What's becoming of the green, green grass of home? (Knoxville: for sale, foreclosures)

[sliverbox]

Don t worry about me moving to Tn. I am one of those people moving from S. Florida. I bought 10 acres of land to put 1 house on. I don t want where I retire to be like the 0 lot line homes in FL. So I will do my part to keep Tn from being overrun with 6 homes per acre

Not sure how this really helps people. If EVERYONE from FL, NY, or OH buys 10 acres of land, then sure- there might be less houses, but there will instead simply be less property for everyone else and the prices will be higher.

I am not in favor of overbuilding and area, but there is a fine line between over development and overbuying of land. In my opinion, places like TN should be looking into what is known as " Smart growth" , which means that land is utilized in a more efficient manner. You can build a mix of homes in a neighborhood: small homes, medium homes, large homes, and so on.All income brackets. Build them with sidewalks and easy access to shopping centers, schools, and civic centers so that people avoid driving the family Escalade from the Mcmansion subdivision to Wal-Mart.

I think the problem that TN and other Southern states have is that one of it's current attributes is it's own worst enemy. Simply put, it is too easily affordable to people from the Northeast, West Coast, and so on. They will keep right on flooding in until TN, like all the other states becomes overpriced. Then its off to North Dakota.

[hiknapster]

Originally Posted by sliverbox

Not sure how this really helps people. If EVERYONE from FL, NY, or OH buys 10 acres of land, then sure- there might be less houses, but there will instead simply be less property for everyone else and the prices will be higher.

I am not in favor of overbuilding and area, but there is a fine line between over development and overbuying of land. In my opinion, places like TN should be looking into what is known as " Smart growth" , which means that land is utilized in a more efficient manner. You can build a mix of homes in a neighborhood: small homes, medium homes, large homes, and so on.All income brackets. Build them with sidewalks and easy access to shopping centers, schools, and civic centers so that people avoid driving the family Escalade from the Mcmansion subdivision to Wal-Mart.

I think the problem that TN and other Southern states have is that one of it's current attributes is it's own worst enemy. Simply put, it is too easily affordable to people from the Northeast, West Coast, and so on. They will keep right on flooding in until TN, like all the other states becomes overpriced. Then its off to North Dakota.

Well, I agree with all of this. Well put.

But...

It's not cheaper here than Ohio.
People in Florida can't sell their homes.

And being that you are in California, how are homes selling in your neighborhood?

[jimj]

Hiknapster,
That article was a quick search, the tv blurb I heard was talking about falling real estate prices and a worried group (millionaires) of hedge fund investors and that they were turning to real estate as a hard asset. As for an undervalued area, I guess we are when compaired to quite a few areas like vail,aspen,boulder etc. Do I think we are undervalued? Somewhat in some areas of housing and land but way overvalued in others. If you want resort living with skiing and a federal park and open land then yes, I guess in some cities we are a bargain.

[goodbyehollywood]

Seems to me Knoxville and Nashville are apples and oranges. There is little industry in Knoxville, while Nashville is booming with business-- lots of big nationals relocating HQs and regional offices there. As a result, Nashville is seeing a rapid influx of young professionals and affluent middle and upper-middle managers, while Knoxville is seeing retirees, because they don't need good jobs, which Knoxville has in short supply. Yet real estate prices are escalating more or less in tandem in the two cities.

I don't understand the lack of balance in Knoxville. Usually high home prices mean high paying jobs, coastal access, scarcity of land or wonderful weather-- none of which really apply to Knoxville. Yet there are scads of people buying high-end homes, driving prices up and leading developers to bid against each other to turn vacant parcels of land into more and more exclusive enclaves. There can't be that many CEOs, CFOs or wealthy retirees in Knoxville.

And if people are coming here for a less expensive cost of living, why are they buying $400K, $500K or $600K homes? If they wanted that, why not just stay where they are-- they'll probably have an easier time finding a job. And their sales tax will be lower. It's a puzzle-- all this influx, with so little industry to support it.

And Knoxville's version of smart growth developments are skyrocketing. There was an article in the WSJ or one of the business pubs not that long ago. Downtown lofts are selling like mad for $199/SF (and rising by the nanosecond) and the new mixed-use business-residential development off Northshore is selling well. Small homes start, I believe, in the mid-to-high $400Ks. At this rate, they'll be in the $500Ks next year.

But where are the jobs? I'm baffled.

[TreeFarm]

Originally Posted by sliverbox

Don t worry about me moving to Tn. I am one of those people moving from S. Florida. I bought 10 acres of land to put 1 house on. I don t want where I retire to be like the 0 lot line homes in FL. So I will do my part to keep Tn from being overrun with 6 homes per acre

I think the problem that TN and other Southern states have is that one of it's current attributes is it's own worst enemy. Simply put, it is too easily affordable to people from the Northeast, West Coast, and so on. They will keep right on flooding in until TN, like all the other states becomes overpriced. Then its off to North Dakota.

I take it you have never been to North Dakota. At least, not in winter.

[TreeFarm]

We too wondered where the money to buy all the high end real estate is coming from. When we moved here five years ago, my wife, who is in a relatively well paying profession, took a 50% pay cut compared to what she made "up north." In the four years that we have owned our current property, we have seen acreage prices more than double.

When we bought our place, I estimated the land at $3K per acre. My neighbor thought I was nuts. Now land in this valley is selling for $7K an acre minimum, with some going for as high as $9K. Current asking prices run to an astounding $16K an acre.

By acreage, I mean just that, not building lots, which are also skyrocketing.

Over in Anderson County, there is a new development off of Old Emory Road, near the Bull Run steam plant. Building lots there are going for $50K+ and up for as little as a half acre -- and they are selling.

I have been working with a realtor in Kingston. The other day, I asked her if she had seen any softening in the market. According to her, the only softening they have seen is in the waterfront prices, which have leveled off, primarily because the buyers from Florida can't sell their places down there.

Even if Floridians remain stuck with their properties, I think that the waterfront will start to rise again. There is a strong demand for retirement property from the baby boomers, who are just starting to retire. With TVA's long overdue freeze on selling off the taxpayers' land to developers in place, existing waterfront is bound to start back up simply from the baby boomer demand.

Land, they just aren't making it anymore. Get yours while you still can.

[RS-1080]

I think buying land and moving to TN is one thing,but some have no respect at all.This is our case here.Dad has been given about 3 years at best to live and the farm that was once willed to us boys will be no longer.My stepmother talked him in to changing his will,and she's to sell it at auction after he's gone.Ok,the locals are nothing to worry about as they won't bid if a family member is trying to keep a farm together,but there is this one guy in FL thats buying up the land here and has a guy here keeping watch on dad.He says sorry boy's but my boss says to bid upto 600,000 on this place.Us boys put our blood and sweat into his place making it what it is today,but to these guys,it don't matter.We can't afford to match the 600,000 bid he's willing to go,nore do we want to sell it at anyprice.What a screw deal this is.Like said,folks in our neck of the woods don't do this to people.If it was not for him to bid,it would sell for about 140,000-160,000 being where it is,dad gave 24,000 in 74 for the 262 acres.

[TreeFarm]

That's sad. I take it you are not on good terms with your step mother?

[sliverbox]

Ok,the locals are nothing to worry about as they won't bid if a family member is trying to keep a farm together,but there is this one guy in FL thats buying up the land here and has a guy here keeping watch on dad.He says sorry boy's but my boss says to bid upto 600,000 on this place.Us boys put our blood and sweat into his place making it what it is today,but to these guys,it don't matter.

tell you what RS-1080, sounds like it's about time for a good ole' fashioned TN azz-whoopin. That story makes me mad, and it isn't even my family. One question: Do you all have a lawyer? I would HIGHLY reccomend hiring one to look at the will and see if you have any say over it. That whole thing just seems wrong.

[sliverbox]

I take it you have never been to North Dakota. At least, not in winter.
LOL! no, but I did live in Boston for 2 years. What god-awful MISERABLE weather. I couldn't believe how expensive it was there. Sub-zero winter weather, and people were delighted to blow 500k on a crappy little house.
No wonder the whole Northeast is a sinking cesspit. Crappy weather, a crumbling economy, and way overpriced housing. Folks from up there are what concern me. They come on down here and see a 300k house and they're like: " 300k? Is that all? I'll buy 3 of them!" That's how prices get too high.