Posted on 07/21/2005 6:51:12 AM PDT by thinking4me
Bump for a later read to your link.
One caveat....I would not buy a luxury condominium in Ft Lauderdale right now. Speculation in that market has been very active, and construction lenders are beginning to crack down on contract flipping, strawman buyers, etc. Developers are going to have to come in with legitimate, non-assignable contracts from end users to get their construction financing done.
In that case, the proximate causes of property-value loss will be esthetic blight (from the feces and urine dropped onto the houses by the pigs flying overhead), the need to redo the ductwork (to tailor the air conditioning and heating to fit a sun that rises in the west and sets in the east), and a glut of new real estate coming onto the market (after local Catholic churches close up shop in response to His Holiness' conversion to Paganism).
It may, however, be somewhat offset by housing demand from imps and demons in search of new abodes (after fleeing from the ice and snow blanketing their old digs).
"Here's hoping the bubble pops soon, and often."
LMAO...weeeeee what fun lol...hey I'm hoping for the stock market to crash again....and let's root for $75 per barrel oil...........
Yeehaw lmao.
My guess is that you don't have kids.
That was a funny post.
What, prices rose by only 5-10% a year instead of 25%?
But while job losses were the big problem then, now it's out-migration. "People from New York, especially baby-boomers, are moving out," says Yun.
Utter crap. People from around the world are still flocking to NY, and they will easily replace the old-timers who are leaving. As always.
If the trend accelerates, it could cause a problem, particularly for the high end of the real estate market.
ONLY for the high-end of the market. Affordable starter or middle-class homes in Westchester, NJ, LI, etc. are practically nonexistent, and there are HUGE amounts of city-dwelling yuppies, recent transplants, and upwardly-mobile ethnic families from Queens, Brooklyn and The Bronx who want their picket fence and lawn, and are all searching for a way to get in.
There is no way the low-end or middle-class market crashes in the NYC area.
Now, the people who ask $1.5 million for their little 3-bedroom split-level in middle-class suburbs... there's your rude awakening coming.
It must be localized. Here in Fort Worth, my appraisal has risen 60% in the past 4 years.
Hmm, I purchased a Condo in Ft Lauderdale a few years back, I wonder if they differentiate between single-family units or condos.
The same thing is going on in WIlmington NC. They are just starting to experienece now what we have had in the Boston area for the past 5 years.
Location, location, location!!!
Judging by the ads in the on-plane magazines, the Miami condo market is nuts, they must have five or six new mega-condos being built right now. It's been a few years since I've been back to SoFla, but I suspect I wouldn't even recognize the Miami skyline now.
I live in the Philly suburbs and own several properties in the area. The market value of all of them have more than doubled in the last ten years, some have tripled and quadrupled. That sounds obscene and really it is. But as a landlord, I have not quadrupled the rent. I wouldn't have tennants if I did. I have no expectation these homes will retain these artificially high values. But because they are in good, safe neighborhoods, they will retain the steady rental income they provide me.
But at the same time, there are still homes in safe sections of Philadelphia that go for under 100,000. It's really all a matter of location. Your son will be able to afford a house, maybe not in your town, but if he puts in an honest day's work, he'll be able to afford a house in a safe neighborhood. Mind you, it may not be his first choice for a neighborhood.
Don't worry, FRiend, the market will correct itself. Once the interest rates start rising, the prices will come down.
No, I actually have two.
You're just on the wrong side of the market at this time...if you truely believe that a bubble will burst just wait it out and get in for the next cycle.
But, don't count on the RE market to just drop 30%, it will most likely just level out for awhile. It's kind of like when market forecasters say the "market" is overvalued and will crash...Usually sectors of the market go down in phases.......and likewise in RE you will see certain areas go down or stabilize...but don't count on Metro areas and popular burbs being in this...that is where the people want to go due to crime in the cities and long commutes too far out...the burbs will likely flatten and then increase at a normal rate for 5 years or so.
sorry my above post to you.
Our kids are screwed, no question about it.
It's not an ideal situation, but there are alot of systemic reasons - many international - that are leading to these factors indirectly.
We are going to have to deal with it. The only thing I can tell you is give up on grandiose dreams of retirement and give your kids the best head start you can get for them.
Bump to me... it's my generation that's gonna take it up the wazoo... might as well learn about it.
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