Why is Eau Claire so expensive if it's so far up north and relatively rural?

[sub]

Originally Posted by ccjarider

I suppose some could view it that way. OTOH, houses likely sell in EC and thus those buyers are OK with price given their circumstances and desires.



Perhaps your locality is "under-priced" or maybe not as many people as you believe think like you and want the proximity to larger metro area.


Housing is built at the rate that the people doing the building are comfortable risking their assets for the expected return. Not much more to it that that. There is no grand "underbuilding" scheme going on. If enough people had resources to buy more houses, they would have been built . No one would leave that potential profit off the table if "underbuilding" was real.



I do not buy into conspiracy theories that housing markets are rigged or somehow altered to generate above market profits. Millions of people acting on their dreams and "pursuit of happiness" are the reasons houses are bought and sold. Not much more to it.


Free markets can be messy but more regulations from crappy gov't ain't gonna fix that. I have seen silly arguments put forth that "housing is a right." Good lord- we don't want that crazy socialist mentality taking hold.

With the prices being out of reach for the average income, housing isn't "under-priced" anywhere. No offense, but that term makes me cringe especially in this market.

There is a shortage. No conspiracy, just skittish builders after 2008. Zoning and regulations are also a very real thing. That's what I was alluding to. Wisconsin is particularly bad about that. Can't forget those property taxes up here...
Now builders primarily build bigger, more expensive houses on smaller lots to maximize profits and reduce the chances of foreclosures I suppose.
That leaves a lot of people in tougher situations they wouldn't have been in before.
The market for entry-level houses is virtually non-existent, especially for new-builds. I have seen new construction houses go for 150k in other parts of the midwest in the last few months, but that's extremely rare.
It shouldn't be.
That leaves older houses, which I like, but then you have maintenance, upkeep, and possible renovations that can add up to the level of buying a newer house.
I've even looked into mobile homes. For whatever reason, even those are 20% higher here than what I've seen in other places we've considered living. Seriously, it's just weird.
Regulations could be loosened in some areas, while tweaked in others to help facilitate more options with the hopes of not being too intrusive.

I totally agree with your last point: housing is NOT a right. Rights are freedoms from the tyranny of government, not a free ride from them. I certainly don't think subsidized housing is the answer to anything.

[ccjarider]

Originally Posted by sub

With the prices being out of reach for the average income, housing isn't "under-priced" anywhere. No offense, but that term makes me cringe especially in this market.

There is a shortage. No conspiracy, just skittish builders after 2008. Zoning and regulations are also a very real thing. That's what I was alluding to. Wisconsin is particularly bad about that. Can't forget those property taxes up here...
Now builders primarily build bigger, more expensive houses on smaller lots to maximize profits and reduce the chances of foreclosures I suppose.
That leaves a lot of people in tougher situations they wouldn't have been in before.
The market for entry-level houses is virtually non-existent, especially for new-builds. I have seen new construction houses go for 150k in other parts of the midwest in the last few months, but that's extremely rare.
It shouldn't be.
That leaves older houses, which I like, but then you have maintenance, upkeep, and possible renovations that can add up to the level of buying a newer house.
I've even looked into mobile homes. For whatever reason, even those are 20% higher here than what I've seen in other places we've considered living. Seriously, it's just weird.
Regulations could be loosened in some areas, while tweaked in others to help facilitate more options with the hopes of not being too intrusive.

I totally agree with your last point: housing is NOT a right. Rights are freedoms from the tyranny of government, not a free ride from them. I certainly don't think subsidized housing is the answer to anything.

How is "housing shortage" defined?

All commodities and saleable assets are "scarce" in the academic sense.

I am truly curious how people define "housing shortage"? It gets discussed a lot but what does it actually mean?



I suppose some people could use the realtor theory of 3- 6 months inventory is a balanced market but frankly that just sounds like realtor mumbo jumbo and not a real indicator.

[KlaresWasser4189]

Originally Posted by everwinter

I love Dubuques scenery. Old river town/city with bluffs, eagles, barges, old architecture, & a great Mississippi River Museum to have an annual pass to take kids to regularly. It has 3 colleges & a community college if we're talking colleges.

I've always felt Dubuque is underrated. It's about the same distance from Dubuque to Madison as it is Eau Claire to the Twin Cities, if one needs a bigger city.

I couldn't have said it better myself. Looking at pictures of France, and having visited the Alsace region for a short trip back in November, I'm like, "Wow! Northeast Iowa looks a lot like the Alsace region of France, just a lot of pickup trucks and American "tourists"!"



I'm surprised Dubuque (or even Galena, IL) doesn't appear on the Internet's lists of "the most European cities of America" (though Pella, IA makes it on some lists ).


So yeah...because it was impossible to find housing in Eau Claire, I'm now once again living with my parents in VA, but I am starting to miss Dubuque, so I might just move back there in the spring. Anything is better than living with my parents in my late 30s.

[GraniteStater]

It's kind of the same idea asking why the Northwoods resort/retiree/recreation areas are often so expensive... Lots of wealth from the city areas (multi-generational) form the Chicagoland and Milwaukee areas.

[sub]

Originally Posted by KlaresWasser4189

I couldn't have said it better myself. Looking at pictures of France, and having visited the Alsace region for a short trip back in November, I'm like, "Wow! Northeast Iowa looks a lot like the Alsace region of France, just a lot of pickup trucks and American "tourists"!"



I'm surprised Dubuque (or even Galena, IL) doesn't appear on the Internet's lists of "the most European cities of America" (though Pella, IA makes it on some lists ).


So yeah...because it was impossible to find housing in Eau Claire, I'm now once again living with my parents in VA, but I am starting to miss Dubuque, so I might just move back there in the spring. Anything is better than living with my parents in my late 30s.

I always thought Dubuque was a really cool looking town. Haven't had the chance to stop and take it in, but maybe I will someday.