You are absolutely nailing it. Mike Reynolds Earth Ship architect said: the key to success is wanting what no one wants and not wanting what everyone else does.
It's a cure for lemming-itus.
I knew every street & neighborhood in Seattle before I bought my first house. Natives often remarked "where the hell is that?". I sat with a realtor who said "oh no don't by there" but I already looked at a map, saw ocean & I5 on one side and Lake WA on the other - 20 mile spit of land at best and neighborhoods all around up as much as 36%. $145k in, 4 years later $270k sold.
It was a fantastically (real) diverse ungentrified place. Now? Stepford wives - the kind that all virtue signal diversity until it's bought and gone.
True story (don't have the citation right now);
For men, the same area of the brain lights up for Tools and when they see pictures of women. What I want to know is what similar locations for womens' brains light up?
My point being, without awareness we can be fleeced right out of our life'$ work and savings.
In 2005 the rising $ housing market in pockets around the US became a shell game - it was obvious! I bought a SFH for long term rental and in 8 months was outvoted by the realtor & bizz partner - no sell now! Had to restage it to reflect that and 4 days later sight unseen a woman from Coral Beach Fla. Bought it (for way too much).
That's when I knew we were screwed as a nation. That duck duck goose ended with the GFC.
After 20 years of this I'm STILL not experiencing one single person making the basic connection between higher housing $ and higher Taxes. It's a simple single line from one to the other.
Honestly at this point all I can say is most buyers suffer from "it'll never happen to me syndrome" and those who seek to benefit from another's stupid decision are all to happy to pick their mark up at the airport, drive the nicest roads and wine & dine them.
Thank you so much! And, truth....lots of truth. In my own little way, I hope to make that connection for people - higher home prices equals higher insurance, higher taxes, higher maintenance and no equity in reality.
Cipolla: "A stupid person is a person who causes losses to another person or group of people when he or she does not benefit and may even suffer losses."
And yet those angry men with the car, the boat, and the european-style largese is still winning young trophy wives, whereas the industrious twenty-something yo's frugally but stably building actual assets doesn't get any attention from the opposite gender. Moral hazard doesn't just have financial consequences - it corrupts social values too.
Melody - a friend shared this with me. You might find some light-hearted humour on these tragic houses amusing https://mcmansionhell.com/post/725564236607176704/mojo-dojo-casa-house You address the property issues for those struggling to buy property - here’s the other side - the combination of too much money and no taste! :-)
Fifty years ago I lived in a gritty part of Ft Lauderdale and I was a student at Broward Community College, the Davie campus. Back in those days there wasn't much to Davie. Trailer parks for the OPs (old people), empty fields where the Klan would hold rallies.
The legislature helped encourage the plebes to vote for a constitutional amendment a few decades ago; property tax increases are capped for people with homestead to inflation or 3% whichever is lower. People said: "Yeah protection for little people!" Maybe they didn't realize that carpetbaggers like JEB! Bush, Mike Huckabee, Rick (plead the 5th 75 times) Scott and others have their taxes capped as well. Their million dollar homes now are "worth" five million yet they benefit from the same law and it's portable if you buy up. The motto in Florida, without a state income tax, has always been: "Don't tax you, don't tax me, tax the guy behind the tree..." Since the TC&JA Act blew a $trillion a year hole in the budget but capped SALT deductions at $10k, people have come here in droves. Many people cheat on Homestead; buy a home register to vote, get a Florida DL, voila! Florida resident entitled to homestead tax breaks (and exempt from creditor claims), no more MA, NJ, IL, NY property or income taxes (YMMV). Snowbirds pay the bulk of the taxes (what maybe 20% on top of hotel rates with dales tax, and other tourist taxes) because they leave, and it's so warm in the winter!
It is really, really nuts out there. And, I have a feeling there is a lot of shadow inventory like places like Heron Bay and in some of the completed (no more trucks) subdivisions.
You are absolutely nailing it. Mike Reynolds Earth Ship architect said: the key to success is wanting what no one wants and not wanting what everyone else does.
It's a cure for lemming-itus.
I knew every street & neighborhood in Seattle before I bought my first house. Natives often remarked "where the hell is that?". I sat with a realtor who said "oh no don't by there" but I already looked at a map, saw ocean & I5 on one side and Lake WA on the other - 20 mile spit of land at best and neighborhoods all around up as much as 36%. $145k in, 4 years later $270k sold.
It was a fantastically (real) diverse ungentrified place. Now? Stepford wives - the kind that all virtue signal diversity until it's bought and gone.
True story (don't have the citation right now);
For men, the same area of the brain lights up for Tools and when they see pictures of women. What I want to know is what similar locations for womens' brains light up?
My point being, without awareness we can be fleeced right out of our life'$ work and savings.
In 2005 the rising $ housing market in pockets around the US became a shell game - it was obvious! I bought a SFH for long term rental and in 8 months was outvoted by the realtor & bizz partner - no sell now! Had to restage it to reflect that and 4 days later sight unseen a woman from Coral Beach Fla. Bought it (for way too much).
That's when I knew we were screwed as a nation. That duck duck goose ended with the GFC.
After 20 years of this I'm STILL not experiencing one single person making the basic connection between higher housing $ and higher Taxes. It's a simple single line from one to the other.
Honestly at this point all I can say is most buyers suffer from "it'll never happen to me syndrome" and those who seek to benefit from another's stupid decision are all to happy to pick their mark up at the airport, drive the nicest roads and wine & dine them.
Thank you so much! And, truth....lots of truth. In my own little way, I hope to make that connection for people - higher home prices equals higher insurance, higher taxes, higher maintenance and no equity in reality.
Cipolla: "A stupid person is a person who causes losses to another person or group of people when he or she does not benefit and may even suffer losses."
Good one!
And yet those angry men with the car, the boat, and the european-style largese is still winning young trophy wives, whereas the industrious twenty-something yo's frugally but stably building actual assets doesn't get any attention from the opposite gender. Moral hazard doesn't just have financial consequences - it corrupts social values too.
Hang in there - stability will be all the rage very soon.
The anger on the roads was the post-Covid tell. We went from stay safe to f*** you. (in a blink of the eye).
Melody - a friend shared this with me. You might find some light-hearted humour on these tragic houses amusing https://mcmansionhell.com/post/725564236607176704/mojo-dojo-casa-house You address the property issues for those struggling to buy property - here’s the other side - the combination of too much money and no taste! :-)
Hahahahaha. That's pretty awesome. Thank you.
So sad. Such a waste.
I agree.
Thanks for the shout out!
Great article 👏🏼
Thank you and thank you for your great tweet :)
Love it or hate it, this post totally reminded me of the song I used to bop to in middle school- American Dream by Switchfoot. 🤣
:)
Wow those prices don’t make any sense. That’s a scary view of where things are, but not surprising.
Fifty years ago I lived in a gritty part of Ft Lauderdale and I was a student at Broward Community College, the Davie campus. Back in those days there wasn't much to Davie. Trailer parks for the OPs (old people), empty fields where the Klan would hold rallies.
I didn't like Florida then and a lot less today.
Thank you, and I don't blame you. In the few short weeks I've been here, I already feel a little angrier.
To me it looks like they will NOT build affordable housing in Parkland. But 200% appreciation in the last 3 years? Ridiculous.
A friend just got their tax bill, 38k and they bought in 2021. Talk about a tax heart attack.
What will happen to all these ppl who bought and have these outrageous costs. I hope they don't lose their jobs or businesses.
Are we in for another 50% drop in Parkland like in 2008?
In my estimation....most likely
The legislature helped encourage the plebes to vote for a constitutional amendment a few decades ago; property tax increases are capped for people with homestead to inflation or 3% whichever is lower. People said: "Yeah protection for little people!" Maybe they didn't realize that carpetbaggers like JEB! Bush, Mike Huckabee, Rick (plead the 5th 75 times) Scott and others have their taxes capped as well. Their million dollar homes now are "worth" five million yet they benefit from the same law and it's portable if you buy up. The motto in Florida, without a state income tax, has always been: "Don't tax you, don't tax me, tax the guy behind the tree..." Since the TC&JA Act blew a $trillion a year hole in the budget but capped SALT deductions at $10k, people have come here in droves. Many people cheat on Homestead; buy a home register to vote, get a Florida DL, voila! Florida resident entitled to homestead tax breaks (and exempt from creditor claims), no more MA, NJ, IL, NY property or income taxes (YMMV). Snowbirds pay the bulk of the taxes (what maybe 20% on top of hotel rates with dales tax, and other tourist taxes) because they leave, and it's so warm in the winter!
SMH
So glad you went to Parkland, Fl.
I just am amazed how houses have appreciated to insane levels. 50, 100, 200% over price level in 2019 and 2020.
It is really, really nuts out there. And, I have a feeling there is a lot of shadow inventory like places like Heron Bay and in some of the completed (no more trucks) subdivisions.
How can we find out if there shadow inventory? Parkland Bay is wrapping up and there is a new development starting up in Heron Bay.
We can look on county records at the PUD (planned unit development) and permits. I will try to find some time to do that.