There was an article on the front page of the St. Petersburg Times today about how the cost of being a Floridian is rising exponentially and nearing crisis. I know that's right. My home's value has risen almost 30% in just 2 years. I just got my homeowner's insurance bill and it is up $500 from last year, but apparently I may be one of the lucky ones. Employers can no longer lure potential employees with promises of a low cost of living. And the no state income tax is loooooong past it's day of offsetting lower employee wages.
Excerpt from article:
"Last week, Florida Gov. Jeb Bush acknowledged the cost squeeze has become "a significant problem."
"We now are going to be challenged because of, particularly in the coastal areas, the lack of affordable housing," Bush said in an e-mail to the Times. But he added, "We're not the only state dealing with it."
True. But Florida has accumulated some striking distinctions. Just last week, the Tampa Bay area was deemed the least affordable metro area in the nation based on the cost of housing and getting around. The study by two nonprofit think tanks said bay area residents spend an average of 57.7 percent of household expenditures on housing and transportation.
No. 2 in the survey: Miami.
Across Florida, the divide between income and the cost of living is stark. A working-class family scouting for a house in Bradenton, for example, is quickly sobered by a single statistic: The average existing home there sold for $275,100 last quarter, up a stunning 45.6 percent in one year. It's the highest jump in the country. Nearby Sarasota was the second highest."
If someone wanted to sell their house and land, then take the money and move someplace affordable (heard there were homestead incentives in North Dakota), are there buyers? How do they qualify for such exaggerated prices? They cannot ALL be millionaires! WHO are these people who can buy?
In Miami, corporations are buying adjacent houses and building condominium buildings. There is insufficient parking, streets get backed up, supermarkets are full, and everyone is grouchy.
If someone wanted to sell their house and land, then take the money and move someplace affordable (heard there were homestead incentives in North Dakota), are there buyers? How do they qualify for such exaggerated prices? They cannot ALL be millionaires! WHO are these people who can buy?
In Miami, corporations are buying adjacent houses and building condominium buildings. There is insufficient parking, streets get backed up, supermarkets are full, and everyone is grouchy.
That is what amazes me! I know one thing that is happening in a big way here in SE Florida is that people are WAY overextended on their home loans! I've seen a huge trend in interest-only loans and really low rate adjustables. It just amazes me that I'll see a new development going up with prices STARTING at $600,000, and you can't imagine how fast they sell.
As far as wages not keeping up with cost of living, I think it might be partly due to the fact that so many people want to live here that it actually keeps wages low, coupled with the fact that people think it's ok because there is not state income tax...I don't know, I just definitely don't think it's worth it to stay.
I moved from the Baltimore area to southern PA. My only regret is that I didn't move sooner. The housing costs in that area are outrageous. My friend in Orlando says their prices are going up, but still not as bad as Baltimore.
Where in Southern PA? I'm from Somerset County originally.
If someone wanted to sell their house and land, then take the money and move someplace affordable (heard there were homestead incentives in North Dakota), are there buyers? How do they qualify for such exaggerated prices? They cannot ALL be millionaires! WHO are these people who can buy?
Amazingly, YES there are buyers! The housing market is H-O-T!!! My next door neighbor sold his house after being on the MLS for 15 minutes! He didn't even get the "for sale" sign put up in the front yard. It's incredible, yet very common. (The people that bought the house are coming down from the Northeast.)
ARNPsomeday
124 Posts
If someone wanted to sell their house and land, then take the money and move someplace affordable (heard there were homestead incentives in North Dakota), are there buyers? How do they qualify for such exaggerated prices? They cannot ALL be millionaires! WHO are these people who can buy?
In Miami, corporations are buying adjacent houses and building condominium buildings. There is insufficient parking, streets get backed up, supermarkets are full, and everyone is grouchy.