2040 SC Metro Projections
Posted 04-09-2017 at 01:08 AM by The QC
Quote:
Originally Posted by ColaClemsonFan11
No one at all is saying that the PR machine is what is getting people to move here or somehow brainwashing people into moving to Greenville, it just promotes it more. People obviously come, visit, and make that call on their own but it does generate buzz about the city and positions it in a very positive light.
Your supply and demand argument is accurate, but realize that there has been a lot of demand so prices have gone up and developers built more supply to meet the needs and then some. Simultaneously, property value dramatically increasing has motivated owners to sell their homes with the opportunity to make well more than what they put into it, creating an even greater supply. All this plus the building boom not looking to slow down and growth rates being nothing monumental creates a situation where supply is greater than demand and because the building boom does not appear to be slowing down, I would say it's overbuilding.
Now, one aspect of this is that as you mentioned, lower prices for apartments or home prices means more people have the ability to buy or rent downtown, but those people are coming from somewhere within the area thus hurting another part of town.
Your supply and demand argument is accurate, but realize that there has been a lot of demand so prices have gone up and developers built more supply to meet the needs and then some. Simultaneously, property value dramatically increasing has motivated owners to sell their homes with the opportunity to make well more than what they put into it, creating an even greater supply. All this plus the building boom not looking to slow down and growth rates being nothing monumental creates a situation where supply is greater than demand and because the building boom does not appear to be slowing down, I would say it's overbuilding.
Now, one aspect of this is that as you mentioned, lower prices for apartments or home prices means more people have the ability to buy or rent downtown, but those people are coming from somewhere within the area thus hurting another part of town.
The problem with over building affects the poor homeowner trying to sell his home at a price where he can pay off the mortgage and real estate agent. He needs a certain sales price to make that happen. But builders have over built in the area. The builders have to reduce the price of their new homes to sell them. The builder is offering his new home for a price below market value. A new buyer would rather buy a new home below market value than a comparable used home at market value. So the poor guy trying to sell his home cannot sell it unless he does a short sell just like simpsonvolle's brother in Richmond. I must say that it appears to me that simpsonvolle very seldom has a clue as to what he is talking about.
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