According to this SF Gate article, Marin speculators (and others of course) have stopped speculating in Marin and the Bay Area at large and are now, as many here have long suspected, spending their specudollars in tertiary locales.Dissatisfied with having destroyed their own community's affordability as a result of the never-ending pursuit of sating their greed, Marinites must now do it to others. Let's Marinate the whole country!
Some choice quotes:
“For nearly 2 1/2 hours one night recently in Mill Valley, a capacity crowd of 300 people looking for the next hot real estate deal listened raptly as an insider revealed the best cities to buy bargain houses. None was in California. The back-to-back programs weren’t isolated efforts to woo investors and homeowners into taking money out of California’s pricey residential market.”
“‘The economic numbers don’t readily work here anymore,’ explained Michael Morrongiello, program director for a Sonoma investment club. ‘It’s tough for the average investor to acquire rental homes (or) multiple units, here in California and particularly the Bay Area.’”
“Not only will individual and institutional investors look beyond the Bay Area, according to the reports, they will even rummage through largely ignored tertiary cities. ‘I’m going to places the average investor doesn’t, such as South Carolina,’ said Mike Sarwri. ‘In California, you’re spending $600,000 or $700,000 for an average property..and you could take that money and buy four or five’ houses in Dallas or Oklahoma City.”
9 comments:
Yes, well it is a shame that housing, a basic human need, has been turned into just another get-rich-quick opportunity for the few people who have the cash on hand to play this game. But this is life in Bush's America. This is the sort of country we apparently want, since we keep voting for Republicans. So either start voting differently, or else suck it up and get used to being a serf.
... or stand up for ourselves and strike down our oppressors.
sounds like a bunch of amway sales people... real estate, the new amway.
Man oh Man. I was in Marin this weekend, as always. How do the Tully's employees at the Corte Madera Mall stay so nice.
Marin has no infrastructure!
The Millionares need to keep the trillionares out of MV. The Whole Foods. Everytime I'm in there there are two road biker guys talking up their next pictures.
I asked the chashier if lots of millionares come through her ,ine, she said, "yes, but their very nice."
It's amusing that it takes a million dollars in Mill Valley to live like a working class person anywhere else.
go back to boston.
"So either start voting differently, or else suck it up and get used to being a serf."
I have been voting libertarian, but it doesn't seem to be helping...
If you are implying that voting democratic would help this situation, think again. The speculators in todays housing bubble cut their teeth on the 96-2000 tech and telco bubbles. You can pin that on bush.
The reality is that, for many reasons, the US has become a society where people don't work to produce anything. It is a service and finance based economy - RE has been the perfect occupation for the past 10 years, just like debt and suicide counciling as well as debt collection will be the place to be (domestically) in the future.
Q: Who put the ramen in Sac"ramen"to (and now everywhere else)?
A: Bay Area Locust
Lander said...
Q: Who put the ramen in Sac"ramen"to (and now everywhere else)?
A: Bay Area Locust
Nice blogwhore, dude.
"But this is life in Bush's America. This is the sort of country we apparently want, since we keep voting for Republicans."
What Bush has to do with this? Bubbles has existed always (remember dotcom bubble during Clinton years??)
People have choices (such as to use exotic loans and ARMs or not).
Yes, well it is a shame that housing, a basic human need, has been turned into just another get-rich-quick opportunity for the few people who have the cash on hand to play this game.
RE has always been an investment -- this is nothing new. Most investors hold for years, so although these stories make great news stories, the people buying preconstruction Tampa condos are a tiny minority compared to vast majority of mom and pop, buy-and-hold investors who buy properties as part of their retirement planning. People who flip, even in the best of times, are facing enormous risks in the form of transactional costs and taxes, compared to people who hold for the long-term.
Don't forget -- renting is cheap.
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