Is 700k the new 300k? (Rockland, Florida: apartments, rental, how much)

[robr2]

Here's what over $500K gets you here in Burlington:

https://www.realtor.com/realestatean...3_M40360-37016

It's been empty for months, on a main road (Rt. 62), and is owed back taxes. Bring on the backhoe!!

[newenglandgal123]

Originally Posted by robr2

Here's what over $500K gets you here in Burlington:

https://www.realtor.com/realestatean...3_M40360-37016

It's been empty for months, on a main road (Rt. 62), and is owed back taxes. Bring on the backhoe!!

A developer will probably do as you suggest, tear that down with a backhoe. Then build a 3,000 sq ft colonial like the one that's diagonally across the street and easily fetch $1.5 mil plus for it.

[robr2]

Originally Posted by newenglandgal123

A developer will probably do as you suggest, tear that down with a backhoe. Then build a 3,000 sq ft colonial like the one that's diagonally across the street and easily fetch $1.5 mil plus for it.

I remember when they built that house across the road back in 2015 and sold it for $885K - I thought it was nuts that anyone would pay that for a house on 62. The builder got the old house for $313K - ah the good old days.

[Wile E. Coyote]

Originally Posted by BostonMike7

I think for prices to really tank would require a mass influx of foreclosures and shortsales following massive job layoffs. We haven't really seen that (yet) so i don't think prices will tank like they did following the 2008 recession, and only in areas considered "not nice" by the vast majority of C-D'ers.

I think what we will see is price stagnation and some slight declines in various regions across the state. But I don't have my crystal ball.




I bought my condo during the 2008 recession. Built in 2005 and originally sold for $325K, and i purchased it during the housing crash for $160K. It was still in like-new condition. I was looking at a bunch of short-sales condos back then. All drastically reduced.

I didn't pay much attention to the SFH market though

I believe you've got that right. It takes foreclosures to increase the supply such that the RE market melts down. The job market is too strong and that's not happening this go round. This go round is going to be a stock market recession. RE is probably going to stay flat for a while and reorganize (less well located properties will take the bigger hit and will lead -- condos may go down). Well located 3 bdrm 2 bath SFH's will soften (but, this will not be a repeat of 2008--2012/6)... I think it is going to be more of a softening than a crash.

It's your basic Supply / Demand curve. Demographics are making demand high (along with the job market).

[WestieWhitie]

$700K is definitely the new $300K, and $120K is the new $60K. Problem is every $300K house is now $700K but not all $60K paychecks are now $120K.

[Remy11]

^Bingo.
My great aunt used to say “everything increases but the paychecks”.

[BostonMike7]

Originally Posted by CaseyB

I want enough land so I don't see my neighbors when I am in the backyard and they don't see me. Whatever that takes. Here, we have 2 acres, our house in SC has 1/2 an acre. Both are private.

That's my next home. I told my wife I want a house where I can walk out into the backyard butt-naked and nobody will see me.

[G-fused]

Originally Posted by Remy11

^Bingo.
My great aunt used to say “everything increases but the paychecks”.

Wise phrase. It is unfortunate that the biggest increase people get is when they jump to another org but it is what it is.

I read a news story about this recently in the real estate section of a prominent outlet (I forget which one). The author was arguing that we will not see a crash like we have in times past. They say that is because the market is now not the same as it ever was. She wrote that a larger than ever portion of the market is owned by corporations, and that is on the rise. Companies are parking their cash in real estate investments. That means that all of those have very little risk of default on any loans, of which there are very few since companies typicall buy with cash. So even if there are some defaults here and there, it will not amount to a crash and as more companies buy real estate, the mess risk there is of a bubble bursting any thereby any substantial fall in prices. I forget what other details there were but it made sense to me.

[msRB311]

I am still confused on the whole corporations buying homes thing. Like where are they buying homes? Just in the city or in the suburbs? are they holding them for employees?

[matrix5k]

Originally Posted by G-fused

Wise phrase. It is unfortunate that the biggest increase people get is when they jump to another org but it is what it is.

I read a news story about this recently in the real estate section of a prominent outlet (I forget which one). The author was arguing that we will not see a crash like we have in times past. They say that is because the market is now not the same as it ever was. She wrote that a larger than ever portion of the market is owned by corporations, and that is on the rise. Companies are parking their cash in real estate investments. That means that all of those have very little risk of default on any loans, of which there are very few since companies typicall buy with cash. So even if there are some defaults here and there, it will not amount to a crash and as more companies buy real estate, the mess risk there is of a bubble bursting any thereby any substantial fall in prices. I forget what other details there were but it made sense to me.

Corporations like Zillow?

https://themortgagereports.com/90044...-crash-podcast

https://www.12news.com/article/news/...c-ba3e73c3cc80