Low income and middle class have been priced out (employment, salary, premium)

[Stonecoldharbours]

It will be the haves and have not...soon everywhere, not just a few places, but everywhere, give it a bit more time. I would love to spend 100 grand on a home in nice middle class area, where in the world does this exist and can you keep it? I mean are their jobs there? Tell me more!

[LeavingFlorida05]

Retirees only helped drive up prices in a few areas. Overall, speculators had a MUCH greater impact than retirees. How many people ordered those Carlton Sheets videos and bought houses with no money down? Too many to count, and many of those still own multiple properties. Prices will continue to fall in many areas.

[Stonecoldharbours]

Well people who live in them are either very rich and can afford that or they are not saving for retirements and college and emergencies and will be homeless one day maybe? Once we save for retirement, college educaitons, pay the mortage, buy food, pay copays on medical bills...some people put all their money into homes and then use plastic to furnish it and then are really living on the edge too. And some are prolly very wealthy, had huge downpayments of cash with their inheritances and etc, so their monthly payment might be smaller than ours. Ah the rich get richer and the rest of us struggle to survive...yup.

[LeavingFlorida05]

I live in one of the most screwed up markets in the country, Naples Florida. I don't see it, PghPaNative. I work as a commercial real estate appraiser, so I see the numbers and the methodology used to come up with those numbers. Like I said, the market is correcting itself. Give it time.

I've seen condos listed on Naples MLS drop from $250,000 to $170,000, so far. And no one is biting at $170,000, either. These are condos that sold in the low $100s when they originally went on the market, a few years ago. And they have a great location. They're less than a mile from Naples Bay.

[Trident]

Originally Posted by anonymous

What exactly is this thread about? What is this "new USA"? My neck of the woods hasn't changed much. In my hometown, a decent 3 bedroom house in a working-class neighborhood goes for $80,000 - $100,000. Bump up to a middle class neighborhood, and you're looking at $150,000. Or you can live in an upper-middle class neighborhood for about $200,000. Or if you want, you can move to a bad neighborhood and spend $50,000. That would cost you what, $400/month, maybe a little more?

I'm curious at to where your neck of the woods is as well? Upper-middle class for $200k and where would we be working?

[anonymous]

Originally Posted by ontheroad

Just wondering, as you don't say, where you live?

I just left NM, housing had gone from affordable to reasonable to unreasonable in about a 10-year period. Housing costs in today's market are beyond what most of the long-time residents could afford, and if they didn't already own, they'd be forced to leave. Many of the families actually were fortunate enough to own land, and started building "family" compounds to save costs and share expenses.

Only the transplants, with pots of money, have been able and willing to buy. While once an acre was $1000., it is now $100,000.

Thanks!

The town I was referring to (my hometown, which is not where I currently live) is Sumter, South Carolina. Those prices are what you'd expect to pay for Sumter, Manning, or Bishopville.

I don't claim that it's the most desirable place to live, or that the economy is good - but that wasn't really the question.

*edit:
http://homepics.realtor.com/image1/http/sumter/submit/large/057/59351a.jpg (broken link)
for example, here's a 3 bedroom, 2600 sq ft house listed for $205,000. It's not mine, i'm not selling it or anything, just using it as an example.

"SUPER CHARMING VICTORIAN COMPLETELY RENOVATED WITH MEXICAN TILE, ITALIAN TILE, 5 FIREPLACES (2 W/GAS LOGS) FORMAL LIVING RM, FORMAL DINING RM, MASTER ON 1ST FLOOR, FAMILY RM, KITCHEN W/ BIRCH CAB'S, FLORIDA RM OVERLOOKING INGROUND POOL, OFFICE LOFT UPSTAIRS, ATTIC STORAGE, 3 OUTSIDE STORAGE SHEDS, 2 CAR CARPORT, CIRCULAR DRIVEWAY, CHARLESTON GARDEN, FENCED YARD, TONS OF PRIVACY AND MOST BEAUTIFUL! "

*edit again
here's a picture of the pool
http://homepics.realtor.com/image1/http/sumter/submit/large/062/59351b.jpg (broken link)
And to reiterate, this is literally a random listing that I pulled off the web in about 15 seconds of searching.

[ontheroad]

Thanks. I didn't think you were claiming anything, just reporting!

It is interesting where affordable housing is, and isn't!

Perhaps LeavingFlorida05 is correct and we'll see more of a change in housing costs nationally--and soon!

Originally Posted by anonymous

The town I was referring to (my hometown, which is not where I currently live) is Sumter, South Carolina. Those prices are what you'd expect to pay for Sumter, Manning, or Bishopville.

I don't claim that it's a desirable place to live, or that the economy is good - but that wasn't really the question.

[anonymous]

Originally Posted by Trident

I'm curious at to where your neck of the woods is as well? Upper-middle class for $200k and where would we be working?

that's funny, you say that as if I should be responsible for finding you a job.

[FindingZen]

There are some of us who have been able to carve out a niche for themselves in a less populated (or popular) area. I would commend those people for their tenacity and/or luck.

However, I believe that many businesses and their jobs are increasingly concentrated in and around larger cities. Then there are the people who are determined to be in their preferred climate whether it is, say, Colorado, California or Florida. Sometimes there are even locales where there is the best of both worlds in terms of the job market and climate.

Of course, the more people that rush to these areas, the more expensive housing becomes. It can get to the point where one needs an upper-income household just to maintain what might be a middle-class lifestyle elsewhere. To wit, here in Northern Virginia, my lady and I bring home barely a six-figure income, yet all we can afford is a 2B apt in a busy but unglamorous neighborhood close to DC as well as our jobs. That is, unless we chose to invest our retirement on a 1B condo for $300K... or stretch for a $500K townhome or rancher.

Moving out to the exurbs isn't an option for us but many people choose to do that, especially those who want to buy a house for their families. I feel bad for those people who drive to the DC area from as far as WV and PA for work. Even those people commute by train from Baltimore or the VA exurbs aren't doing much better. Long-distance commuting is tough, no matter how you travel.

So to close, it's easy in a sense to suggest that one simply move somewhere cheaper. But there is definitely a trade-off in terms of quality of life and the ability to make a living.

[FindingZen]

Anonymous,

If I'm not mistaken, the "hottest" job market in SC is the Greenville/Spartanburg area... and it's not necessarily "booming" compared to nearby Raleigh-Durham, Charlotte, Nashville or Atlanta.

There's a trade-off for those whose ability to make a living is not home-based or otherwise easily transferable to just any location.