News about the Midwest

[Camden Northsider]

I think one also can't discount the fact that there are a lot of landlords that willfully take advantage of programs like Section 8- I've seen this on the northside and some of the "above-market" pricing on homes/apts for rent, and statements straight from some landlords' mouths. When people/conservatives talk about 'welfare abuse', they too easily fail to implicate all of the business/property owners that do everything they can to take advantage of the system.

[Citykid3785]

I know a friend who has been looking to rent a 2 bedroom townhouse, and he's finding they start at $1150 and go up from there. The mortgage for the same townhouse would be $500 -$600.....

Having the highest rent coincides with the recent news that we lead the nation in home price declines. This is basically saying we have too much housing and not enough rental housing to support demand.

[knke0204]

Since 1960 Homeownership has increased from 62.1% to 67.4%. It was actually 69% in 2004, pretty much at the peak of the bubble's expanse. The collapse of the housing market has led to oversaturation in the rental market. (There's a reason why they say real estate is a bad investment right now) The increase in potential renters still leaves homes that are meant to be owned, since homes cannot choose their function. This is what has the housing market in a death grip. In my line of work I have come across many young homeowners, often as low as 18 and often out numbered by their renting counterparts.

We often fail to realize why people rent now. There are some who are now renters because their mortgage tanked and are just 'temporary renters'. Being a homeowner is a commitment. One doesn't just buy a home without a job (or a steady job, or decent paying job) because they won't be able to get a mortgage or have the commitment. Renting is easy. It's convenient. People don't do it as a wise investment, but do it because it's their only option.

On paper being a homeowner sounds great. You can build equity(btw has fallen about 50% since 1960) live the American dream, build your credit, you can sound accomplished and build your net worth... However, it's not very easy to commit to structured payments for the next 5,10,15, 30 yrs in an unstable job market and poor economy

[light_shimmer]

Hmm. I rented a 2 bedroom 2 bath apt in International Falls for $350 a month. It was really rundown though and the landlord was impossible to get ahold of. Really crappy neighborhood too, but everything was within walking distance.

I paid $400 a month for a 1 bath 1 bedroom apt that was barely a step up from an efficiency in Bemidji. Nice neighborhood just out of walking distance to downtown.

I have friends in Duluth that live about a half mile up the hill paying $650 a month for a 1 bed, 1 bath place. The apartment is ok, but the area is really shady.

When I lived in California (Escondido area) I was looking for an apartment and everthing was WAY out of my range. We're talking 800-900 for a tiny roach infested place in the ghetto.
Looking for a place to stay in Texas (north of Dallas, Flowermound area) everything was really nice. But the prices were ridiculous. I think the best I found was a 2 bedroon 1 bath for $1200 a month.
Thankfully I had family in both CA and TX with big houses and they were happy to let me stay and help out with groceries, utilities etc.
Renting sux wherever you are, that's my opinion, but if I had to choose, MN isn't so bad.

[audadvnc]

There are many unoccupied houses in my N Mpls neighborhood, victims of foreclosures or unsettled estates. I'm beginning to see evidence of squatters moving into these boarded up houses (storm windows removed, boards torn down), and am ambivalent about that trend. I don't want any crack houses opening up on my block, but there are also lots of people out of work that don't want to live in a shelter.

[TimtheGuy]

Originally Posted by Citykid3785

I know a friend who has been looking to rent a 2 bedroom townhouse, and he's finding they start at $1150 and go up from there. The mortgage for the same townhouse would be $500 -$600.....

Having the highest rent coincides with the recent news that we lead the nation in home price declines. This is basically saying we have too much housing and not enough rental housing to support demand.

Does that $500-$600/mo. include down payment, real estate taxes, association fees, reserves to cover vacancy, repairs and maintenance?

[Camden Northsider]

Originally Posted by audadvnc

There are many unoccupied houses in my N Mpls neighborhood, victims of foreclosures or unsettled estates. I'm beginning to see evidence of squatters moving into these boarded up houses (storm windows removed, boards torn down), and am ambivalent about that trend. I don't want any crack houses opening up on my block, but there are also lots of people out of work that don't want to live in a shelter.

Yeah...I don't know about that. Not intending to be cold and I appreciate your empathy, but squatters in boarded up homes are probably crackheads. They might not be selling drugs but they're likely using and finding ways to support their habit. That's not to say that crackheads aren't deserving of compassion (not to mention treatment), because they are. And there is a shortage of homeless/affordable housing and some people don't want to live in shelters. But most people that are just "out of work" and otherwise chemically/mentally healthy are going to choose a shelter with running water, electricity, etc. if it's available over a boarded up home where everything's been turned off/winterized. Paranoid persons and persons that want to come/go as they please w/out anyone telling them what to do are going to prefer squatting over going through the paperwork/processes to try and get into a shelter. And if there are kids involved, this isn't a healthy or safe situation.

That is if the removed storm windows and boards are a result of squatters. It's probably as or more likely to be the result of persons breaking in to steal the copper or other fixtures in the home. Besides making the homes less likely to sell (or sell for something other than pennies), this lowers the likelihood the homes will ever get rehabbed and makes them prime tear-down candidates (as long as funds are available)- sometimes this is good, but there is a lot of great historic housing stock in Near North that it can be a shame to see torn down. There are other potential dangers- a good handful of homes have blown up in the cities in recent years as a result of the wrong pipes being cut in homes.

Long story short, if I were in your position and saw that homes weren't secure/had been tampered with, I'd call the police or 311- it's a shame that there are so many vacant homes and a lot of people without a place to live, but it's just as likely the removed boards are a side affect of copper theft, and even if it is squatting, it's likely not the case that's it's a nice family that happened to find themselves out of work.