Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
On page 79 of The Economist (April 25th-May 1st 2009), one writes about why it is still to early for a housing rebound. "Maybe the illusion (of flipping houses for becoming rich) will die out or a decade or two."
The ones who are coming to Cape Coral with a basket to buy houses have no idea what burden they will have to carry because of property taxes, in a city where economical and environmental problems are left to be solved by next transit owners.
To solve economical and environmental problems property taxes will not be enough but who dares to introduce income taxes in Florida!
The ones who are coming to Cape Coral with a basket to buy houses have no idea what burden they will have to carry because of property taxes, in a city where economical and environmental problems are left to be solved by next transit owners.
To solve economical and environmental problems property taxes will not be enough but who dares to introduce income taxes in Florida!
Dont know if we'll see a state income tax, per se. It's always possible, but I think it will be a last resort. In the meantime.......
The filing fees at the clerk of court have gone up. "Doc stamps" on real estate transactions can be raised. Police are writing more tickets. Renewal of business and professional licenses will increase. Pretty much everything associated with doing business with your state and local governments will increase in cost......
Of course this is pretty much a nation wide malady, and likely wont go away anytime soon.
In Cape Coral houses are still too expensive, taking into consideration the unemployment rate, the glut of houses and land on hand, the flight of businesses out of Cape Coral, the environmental problems, and especially instability of Cape Coral as a living community.
Cape Coral has become more dependent on outsiders to come to buy. But old folks in America are not coming as they cannot sell their own homes in colder states and Cape Coral has become expensive for them thanks to previous speculators. foreigners are not coming as in Europe in much better places houses are even cheaper and the environment much healthier.
The problem is that Cape Coral cannot reinvent itself to become something else than what it is now. What worse is the fact that there is absolutely no planning on how to protect Florida against rising see water, especially a place like Cape Coral with all its canals.
To lure new comers, the fear is to even "lower" property taxes or other incentives which will be a complete disaster for the future of Florida.
based on real estate sales volumes being up to what they were during the boom i think your statement that there aren't buyers is way off. And saying real estate prices won't go up is like saying the stock market won't go up. Did all the stupid people in the world suddenly become smart? NOPE. did all the greedy people finally say I've got enough? NOPE did florida suddenly become an arctic climate that people from the north no longer wish to escape to? NOPE .... Now to really open a can of worms, there is no more water in the world now then there ever has been the water level is a constant.. everyone talks about the polar ice caps melting, last I checked if I filled a glass with ice cubes and filled in the voids with water the glass does not overflow when the ice melts. and if you look at what they do in dubai they can dredge the ocean and make islands faster than the sea is rising. If you're negative on housing don't buy ,,, if you're negative on cape coral move. if you're worried about rising sea levels buy a boat.
based on real estate sales volumes being up to what they were during the boom i think your statement that there aren't buyers is way off. And saying real estate prices won't go up is like saying the stock market won't go up. Did all the stupid people in the world suddenly become smart? NOPE. did all the greedy people finally say I've got enough? NOPE did florida suddenly become an arctic climate that people from the north no longer wish to escape to? NOPE .... Now to really open a can of worms, there is no more water in the world now then there ever has been the water level is a constant.. everyone talks about the polar ice caps melting, last I checked if I filled a glass with ice cubes and filled in the voids with water the glass does not overflow when the ice melts. and if you look at what they do in dubai they can dredge the ocean and make islands faster than the sea is rising. If you're negative on housing don't buy ,,, if you're negative on cape coral move. if you're worried about rising sea levels buy a boat.
Two years ago they were pushing on tv the get rich quick by buying real estate with no money down gig. Now things have changed as they push the buy foreclosures for next to nothing gig. No the greedy and stupid are still here amongst us. So are the smart and opportunistic. We will not know which one is which until we see how it all pans out about 5 years from now. Capitalism is not always fair and not always productive, but it is never dull.
Two years ago they were pushing on tv the get rich quick by buying real estate with no money down gig. Now things have changed as they push the buy foreclosures for next to nothing gig. No the greedy and stupid are still here amongst us. So are the smart and opportunistic. We will not know which one is which until we see how it all pans out about 5 years from now. Capitalism is not always fair and not always productive, but it is never dull.
When the stock market (or real estate) is nearing its high, people are going out of their way to plow all their money into it. Then when it heads into the toilet, they sell.
Buy high, sell low. The way to really lose money.
Personally, I prefer to buy when the market is depressed, when prices are depressed and when I get to dictate MY price.
based on real estate sales volumes being up to what they were during the boom i think your statement that there aren't buyers is way off. And saying real estate prices won't go up is like saying the stock market won't go up. Did all the stupid people in the world suddenly become smart? NOPE. did all the greedy people finally say I've got enough? NOPE did florida suddenly become an arctic climate that people from the north no longer wish to escape to? NOPE .... Now to really open a can of worms, there is no more water in the world now then there ever has been the water level is a constant.. everyone talks about the polar ice caps melting, last I checked if I filled a glass with ice cubes and filled in the voids with water the glass does not overflow when the ice melts. and if you look at what they do in dubai they can dredge the ocean and make islands faster than the sea is rising. If you're negative on housing don't buy ,,, if you're negative on cape coral move. if you're worried about rising sea levels buy a boat.
This "masterpiece" of writing sums up beautifully what else is scary about Cape Coral when you buy houses just because you "think" they are cheap. You never know who can be your neighbor.
based on real estate sales volumes being up to what they were during the boom i think your statement that there aren't buyers is way off. And saying real estate prices won't go up is like saying the stock market won't go up.
If you're negative on housing don't buy ,,, if you're negative on cape coral move. if you're worried about rising sea levels buy a boat.
Havent heard that sales are up to quite that level, but frankly I havent really cared. I'm definatly not in the market here. From what I have gathered in talking to a few realtors I know, sales volume is up, but the prices are still way, way off of what they were a few years back. There is still quite a way to go to soak up all the available property out there.
While I agree, prices will eventually go back up, I dont see it(realistically) for a while yet. And if it does start going into a rapid upward(unreal) spiral anytime soon, I'd think it just a temporary rally, before another crash, perhaps even deeper than this one. The economy as a whole, is nowhere near out of the dumper just yet, unemployment continues to rise, small business in this area continues to fold. I think theres another round of hardship coming to this area before things really start to stabilize. The commercial real estate, and credit card debacle still have to play out.
This area has, as it's been pointed out many times before, very little going for it other than it's location, weather, and natural beauty. Just as people from other parts of the country flocked here to buy when it became affordable, then lost their arses, we will have to persuade another group to take their place. That group will have to come from overseas. As the prices have come down so far, now is the time to peddle this stuff to the gullible foreigners that still have a few rubles and kopecks to rub together.
OTOH, Rising sea levels are NOT a concern. I'm negative on Cape Coral, but in this economy, the devil I know is safer than the one I dont, so I'll stay put until things start looking brighter elsewhere. Even though my living is made on boats, I'd be the first to tell anyone...buy the house, ultimatly, the real estate will be forgiving(even if it takes fourty years), the boat will just eat you alive.
This "masterpiece" of writing sums up beautifully what else is scary about Cape Coral when you buy houses just because you "think" they are cheap. You never know who can be your neighbor.
I don't know where you're from but thinking an 85k for a house that cost 200k to build isn't cheap? for 85k you cannot buy a single wide mobile home in a camp resort up here. as far as a rental property if you rented the house for 850 per month you would get a net return of 5% off your investment even if there is no appreciation but after 5 yrs if it went up to 125k in value that would be 9% on top of 5% positive cash flow 14% annual return is an excellent investment. worst case scenario I have a 2nd home that I can go to during the sub zero temps up here. plus with all the money being printed from the gov't it is going to create inflation which means you would want to hold hard assetts. and like a previous post buy low sell high, the people that are negative are probably the ones that got burnt and when they become positive on the market it's probably time to sell again. real estate is similar to any other investment it's when you buy and when you sell that matters. The great Jim cramer has a saying bulls make money , bears make money , pigs get slaughtered
[quote=yachtcare;8693326]Havent heard that sales are up to quite that level, but frankly I havent really cared. I'm definatly not in the market here. From what I have gathered in talking to a few realtors I know, sales volume is up, but the prices are still way, way off of what they were a few years back. There is still quite a way to go to soak up all the available property out there.
march (which is the most recent available at this time) was the highest real estate volume in 5 yrs but the numbers really since april of 08 have been strong. NO the prices are still low they always lag volume but if you look at the charts from the last 2 yrs they took a nosedive but over the last 5 months have put in a pretty good bottom one month slighty up next month slightly down but overall flat. I am not predicting 2006 prices to return (they were overpriced) but I am looking for a 100% increase from where they are today over the next 5 yrs. If a house was worth 200k and was selling for $260k it needed to come down by 30% just to be what it was worth (that is every market in america) what made cape coral different was that it was overbuilt, people were able to buy that weren't worthy , there were speculators that were just trying to make a dollar with no intentions of living in, and the local economy could not support the employment and income needed to sustain. so cape coral was bound to drop a lot more than the rest of country. So what makes this any different? 1st time home buyers can own for the cost of renting, lower interest rates, 1st time home buyer tax credit, cash buyers that will have less over head and equity in the homes. a lot of the buyers will not be dependant on jobs to afford living there, which in itself will create a tax base without putting the burden on the schools. Imho the price will continue to be flat through the summer then when the buying season picks up again there will be a large spike in the values due to a much lower inventory (less than a 5 months supply vs 21 month supply a yr ago) but a spike off a median price of 93k to 115k isn't a new boom it's just recovering some of the overshoot, after that I predict normal price appreciation 3-5% a year with an occasional shoot up 8-10 yrs before we get back to 2006 levels.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
