interest you earn on your winnings are taxable. So you got to start entering Canadian contests and move up here. Most contests are open only to Canadian residents though.
Linda @ Lime in the Coconut says
I went to see the current Florida Home. Not so green…some great green ideas, but hardly completely green. Built on a blank lot from scratch (will be filled with many other homes RIGHT NEXT TO EACH OTHER. facing a manmade lake with a fountain. Not so green sod (actually dead and brown) sod around it with few to none local xeriscaped plants. Kenmore appliances…shiny granite…It did have some good points. Solar heated water tank, gutter/rain collection system…
I have heard that few if any have been able to keep let alone live in the hGTV homes. This one seems to be way over priced for the area. Many foreclosed and empty lots.
I did a post on it (with many pics) a few weeks ago.
My take…not SO green…not SO grand.
Emily says
Hi Sherry and John,
Off the topic – but I love your new blog header photo. Your porch makeover looks great and now we get to see it every day!
Emily
YoungHouseLove says
Thanks Emily! We just updated it about an hour ago. You’re the first to notice!
xo,
Sherry (& John, who did the updating)
Jessy says
All this, about the dream home winners is damn scary! I entered today, now I hope I don’t win. That’s not a prize at all! But I have been voting almost every day for your porch makeover. I hope you win! You guys deserve it it looks fantastic :)
Now, will you be posting about your trip to GA? I live in Atlanta – I’d love to read it :D
YoungHouseLove says
Hey Jessy,
Stay tuned for all the fun Savannah vacay details within the next few days. We had a blast and can’t wait to spill the beans about where we went, and more importantly, where we ate!
xo,
Sherry
LINDZ says
I’m just gonna go ahead and take the high road on this one. I’m going to hide in my closet until I have enough dimes saved to buy my own house! Too bad there’s always a catch. :)
foobella says
I think it’s interesting that so many people don’t think about what happens after you win the prize. I remember learning about the “joys” of prize winning while watching The Price is Right and Wheel of Fortune in the 70’s and 80’s (I was just a wee child, mind you). I would always wonder how people would get their shiny new car back to {insert your home state here}. I was told that many winners would opt to take the cash value of the car instead of the actual car. That way, there were no property taxes to worry about. Couldn’t the winner of the houses do the same? Wonder if that is in the fine print.
This situation also got me to thinking about the future of prizes such as these. With the internet, we, as potential winners, have access to the real scoop on what happens once a prize winner is announced. I mean, just look at all the folks responding to this post whose eyes are newly opened to the pitfalls of being a bit ticket winner. Seems to me, the more the word gets out, the less and less people will be entering these contests. Wonder what will happen then? Will they, as someone mentioned above, put the focus on greening-up an existing house instead?
Amelia says
I can see how winning the dream home might be more bad than good, but I simply can’t feel sorry for the family in that article. Did you guys read it? They had SEVEN cars, a boat, three dogs, were living off disability, and decided to take scuba lessons and entertain every weekend. Of course they’re going to get into trouble!!! I say they weren’t doing so well even BEFORE the dream home debacle. Ridiculous.
megan says
It is such a cute home to be so alone. Bummer.
Jordyn says
I can’t believe this, I entered everyday as well, but now it seems to be more of a headache than a dream. I’m surprised anyone enters it anymore(especially with the economy the way it is). That seems kind of mean to tempt people like that! It’s a shame that HGTV is able to do that.
Jack Brennan says
I was at this home on FEB 28,2010.There is no one on the premise.No one in the sales office.I understand that the other houses (about 8)are rented.Someone was taking the appliances out of the HGTV GREEN house.The place is desolate.Too bad.
Livy says
My mom’s friend entered a “dream home” contest a few years ago (one where you actually design the house yourself) and although he didn’t win (he was runner up) he did get acquainted with the winner. Fast forward some years, we were invited into the very house of said winner. I do not know how much the total of the house was, how financially stable that family was when they won the contest but they did get to keep/live in it. Now looking back, I’m pretty darn amazed. From the comments above, it indeed sounds like a financial nightmare.
YoungHouseLove says
That’s pretty cool, Livy – and also encouraging. HGTV just announced a new giveaway of a condo in New York City and it had us thinking about how cool / nightmarish it could be so it’s always nice to hear the good side of the story!
-John
Lori says
Im confused. I thought an option was not to take the house and take a cash prize instead. Then I thought the house wasnt your responsibility? Didn’t anyone do that? Of course I ouodnt afford the house! I still enter every day for the possible cash tho!?
YoungHouseLove says
Maybe that “take the cash only” option is something they added recently in light of people struggling with paying the taxes on the house? This is a pretty old post! Hope it helps.
xo,
s
Kym says
does anyone know if the 2009 green home ever sold? Kari Coffey won and had it on the market for $650k instead of selling it back to the developers. I’m wondering if it ever sold.
YoungHouseLove says
Good question – no idea! But thanks for the update. We hadn’t heard anything since 2009!
-John