Don't buy in charlotte! (Prospect: best city, for sale, renters)

[massageman]

Is Charlotte a dying city, in denial of the truth? Prospective home buyers- DO NOT BUY A HOUSE HERE, PRICES WILL DROP!!!!

Charlotte touting itself as a major banking center seems kind of funny now, as it may totally lose Wachovia. People that think Chase will keep or relocate a single person here are kidding themselves. They will buy the company's accounts and debts and say good bye to Charlotte. They do not need human resources, accounting, investment advisors, analysts, etc in Charlotte. Thousands of people will lose their jobs, only the branch employees will be needed. There will be hundreds of extra homes for sale, as bankers return to NY.

Charlotte could soon have Wachovia's building for sale, anybody know of a buyer that would want it in a sinking economy, in a smallish city with traffic problems? There will be thousands of former bankers looking for jobs soon, there already is, actually. They will be contracting their spending, drying up jobs at car dealers, retailers and restaurants.

Charlotte's housing market is already in freefall. Look at the prices of Hollister or Ardrey Chase or any of these partially built, empty areas of red clay, the builders know what's really happening here, prices are down 20% or more. We don't see it reflected more widely in data because NOTHING is selling. Homes are sitting on the market and their listings are expiring, so prices aren't dropping. Wait until more people have to sell, look out below!

There are thousands of homes for sale in the area from 200-500. Remember, we are back to normalized lending standards and let's suppose a couple wants to buy a house for 360k. They have 60k to put down, not bad. To qualify for a 300k mortgage, they will need to have an income of 3X or 100k a year now. Are there that many jobs that pay 100k for a single earner in Charlotte? With banking collapsing and other industries slowing, will this couple even be able to find two jobs, where they each earn 50k? When prices drop and drop, then maybe the 360k house will be 200k, the way it was in the late 90's. Only then, will the couple be able to afford it in the new Charlotte economy. Charlotte has been historically cheap and will return to that norm pretty soon.

Charlotte's quality of life has the potential to be amazing, this could be the best city in the country, between the beautiful weather and land. People still want to move here, based upon posts on here and word of mouth. People are also leaving and will be leaving in droves, though. The city planning is a joke with clogged roads and no water/sewer capacity. The bumpkins in Union County, a suburb of Charlotte, have actually said they have no idea how many water permits they'd issued. LOL!!!! Can you imagine a place where the officials have no idea how many permits they've issued?

Somehow, cities that are 3, 4, 5 times larger than Charlotte manage to get people from place to place and have water cheaply available. Charlotte seems baffled by these concepts. Charlotte's answer is to open a couple of shoulders on a couple of roads? How about building about six more lanes, which is what is needed? On 485, they aren't even extending the shoulder lane into Union County, which is already a traffic nightmare! Let's see, leave 485 as two lanes and watch traffic get worse, as all those new homes are eventually filled or build 485 into 6 lanes in each direction to promote growth for both the city and the suburbs, hmmm, what should we do? Yes, we'll leave it as two lanes, lol.

Charlotte doesn't understand that if people water their lawns, it creates business. The leaders here act like it's a desert and cheap water is a bad thing! Homeowners have to mow more often, if their lawn isn't dead. Some hire landscapers, who buy equipment and gas. When buying gas, they stop for lunch, helping more businesses. They increase income taxes and sales taxes. With watering limited, all of that extra business dries up, too. Homeowners that spend $100 a month on water would have more disposable income with cheap water, creating growth in other areas.

Charlotte doesn't understand that if people can easily get to different parts of the city, they are more likely to shop or explore the region, creating more growth overall. If you know you will be stuck in traffic, then you are less likely to try out different stores or activities in other parts of the area. Especially with gas at 4.10. Similarly, employers suffer here, as people may not be willing to work at one job vs another, based on the commute.

Charlotte has peaked and is in decline. Home buyers should offer much less than asking price, eventually someone will take the offer, as they do in other markets. I'd recommend waiting for the s to really hit the fan, though. The decline will happen very quickly, as the Fed obviously thinks Wachovia is not to big to fail. When things stabilize again in a few years, hopefully area leaders will do things to promote economic growth and not depend on being a banking center or newcomers ready to lose more equity. Obviously, some areas, like Myers Park, will not decline as much, as there's no land and a quick commute. Some of the far flung areas are going to get crushed, as there are years of inventory available and gas prices/traffic are making commuting more painful than ever.

[lovesMountains]

Originally Posted by massageman

Is Charlotte a dying city, in denial of the truth? Prospective home buyers- DO NOT BUY A HOUSE HERE, PRICES WILL DROP!!!!

Charlotte touting itself as a major banking center seems kind of funny now, as it may totally lose Wachovia. People that think Chase will keep or relocate a single person here are kidding themselves. They will buy the company's accounts and debts and say good bye to Charlotte. They do not need human resources, accounting, investment advisors, analysts, etc in Charlotte. Thousands of people will lose their jobs, only the branch employees will be needed. There will be hundreds of extra homes for sale, as bankers return to NY.

Charlotte could soon have Wachovia's building for sale, anybody know of a buyer that would want it in a sinking economy, in a smallish city with traffic problems? There will be thousands of former bankers looking for jobs soon, there already is, actually. They will be contracting their spending, drying up jobs at car dealers, retailers and restaurants.

Charlotte's housing market is already in freefall. Look at the prices of Hollister or Ardrey Chase or any of these partially built, empty areas of red clay, the builders know what's really happening here, prices are down 20% or more. We don't see it reflected more widely in data because NOTHING is selling. Homes are sitting on the market and their listings are expiring, so prices aren't dropping. Wait until more people have to sell, look out below!

There are thousands of homes for sale in the area from 200-500. Remember, we are back to normalized lending standards and let's suppose a couple wants to buy a house for 360k. They have 60k to put down, not bad. To qualify for a 300k mortgage, they will need to have an income of 3X or 100k a year now. Are there that many jobs that pay 100k for a single earner in Charlotte? With banking collapsing and other industries slowing, will this couple even be able to find two jobs, where they each earn 50k? When prices drop and drop, then maybe the 360k house will be 200k, the way it was in the late 90's. Only then, will the couple be able to afford it in the new Charlotte economy. Charlotte has been historically cheap and will return to that norm pretty soon.

Charlotte's quality of life has the potential to be amazing, this could be the best city in the country, between the beautiful weather and land. People still want to move here, based upon posts on here and word of mouth. People are also leaving and will be leaving in droves, though. The city planning is a joke with clogged roads and no water/sewer capacity. The bumpkins in Union County, a suburb of Charlotte, have actually said they have no idea how many water permits they'd issued. LOL!!!! Can you imagine a place where the officials have no idea how many permits they've issued?

Somehow, cities that are 3, 4, 5 times larger than Charlotte manage to get people from place to place and have water cheaply available. Charlotte seems baffled by these concepts. Charlotte's answer is to open a couple of shoulders on a couple of roads? How about building about six more lanes, which is what is needed? On 485, they aren't even extending the shoulder lane into Union County, which is already a traffic nightmare! Let's see, leave 485 as two lanes and watch traffic get worse, as all those new homes are eventually filled or build 485 into 6 lanes in each direction to promote growth for both the city and the suburbs, hmmm, what should we do? Yes, we'll leave it as two lanes, lol.

Charlotte doesn't understand that if people water their lawns, it creates business. The leaders here act like it's a desert and cheap water is a bad thing! Homeowners have to mow more often, if their lawn isn't dead. Some hire landscapers, who buy equipment and gas. When buying gas, they stop for lunch, helping more businesses. They increase income taxes and sales taxes. With watering limited, all of that extra business dries up, too. Homeowners that spend $100 a month on water would have more disposable income with cheap water, creating growth in other areas.

Charlotte doesn't understand that if people can easily get to different parts of the city, they are more likely to shop or explore the region, creating more growth overall. If you know you will be stuck in traffic, then you are less likely to try out different stores or activities in other parts of the area. Especially with gas at 4.10. Similarly, employers suffer here, as people may not be willing to work at one job vs another, based on the commute.

Charlotte has peaked and is in decline. Home buyers should offer much less than asking price, eventually someone will take the offer, as they do in other markets. I'd recommend waiting for the s to really hit the fan, though. The decline will happen very quickly, as the Fed obviously thinks Wachovia is not to big to fail. When things stabilize again in a few years, hopefully area leaders will do things to promote economic growth and not depend on being a banking center or newcomers ready to lose more equity. Obviously, some areas, like Myers Park, will not decline as much, as there's no land and a quick commute. Some of the far flung areas are going to get crushed, as there are years of inventory available and gas prices/traffic are making commuting more painful than ever.

yeah, whatever...

what is it with the trolls today?

[InSouthPark]

Thanks for your rant...now go preach somewhere else.

[anifani821]

Okay. And your point is . . . ?????

[noupf]

So your entire basis to this rant revolves around traffic and water ? Man, I can think of many more positive reasons to move to Charlotte than negatives.

[yrgm]

Hey, this just may solve the traffic, sewer and water issues. Hooray for the drying city!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

[anifani821]

Originally Posted by yrgm

Hey, this just may solve the traffic, sewer and water issues. Hooray for the drying city!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Hee Hee Hee. Yeah - a solution we had not anticipated . . .

[Chef Giorgio]

Really, what's up with this post? I mean to go to such extents to throw Charlotte under the bus. Did you get robbed, raped, or what?

No city is perfect, the economic downturn is been felt EVERYWHERE. At least we do not have high property taxes like in many parts of the country except for Texas perhaps, where getting a refinance is a NIGHTMARE!!!

Which brings me to another issue: Get your facts right, you need as little as 5% down on a 30 year fixed rate mortgage program so there you go you'd need $18k not $60k.
Of course I would reccomend 10% or better yet 20% under normal housing circumstances. But with home values falling as you pointed out, why would anyone put 20% just to see it get diluted. I'd put 5% (I do agree you need to at least put something, otherwise why the hell would anyone buy a home if you can save, there are people who should be renters indeed), and wait til this craziness goes away, which could indeed by years from now; and then pay a good chunck towards my principal to get rid of PMI.

Tell me something, why do you buy a home? To have a roof to live under, because you buy the place you like that you could not rent. I mean if things do get worse you still would have to pay rent, don't you? I agree we have mistreated the values of our homes and treated them like ATM machines, but that happenend EVERYWHERE!

So please, do not throw Charlotte under the bus. Yes we do depend a lot on the banks, but we have diversified our economy as well and at least we will have the infrastructure in place if the worst is to come so we could reinvent ourselves.

[berryjuice4life]

I have to agree with all the above...not even worth posting

[flexysteve]

Not all of us work for the banks. BOA and Wachovia could move to the North Pole and it wouldn't affect my job one bit. I don't plan on selling my house, so prices can plummet and it doesn't affect me.

All I know is that this place is way cheaper than Boston and the weather's better. So its a win for me.