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pemeliza
Participant“Can you really advocate raising kids in this state. How can a wife stay home with the kids, and still be able to pay the mortgage. How can a family live in a good school district, have a yard, and afford to eat? You can’t unless you are in the top 3%”
Ultimately you have to prioritize. When the bubble took off back in 2004, I got the heck out of dodge and moved to Chapel Hill, North Carolina. Those little college towns are awesome places to raise a family if you can find decent work. Another problem with moving is family. Is you family in SD? If not, that makes a move easier. If what SD has to offer isn’t worth the $$$ for you and your family then yes I would try something else. We did and had the bubble not imploded we probably would have stayed in NC even though most of our family lives in SD.
We ended buying a stock condition place in mission hills about half the size of the turnkey mansion we had in Chapel Hill but it has plenty of outdoor space. That was my big priority. I wanted to be outside year round in an area where I would not be swarmed by the attack of the mosquitos. Well and I also appreciate the ocean breezes. Sometimes in North Carolina when the heat index is pushing 105 degrees you go outside and the lack of a breeze is so intense it feels like you are in a super-heated vacuum.
Participant“Can you really advocate raising kids in this state. How can a wife stay home with the kids, and still be able to pay the mortgage. How can a family live in a good school district, have a yard, and afford to eat? You can’t unless you are in the top 3%”
Ultimately you have to prioritize. When the bubble took off back in 2004, I got the heck out of dodge and moved to Chapel Hill, North Carolina. Those little college towns are awesome places to raise a family if you can find decent work. Another problem with moving is family. Is you family in SD? If not, that makes a move easier. If what SD has to offer isn’t worth the $$$ for you and your family then yes I would try something else. We did and had the bubble not imploded we probably would have stayed in NC even though most of our family lives in SD.
We ended buying a stock condition place in mission hills about half the size of the turnkey mansion we had in Chapel Hill but it has plenty of outdoor space. That was my big priority. I wanted to be outside year round in an area where I would not be swarmed by the attack of the mosquitos. Well and I also appreciate the ocean breezes. Sometimes in North Carolina when the heat index is pushing 105 degrees you go outside and the lack of a breeze is so intense it feels like you are in a super-heated vacuum.
Participant“4th, Prop 13 has a huge impact here because long time owners dont get re-assessed every year. Back where I grew up, tax are re-assessed each year. Eventually they get excessive for the retirees who move. When I think back to where I grew up, within 5 years of their last child graduating from college I cant think of a single parent that stayed in their homes located in the high tax rate prime school districts. Around here they stay because the taxes are low which keeps inventory constrained to a degree not found in other states.”
Thank you sdr! I wanted to try to articulate this point as well but I was too lazy. You conveyed it nicely. When I moved to North Carolina in 2004 my property taxes started out at around 5-6k By the time I sold 5 years later they were up to around 9-10k. Older folks tend to get priced out of their houses which adds significantly to the supply. This is part of the reason I refer to SD as a “supply-constrained” market (especially the older “built-out” neighborhoods).
In my neighborhood in mission hills, there are properties with a tax assessment of 2M+ that are immediately adjacent to similar properties with a tax assessment of 200k. Where else in the country outside of California can you find this?
Participant“4th, Prop 13 has a huge impact here because long time owners dont get re-assessed every year. Back where I grew up, tax are re-assessed each year. Eventually they get excessive for the retirees who move. When I think back to where I grew up, within 5 years of their last child graduating from college I cant think of a single parent that stayed in their homes located in the high tax rate prime school districts. Around here they stay because the taxes are low which keeps inventory constrained to a degree not found in other states.”
Thank you sdr! I wanted to try to articulate this point as well but I was too lazy. You conveyed it nicely. When I moved to North Carolina in 2004 my property taxes started out at around 5-6k By the time I sold 5 years later they were up to around 9-10k. Older folks tend to get priced out of their houses which adds significantly to the supply. This is part of the reason I refer to SD as a “supply-constrained” market (especially the older “built-out” neighborhoods).
In my neighborhood in mission hills, there are properties with a tax assessment of 2M+ that are immediately adjacent to similar properties with a tax assessment of 200k. Where else in the country outside of California can you find this?
Participant“4th, Prop 13 has a huge impact here because long time owners dont get re-assessed every year. Back where I grew up, tax are re-assessed each year. Eventually they get excessive for the retirees who move. When I think back to where I grew up, within 5 years of their last child graduating from college I cant think of a single parent that stayed in their homes located in the high tax rate prime school districts. Around here they stay because the taxes are low which keeps inventory constrained to a degree not found in other states.”
Thank you sdr! I wanted to try to articulate this point as well but I was too lazy. You conveyed it nicely. When I moved to North Carolina in 2004 my property taxes started out at around 5-6k By the time I sold 5 years later they were up to around 9-10k. Older folks tend to get priced out of their houses which adds significantly to the supply. This is part of the reason I refer to SD as a “supply-constrained” market (especially the older “built-out” neighborhoods).
In my neighborhood in mission hills, there are properties with a tax assessment of 2M+ that are immediately adjacent to similar properties with a tax assessment of 200k. Where else in the country outside of California can you find this?
Participant“4th, Prop 13 has a huge impact here because long time owners dont get re-assessed every year. Back where I grew up, tax are re-assessed each year. Eventually they get excessive for the retirees who move. When I think back to where I grew up, within 5 years of their last child graduating from college I cant think of a single parent that stayed in their homes located in the high tax rate prime school districts. Around here they stay because the taxes are low which keeps inventory constrained to a degree not found in other states.”
Thank you sdr! I wanted to try to articulate this point as well but I was too lazy. You conveyed it nicely. When I moved to North Carolina in 2004 my property taxes started out at around 5-6k By the time I sold 5 years later they were up to around 9-10k. Older folks tend to get priced out of their houses which adds significantly to the supply. This is part of the reason I refer to SD as a “supply-constrained” market (especially the older “built-out” neighborhoods).
In my neighborhood in mission hills, there are properties with a tax assessment of 2M+ that are immediately adjacent to similar properties with a tax assessment of 200k. Where else in the country outside of California can you find this?
Participant“4th, Prop 13 has a huge impact here because long time owners dont get re-assessed every year. Back where I grew up, tax are re-assessed each year. Eventually they get excessive for the retirees who move. When I think back to where I grew up, within 5 years of their last child graduating from college I cant think of a single parent that stayed in their homes located in the high tax rate prime school districts. Around here they stay because the taxes are low which keeps inventory constrained to a degree not found in other states.”
Thank you sdr! I wanted to try to articulate this point as well but I was too lazy. You conveyed it nicely. When I moved to North Carolina in 2004 my property taxes started out at around 5-6k By the time I sold 5 years later they were up to around 9-10k. Older folks tend to get priced out of their houses which adds significantly to the supply. This is part of the reason I refer to SD as a “supply-constrained” market (especially the older “built-out” neighborhoods).
In my neighborhood in mission hills, there are properties with a tax assessment of 2M+ that are immediately adjacent to similar properties with a tax assessment of 200k. Where else in the country outside of California can you find this?
ParticipantThank you for clarifying this sdr. I like your version of 75th percentile buys an entry level home. So if the 75th percentile income is for argument sakes 75k then at 3x income the entry level house should be 225k. Can’t buy too much house for that in the better areas unless you get a major fixer but a condo should be no problem.
ParticipantThank you for clarifying this sdr. I like your version of 75th percentile buys an entry level home. So if the 75th percentile income is for argument sakes 75k then at 3x income the entry level house should be 225k. Can’t buy too much house for that in the better areas unless you get a major fixer but a condo should be no problem.
ParticipantThank you for clarifying this sdr. I like your version of 75th percentile buys an entry level home. So if the 75th percentile income is for argument sakes 75k then at 3x income the entry level house should be 225k. Can’t buy too much house for that in the better areas unless you get a major fixer but a condo should be no problem.
ParticipantThank you for clarifying this sdr. I like your version of 75th percentile buys an entry level home. So if the 75th percentile income is for argument sakes 75k then at 3x income the entry level house should be 225k. Can’t buy too much house for that in the better areas unless you get a major fixer but a condo should be no problem.
ParticipantThank you for clarifying this sdr. I like your version of 75th percentile buys an entry level home. So if the 75th percentile income is for argument sakes 75k then at 3x income the entry level house should be 225k. Can’t buy too much house for that in the better areas unless you get a major fixer but a condo should be no problem.
ParticipantJust because you cannot buy a house where you want to live doesn’t mean you cannot live there. Rental rates are actually pretty reasonable in SD and many people don’t mind commuting a long distance to work to get to areas in which they can buy a nicer house.
The reason median income doesn’t matter IMHO, is because there are not enough houses that change hands every year in SD for all of those people with the median income or higher to buy one. In other words, if prices were set based on median incomes, then there would be an instability because the demand would far outweigh the supply.
The other problem with the median income analysis is that it does not take into account other sources of wealth including stock options and equity from prior home sales.
ParticipantJust because you cannot buy a house where you want to live doesn’t mean you cannot live there. Rental rates are actually pretty reasonable in SD and many people don’t mind commuting a long distance to work to get to areas in which they can buy a nicer house.
The reason median income doesn’t matter IMHO, is because there are not enough houses that change hands every year in SD for all of those people with the median income or higher to buy one. In other words, if prices were set based on median incomes, then there would be an instability because the demand would far outweigh the supply.
The other problem with the median income analysis is that it does not take into account other sources of wealth including stock options and equity from prior home sales.
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