29 percent of homeowners in Miami spend half of their income or MORE on housing. (Orlando: sales)

[jbravo]

The most cost-burdened homeowners in the country live the Miami-Fort Lauderdale-Miami Beach metro area: 58 percent of homeowners spending 30 percent of their income on housing costs, and 29 percent spending half of their income or moreon housing.

amazing!
Guys, this is the most cost-burdened in the COUNTRY!
Not, Florida!


from AP:
The Associated Press: Millions spend half of income on housing

Thoughts?
Please, do not stray into politics or other controversies that will shut down the thread.
Tallrick?
I was flabbergasted... floored.


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[somebodymiami]

its true, i am one of them, well my mom is, she works 2 jobs plus my step dad paying the bills to live in this house.

[planetsurf]

Seems about right -- Florida, California & NY/NJ spends more on housing.

"In San Francisco, more than one out of five homeowners with a mortgage spends half or more of their income on housing.
That's also true in 13 more of the largest 100 metro areas analyzed by the Associated Press. Other places include California metro areas of Stockton, Los Angeles, Riverside, Oxnard-Thousand Oaks, San Francisco, and San Diego. Also in the top 10 are the Fort Myers, Sarasota and Orlando metro areas in Florida, and New York-Northern New Jersey-Long Island.
But the most cost-burdened homeowners in the country live the Miami-Fort Lauderdale-Miami Beach metro area: 58 percent of homeowners spending 30 percent of their income on housing costs, and 29 percent spending half of their income or more on housing."

I didn't analyze how the came up with their numbers specifically, but keep in mind that in Fla, we get ALL our taxes from sales and Property taxes -- in Cali & NY/NJ they have State Income tax too, so I'm not sure if the comparison is apples to apples. (In Cali, prop tax is ~ half the rate we have here -- income tax is ~8%.)

All things being equal, isn't ~30% about right for a mortgage payment?
50% IS way too much -- not sure how these people got mortgages in the first place!?!? (I'm sure for some their insurance/taxes did go up and their salaries didn't.)

[tallrick]

I know this is a fact. Most of the buyers in the last 3 years are spending 4,000 - 9,000 per year in taxes alone! They have to pay 400 or more dollars just to lease their homes from the State, before mortgage payments! People come to Florida determined to live here and ignore the fundamentals. Fools from south America escaping dictators and rebellious paupers spent their cash freely, driving Miami area prices to dizzying heights. The high gas prices and resetting mortages will be the saving of this area though. Home values have to fall to a median 3 times local income and they will. People will leave this area, "paradise" or not. The only reason the stupid bubble lasted so long was due to funny money. Especially if the wall street bailout fails, south Florida real estate will continue to fall in value for years to come. The only way they could stay at current levels is if wages rise. That is about as likely as Miami never being hit by a hurricane again.