My home I paid 44k for. Save our homes caps the increase in taxed value at 3 percent. I think I pay taxes on close to 60k now but then I have my homestead exemption. I received my quarterly property tax bill. (No mortgage). My assessed value is 55985. My exemptions are 35985 so I pay taxes on 20 k even. 407.44 is what I pay per year but since I pay quarterly I get a discount. My bill for this quarter is 80.82. By far the biggest cost is insurance. Which is almost the same per month as my electric bill. My electric bill is 160 a month. I do the budget billing thing.
I have tons of equity in my home downtown, I might have to look at this as a retirement strategy! Love downtown Deland and it's close to the beach and our condo over there. Hmmmm.....
To your point (I think). My son is a builder/supervisor for Westbay homes. He builds 700K plus homes. His company also builds a 500K or less home that is more basic with less option packages and sq feet, smaller lots. They recently changed positions on what they are going to build moving forward. They have assigned the rest of the lots to the less costly option as the higher priced homes are selling at a slower pace from a year or two ago. Bottom line,,, they see the need for lower priced housing. That’s where the shortage is or is heading to.
What you describe is why I bought in a 55 and over gated subdivision with owner and leasing restrictions. The only way it changes is with a 66% vote of the owners.
I’m a boomer. I set up my home to be paid off and transfer to my son if he’s 55 by the time me and my wife pass. He’s 47. It will transfer to him and he will live here. His townhome which is in an area that rents well will be turned into a rental to supplement his income.
Your takes are virtually unreadable. Long term demand for housing is known. It is a historical certainty. Short term moves related to financing and financial stability not withstanding. If your point is we won't have a housing shortage if suddenly the economy goes bad.. well then.. water is wet. Housing prices have been on the rise for years and it is directly related to the supply of houses for a very stable and well known demand level for housing. If we have a dip in pricing due to economic fears this year, or worse yet an economic reality... prices will shoot back up next year because.... there is a lack of supply to compete for buyers.
I understand if you disagree with me, but I think labeling my posts as unreadable is unnecessary hyperbole. That is not my point, and I don't believe I said anything which would lead someone to reasonably conclude that is what I was saying. My point is that in the supply and demand equation, people tend to focus only on the supply side to indicate a shortage, but do not factor in the demand. Supply and demand are inversely related, and you cannot separate the two if we are having a discussion centered around their relationship. The problem, in this particular conversation is the attempts of people to assign an arbitrary value or number to the supply which would indicate a shortage. In their examples, demand is not factored in. The fallacy of this approach is that it's only a shortage if the demand is higher than the supply can provide. In short, surplus and shortage are not static numbers, so you cannot simply state that there is a shortage because only X number of houses are listed for sale.
Your problem is that you do not understand the term shortage. There are fewer houses on the market to keep prices down as measured against other times where prices were low. You want to define shortfall by driving through your neighborhood and seeing a for sale sign. I’ve linked many articles that reference the cause of the shortage post 2009 and how it’s measured (#59). You have only mentioned your brisk walks in the neighborhood and your gut feel. How about you post something other than your gut?
I have done no such thing. You must have me confused with another poster. My thoughts are guided by my search criteria on real estate websites that I have saved for my area and watching the number of listings every single day.
So you arent going to reference any data? I uses "brisk walks" to characterize your "watching of listings". Let's just agree to disagree with your expert gut analysis vs everyone else in the industry. Not a big deal.
Unless you can produce a graph that some national organization put together, and even then, you won't get him to believe anything other than what he posts. Might understand some of the frustrations those of us have on the right having discussions with many on this board. I totally understand what you are saying about housing and the supply vs the demand. There are statistics and there is reality. If you want to purchase home and have the funds, they are absolutely plenty of options available.
@citygator and I are cool. That said, I only chart I need to provide to illustrate my point is the supply and demand curve. What’s notable about the curve is that it has no actual numbers. There’s a reason for that… the numbers are irrelevant. That is the basis of my argument. We cannot simply say there is a shortage or surplus without discussing the demand, and these numbers are not static.
I’ll just park this here… Opinion: Inflation isn't the real problem for the U.S. economy. The housing shortage is Recently released government datahammered home what we have known for at least a year: A national housing shortage, not broad-based price increases, is driving inflation. Inflation over the past year was 3.1% — far less than in 2021 but still high enough for the Federal Reserve to keep interest rates elevated. However, unlike the inflation we saw soon after the onset of the pandemic, the more recent bout was overwhelmingly driven by the rising cost of what the Consumer Price Index classifies as “shelter” — including rent actually paid and the estimated rent that could be charged for owner-occupied homes. Since the start of last year, most prices have risen very slowly or not at all. The price of goods — the tangible things we buy — remained essentially the same, rising just 0.1%. Food inflation, a source of post-pandemic pain for many households, was less than 3%. And other categories of prices actually fell: Household energy prices are down 2.4%, and the price of cars has fallen just over 1%. All told, for everything other than housing, inflation was just 1.5% — low enough that if housing prices had grown at historical rates, the Fed could have declared victory.
With the low interest rates we had, understandably people held on to their homes. If those homes that they would have normally sold, are not put on the market, there are less homes for buyers. If there are less eggs for instance in the stores due to the bird flu, then the prices go up - supply and demand The big indicator is number of months of inventory. If it is 5 months, then that means it takes 5 months to sell everything on the market right now if no new listings are added. 6 months is a balanced market. We need to get to 7 months to make it more of a buyer's market, but not so much that it negatively affects values. At one time we had a 2 week supply of inventory The thing I see coming is that there are people on the sidelines waiting to buy when rates reach a reasonable number. If it has a 5 in front of it, people will start making moves. That could be the end of this year and create another, albeit not as severe, seller's market.
