[tinytrump]

in the news they keep looking at the millennia's to buy homes- because they are coming to the "family" stage- and too many are sunk in college debt- and bad credit from that debt-. 2- the homelessness, and hunger is still increasing- 3- rental money is now part of the market, not just the mortgage paper,,, A good portion of affordable housing is bought out by investors and they have made it high- IF the working wage continues to take root- we might be able to balance out- right now if you read the news many are doubling up- investor gets his $- but that other part of the family could be renting or buying their own and cannot.

[tallrick]

Originally Posted by Restrain

Not everyone can afford a home. Just a fact of life. The RE crash of 2006-2008 came from the "if you can fog a mirror, you can get a loan" lending. Right now, the inverse is true, with too tight lending policies.

If there is too much demand for inventory, rental rates go up, but more rental units will be constructed, easing the pressure on rental rates. If excess inventory, rental rates will decline to meet demand, and very dated rental units will be demolished or sold for other purposes.

You refer to 'serfdom'. No, serfdom only exists when people cannot improve their situation. I will give you a prime example. A man in a north Texas town of 35,000 started work with a lawnmower and a pickup. He now runs a fleet of trucks, employs dozens and is a millionaire from mowing lawns. He just worked hard, provided good work for an honest fee, and was frugal.

You will find the same with your neighbors that are plumbers, electricians, etc. they are successful by finding a service that others need and are willing to work hard.

Too bad big Government works so hard to put new startups out of business. Licensing and educational requirements are there to protect the establishment, which is the sole purpose of regulations.

[DUNNDFRNT]

Originally Posted by Restrain

Not everyone can afford a home. Just a fact of life. The RE crash of 2006-2008 came from the "if you can fog a mirror, you can get a loan" lending. Right now, the inverse is true, with too tight lending policies.

If there is too much demand for inventory, rental rates go up, but more rental units will be constructed, easing the pressure on rental rates. If excess inventory, rental rates will decline to meet demand, and very dated rental units will be demolished or sold for other purposes.

You refer to 'serfdom'. No, serfdom only exists when people cannot improve their situation. I will give you a prime example. A man in a north Texas town of 35,000 started work with a lawnmower and a pickup. He now runs a fleet of trucks, employs dozens and is a millionaire from mowing lawns. He just worked hard, provided good work for an honest fee, and was frugal.

You will find the same with your neighbors that are plumbers, electricians, etc. they are successful by finding a service that others need and are willing to work hard.

Clearly serfdom is hyperbole, but we are very much heading in that direction, we have been steadily slipping in upward mobility, we have a society where the top 6% account for over 80% of the total wealth, that's approaching third world levels in terms of income inequality. Therefore the narrative of the person coming up from the bottom by sheer hard work and determination is becoming increasingly unattainable, the numbers are there if your parents were in the lower 20% of income earners you are most likely to stay there. There are always outliers there are always people who will make it but it's not the majority, for every Condoleezza Rice there were hundreds who became service workers, the rhetoric of if you work hard you will make it is not the case for most people, most people barely get by.

[JasonAnc]

If housing costs are to be in line with wages, then they need to be much lower, that's for sure.

Florida's housing values have been propped up for decades by the national subsidy of various insurance and disaster relief programs, as well as the massive subsidies of auto-centric sprawl pattern of development which accounts for nearly all of the state's built environment.

And because a lot of those subsidies are coming to an end one way or another in the coming years, places like Florida, which depend so heavily on unbridled growth to drive their economy and tax base, will be deeply screwed when the gravy train ends, and they have to start actually paying their own way individually for the cost of their lifestyle, rather than having it aggregated and paid equally by everybody.

[JasonAnc]

Originally Posted by FLBob

In many areas existing home prices have dropped well below replacement costs.

The scary part is if that trend lingers. Because then it's no longer worth it to fix up a house either.

And when a place is no longer worth fixing up, it starts becoming Detroit.

[Spring Hillian]

The value of your home is the amount of money someone would buy it for.

[JasonAnc]

^Right, which rises and falls depending on factors like who pays for the cost of insurance in flood zones, interest rates, the public's appetite for long commutes exclusively by automobile, etc...

Lots of stuff goes into what people who actually do their homework are willing to pay for a given piece of property.

[PortCharlotteNewbie]

bad for the state; less property tax and less local revenue for the counties.

[LeePage]

Again.... this article is from 7 YEARS AGO... Property values are continuing to rise...