So huge drop of American real estate prices?

[janosik]

I was never before interested in real estate prices in US until I saw this article: http://finance.yahoo.com/news/what-y...151428065.html
I know that prices were falling for the last few years, but right now it seems for me that houses in some areas of USA are cheaper than prices in European post-communist countries. Do you think that it is the right time to invest?

[slapass]

Yes, they have started up but they are super cheap compared to before. It is a bit are dependent.

[Paul&John]

the prices on those houses could be low because the neighborhood/location is shitty.. and again maybe the property tax is lot higher in the US then in EU... but have no idea really..

[Barry-xlovecam]

Originally Posted by janosik

[D]o you think that it is the right time to invest?

European real estate prices are irrelevant in this market -- you need a new mindset.

Do some research of the local markets, they will vary a lot.

The real estate market values in Atlanta and San Francisco as example are like night and day.

As for any appreciation; a lot would depend on location, location, location -- the main factor would be future economic growth and jobs.

You can always buy Section 8 housing cheap in depressed areas -- the US government (via welfare) will pay the tenant's rent (while they destroy your property :D ) then get a HUD Home Improvement Loan ( aside: use pvc plumbing supply lines this time -- all the copper is gone).

Managing property from a remote location is not realistic. See what the management fees would be on collecting the rent ... Again, all management companies are not equal.

[96ukssob]

If you want to invest, find an area that can not further expand, therefore simple supply and demand law will evidentially lead to the homes being worth more.

Problem is these home developers flocked to areas to build homes as quickly as possible, like Las Vegas and Phoenix, now there is a major surplus. Versus a market in NYC or Los Angeles, homes are insanely priced and will never really go down all that much.

[Sly]

Originally Posted by janosik

I was never before interested in real estate prices in US until I saw this article: http://finance.yahoo.com/news/what-y...151428065.html
I know that prices were falling for the last few years, but right now it seems for me that houses in some areas of USA are cheaper than prices in European post-communist countries. Do you think that it is the right time to invest?

All of the places in that article are in bad locations. Eastern European country, what's the dirt cheapest price you can buy a place at? A total dump in a really bad location? You are reading about the US version.

In Austin I can find a pretty nice two bedroom condo for $250k. In San Diego, that barely gets you started. It's all location.

[DBS.US]

I like home builder stocks

[Supz]

The places that are cheap like that are places no one wants to live. That's why the prices are like that.

[mineistaken]

That article should say which of these homes are in black or hispanic neighborhoods.
Oh, it can't say, the all mighty political correctness.

[EddyTheDog]

I look around at the US real estate sites sometimes and its crazy what you can get for the price of a 1 bed apartment in London.

Even the price of a 1 bed in a bad area of the UK would get you something nice in the US - And not just in a grotty area....

[ErectMedia]

opportunity is there but houses will probably need work and usually not in the best areas, here's the Chicago one...

http://en.wikipedia.org/wiki/Humboldt_Park,_Chicago

Humbolt Park still not considered a good area but surrounding areas are hipster hot spots, Wicker Park, Logan Square etc... I drive through the area every week to get downtown and I'm currently looking in Wicker Park, Logan Square, Goose Island, Gold Coast etc...

[Supz]

Originally Posted by EddyTheDog

I look around at the US real estate sites sometimes and its crazy what you can get for the price of a 1 bed apartment in London.

Even the price of a 1 bed in a bad area of the UK would get you something nice in the US - And not just in a grotty area....

There are also places in American like NYC where a 1 bedroom apt is over a million dollars. And they are small flats, with not much space. So its all relevant. There are places in England where plenty of people dont want to live and the property value is cheap. You are talking about a large city in London and some small shit towns in the US. You are comparing a dick and a finger. Makes no fucking sense.

Such as shitholes like this

http://www.rightmove.co.uk/property-...-41079776.html
http://www.rightmove.co.uk/property-...-25982982.html

These are like 100k US. You couldnt put a downpayment in NYC for the price of these houses.

Myth Debunked.

[EddyTheDog]

Originally Posted by Supz

There are also places in American like NYC where a 1 bedroom apt is over a million dollars. And they are small flats, with not much space. So its all relevant. There are places in England where plenty of people dont want to live and the property value is cheap. You are talking about a large city in London and some small shit towns in the US. You are comparing a dick and a finger. Makes no fucking sense.

Such as shitholes like this

http://www.rightmove.co.uk/property-...-41079776.html
http://www.rightmove.co.uk/property-...-25982982.html

These are like 100k US. You couldnt put a downpayment in NYC for the price of these houses.

Myth Debunked.

You are the one 'comparing a dick and a finger' - Those are shit properties in really shit areas of the UK - They are about US$110K and you are comparing them to New York.

What could you get in a shit area of US with $110K?

[tony286]

Originally Posted by Paul&John

the prices on those houses could be low because the neighborhood/location is shitty.. and again maybe the property tax is lot higher in the US then in EU... but have no idea really..

The atlanta one looks to be in a shit neighborhood and looks like it needs a mountain of work.

[Supz]

Originally Posted by EddyTheDog

You are the one 'comparing a dick and a finger' - Those are shit properties in really shit areas of the UK - They are about US$110K and you are comparing them to New York.

What could you get in a shit area of US with $110K?

There are plenty of shitty cities in the US where can you buy just as shitty of a house for 79k-80k. Please remember. A house there that is 79 Pound. Is the same house here for 79k. The currency exchange is not considered when people earn a living. You pay a pound I pay a dollar. There are plenty of shitty towns where you can buy a shitty house in a shitty neighborhood for 79k.

The only places where houses are drastically cheaper are in cities like Detroit. Where no one wants to live and the houses are abandoned. You can go to many shitty towns in places like Florida and get just as shitty of a house for a similar shitty price.

In the big cities, the prices are more expensive. Just like everywhere else in the world.

I think the cum guzzling has gone to your brain.

Such as this dump in Miami Gardens.

http://www.trulia.com/property/30861...-33054#photo-3

[EddyTheDog]

Originally Posted by Supz

There are plenty of shitty cities in the US where can you buy just as shitty of a house for 79k-80k. Please remember. A house there that is 79 Pound. Is the same house here for 79k. The currency exchange is not considered when people earn a living. You pay a pound I pay a dollar. There are plenty of shitty towns where you can buy a shitty house in a shitty neighborhood for 79k.

The only places where houses are drastically cheaper are in cities like Detroit. Where no one wants to live and the houses are abandoned. You can go to many shitty towns in places like Florida and get just as shitty of a house for a similar shitty price.

In the big cities, the prices are more expensive. Just like everywhere else in the world.

I think the cum guzzling has gone to your brain.

Such as this dump in Miami Gardens.

http://www.trulia.com/property/30861...-33054#photo-3

Anywhere in the UK that property is over 125K UKP - UK property prices are higher than in the US - Get over it....

[Supz]

Originally Posted by EddyTheDog

Anywhere in the UK that property is over 125K UKP - UK property prices are higher than in the US - Get over it....

I do not even understand what this means. Please type it over in English.

[mineistaken]

Originally Posted by Supz

There are plenty of shitty cities in the US where can you buy just as shitty of a house for 79k-80k. Please remember. A house there that is 79 Pound. Is the same house here for 79k. The currency exchange is not considered when people earn a living. You pay a pound I pay a dollar. There are plenty of shitty towns where you can buy a shitty house in a shitty neighborhood for 79k.

The only places where houses are drastically cheaper are in cities like Detroit. Where no one wants to live and the houses are abandoned. You can go to many shitty towns in places like Florida and get just as shitty of a house for a similar shitty price.

In the big cities, the prices are more expensive. Just like everywhere else in the world.

I think the cum guzzling has gone to your brain.

Such as this dump in Miami Gardens.

http://www.trulia.com/property/30861...-33054#photo-3

You posted those houses in bad UK areas for 79K pounds. In bad US areas those would not be 79k pounds, not even 79k dollars. Those would be maybe 30k dollars or even less.

If you found houses like those in UK for 25.000 pounds then you would have an argument.

I am not saying that your argument is wrong, I am merely saying that your examples goes against your argument, not for your argument.

[Sly]

Originally Posted by mineistaken

You posted those houses in bad UK areas for 79K pounds. In bad US areas those would not be 79k pounds, not even 79k dollars. Those would be maybe 30k dollars or even less.

If you found houses like those in UK for 25.000 pounds then you would have an argument.

I am not saying that your argument is wrong, I am merely saying that your examples goes against your argument, not for your argument.

There are plenty of bad areas in the United States where $79,000 will not buy you shit. I can rattle off several cities right now where $79,000 literally will not buy you anything, even in the ghettos.

With that said, the whole argument is kind of silly. The United States is many multiples larger than England. We have a lot more space to allow for cheap homes of every variety.

[Supz]

Originally Posted by mineistaken

You posted those houses in bad UK areas for 79K pounds. In bad US areas those would not be 79k pounds, not even 79k dollars. Those would be maybe 30k dollars or even less.

If you found houses like those in UK for 25.000 pounds then you would have an argument.

I am not saying that your argument is wrong, I am merely saying that your examples goes against your argument, not for your argument.

I posted direct links to shitty houses in both areas for the same prices. Please remember, 79k pounds is 79k dollars when you are buying a house in your own respective country. Someone who makes 100k a year here and 100k there can afford the same level of things, because of the prices are not different. a 1 dollar soda here is 1 pound there.

So, I posted a 79k house in a shitty as neighborhood and I posted a house there in a shitty ass neighborhood. I posted links to both. They are both shitty, they are both 79k.

I am sure if I keep looking I can find a house for 25k Pound on that website. I was going from high prices to low. There was 4 pages. I was on page 2..

[shuki]

You should see what the prices are like in the Boston area. We just picked up a 2 family in a college area and paid $1.25 mill

If anyone wants t make a mint contact me about buying investment property in the Boston school areas

[Sly]

Originally Posted by shuki

You should see what the prices are like in the Boston area. We just picked up a 2 family in a college area and paid $1.25 mill

If anyone wants t make a mint contact me about buying investment property in the Boston school areas

Are you still involved in lofts.com? I thought that was a pretty cool engine running that.

[mineistaken]

Originally Posted by Supz

I posted direct links to shitty houses in both areas for the same prices. Please remember, 79k pounds is 79k dollars when you are buying a house in your own respective country. Someone who makes 100k a year here and 100k there can afford the same level of things, because of the prices are not different. a 1 dollar soda here is 1 pound there.

So, I posted a 79k house in a shitty as neighborhood and I posted a house there in a shitty ass neighborhood. I posted links to both. They are both shitty, they are both 79k.

I am sure if I keep looking I can find a house for 25k Pound on that website. I was going from high prices to low. There was 4 pages. I was on page 2..

Thats what I was wondering. Could you find variety of 25.000 houses in UK and compile similar article to that from the OP.

Of course, like Sly said, its not smart to compare both countries, different land, different taxes, different other factors, one of them that there are no actual ghettos in UK. Something similar, bot not that extreme.

[Helix]

I bet you can buy a whole city block in Detroit if you shop around.

[epitome]

Prices keep going up here in South Florida. Foreign cash buyers are a huge boon for the local market.

It all depends on where you are...

[teomaxxx]

Originally Posted by Sly

Eastern European country, what's the dirt cheapest price you can buy a place at?

in a shitty neighbour, it means a lot of gypsies usually. In the biggest shitholes of CZECH republic, 80m2 flat in those insane communist buildings cost around 3-4k USD nowadays and its usually even close to the borders with East Germany, eg.
http://www.sreality.cz/detail/prodej...ucni/849294172

sometimes even West G.
5k USD http://www.sreality.cz/detail/prodej...na-/3290735452, 20km from the borders....nice countryside around

[Bryan G]

Originally Posted by epitome

Prices keep going up here in South Florida. Foreign cash buyers are a huge boon for the local market.

It all depends on where you are...

Same as Toronto, bought my house 3 years ago for $320k, I could sell it today easily for $410k

[xNetworx]

Originally Posted by ErectMedia

opportunity is there but houses will probably need work and usually not in the best areas, here's the Chicago one...

http://en.wikipedia.org/wiki/Humboldt_Park,_Chicago

Humbolt Park still not considered a good area but surrounding areas are hipster hot spots, Wicker Park, Logan Square etc... I drive through the area every week to get downtown and I'm currently looking in Wicker Park, Logan Square, Goose Island, Gold Coast etc...

Hipsters should lower property values.

[slapass]

US Housing is cheap. Sure some áreas are cheaper then others. Check rent versus price and most standard housing is cheap.

Also the smart money is buying - http://www.bloomberg.com/news/2013-0...tal-trade.html

[Socks]

Originally Posted by Bryan G

Same as Toronto, bought my house 3 years ago for $320k, I could sell it today easily for $410k

But you'd have to move, and every other property went up in value too. Also you'd have to pay closing costs, moving costs, taxes, etc.

The only way to really cash that money out is to go back to renting.

[slapass]

Real estate goês up at about 3% a year. If it has raged in your area it might be time to cash in.

[bhutocracy]

Originally Posted by Supz

I posted direct links to shitty houses in both areas for the same prices. Please remember, 79k pounds is 79k dollars when you are buying a house in your own respective country. Someone who makes 100k a year here and 100k there can afford the same level of things, because of the prices are not different. a 1 dollar soda here is 1 pound there.

No, nope. Not at all. That's like saying a soda is 1 peso in Mexico. Look at the Big Mac index for example: http://www.economist.com/content/big-mac-index it's $4.37 in America and 2.69 pounds in the UK. Someone on 100k in the UK is substantially richer and able to purchase more in their own country than someone on 100k in the US. 37,174 Big Macs for instance instead of only 22,883 in America, making the guy on 100k in the UK about 62% richer in his own country. A 79k pounds sterling house in the UK is the equivalent of a 128k USD house in America.

[Supz]

Originally Posted by bhutocracy

No, nope. Not at all. That's like saying a soda is 1 peso in Mexico. Look at the Big Mac index for example: http://www.economist.com/content/big-mac-index it's $4.37 in America and 2.69 pounds in the UK. Someone on 100k in the UK is substantially richer and able to purchase more in their own country than someone on 100k in the US. 37,174 Big Macs for instance instead of only 22,883 in America, making the guy on 100k in the UK about 62% richer in his own country. A 79k pounds sterling house in the UK is the equivalent of a 128k USD house in America.

LOL at you talking about Mexican Pesos

[bhutocracy]

Originally Posted by Supz

LOL at you talking about Mexican Pesos

Ah right you be trolling, I thought it was an overly stupid thing to say in the first place. Good-o, carry on etc.

[Supz]

Originally Posted by bhutocracy

Ah right you be trolling, I thought it was an overly stupid thing to say in the first place. Good-o, carry on etc.

Trolling? I thought you comparing the Mexican Peso to The Pound or The Dollar was a stupid thing to say in the first place. Are you going to mentioned the Ruble next?

[MainstreamGuy]

Why are most houses in USA made of Wood?..

They look so cheap and ugly.

I also see this in the series Flip Men.

Man, where did the old good fashion and glamorous USA went? All those neightborhoods look like Shanty Towns and very poor places, and gangs everywhere.

Where did the glamorous USA we all saw in Hollywood movies with perfect homes and perfect lifes, went?? Can't see all that in nowadays USA.

It looks like USA has been Cubanized.

[Supz]

Originally Posted by MainstreamGuy

Why are most houses in USA made of Wood?..

They look so cheap and ugly.

I also see this in the series Flip Men.

Man, where did the old good fashion and glamorous USA went? All those neightborhoods look like Shanty Towns and very poor places, and gangs everywhere.

Where did the glamorous USA we all saw in Hollywood movies with perfect homes and perfect lifes, went?? Can't see all that in nowadays USA.

It looks like USA has been Cubanized.

It really depends where you are and what the weather is. Everything in NY is pretty much made of brick. Except for the newer builds. Because of price obviously. In Florida for instance its a lot of sheetrock and wood. Brick keeps the heat in, would be terrible in Florida. Also most things in Florida are newer. If you go to any older city, NY, Boston, Philly etc. There is a lot of brick.

[PR_Glen]

Originally Posted by Helix

I bet you can buy a whole city block in Detroit if you shop around.

that would be great for your grand kids.. I'm the last one to bash detroit but speculating on land in that area is at least 20 years from turning around right now, plus the property taxes are still high.

[bhutocracy]

Originally Posted by Supz

Trolling? I thought you comparing the Mexican Peso to The Pound or The Dollar was a stupid thing to say in the first place. Are you going to mentioned the Ruble next?

My use of the peso was reductio ad absurdum to show exactly how ignorant your "Please remember, 79k pounds is 79k dollars when you are buying a house in your own respective country" statement was. I have already proven how incorrect you were mathematically.

[bhutocracy]

FWIW I'm actually looking at Kansas City atm. Seems to have good livability ratings... Google laying fibre etc.

[Evil1]

Originally Posted by Helix

I bet you can buy a whole city block in Detroit if you shop around.

Buy? I've seen owners try to give houses away.. some with tenants. The most expensive part of moving in is body armor and bullet proof glass upgrades.

Disclaimer: If anyone goes and grabs a free house in detroit only accept brick, arson is the official sport in detroit. Also you'll need gun*s*, there are area's cops will refuse to go to without waiting for backup first.

[nico-t]

i dont think you can compare the US to european countries' house markets. Simply because the US is huge and there are remote bad areas nobody wants to ever live. I saw some houses in Detroit for $10k. You will never find houses priced this cheap in Holland, in the worse areas here apartments cost 10 times as much - simply because it's a very small overcrowded country (supply & demand).

The city i live in has a neighborhood which was in the top 10 worst neighborhoods in Holland. Illegal polish workers shack up, and other immigrants - in other words a ghetto. A small apartement in this shithole still costs a minimum of €80,000.

[ilnjscb]

Originally Posted by nico-t

i dont think you can compare the US to european countries' house markets. Simply because the US is huge and there are remote bad areas nobody wants to ever live. I saw some houses in Detroit for $10k. You will never find houses priced this cheap in Holland, in the worse areas here apartments cost 10 times as much - simply because it's a very small overcrowded country (supply & demand).

The city i live in has a neighborhood which was in the top 10 worst neighborhoods in Holland. Illegal polish workers shack up, and other immigrants - in other words a ghetto. A small apartement in this shithole still costs a minimum of ?80,000.

I've heard about this neighborhood - the crime is horrible, people jaywalking, littering, walking dogs without a license, it is terrifying to see. Some of them do it openly! There was also a man seen writing profanity on a post-box, but that was last year, and after a citizen's outcry police protection was tripled and it has not happened again. Still, the mean streets make one tough, but I worry about the children.

Crime in The Netherlands Compared With The United States

[nico-t]

Originally Posted by ilnjscb

I've heard about this neighborhood - the crime is horrible, people jaywalking, littering, walking dogs without a license, it is terrifying to see. Some of them do it openly! There was also a man seen writing profanity on a post-box, but that was last year, and after a citizen's outcry police protection was tripled and it has not happened again. Still, the mean streets make one tough, but I worry about the children.

Crime in The Netherlands Compared With The United States

hey i didn't say it was like compton

[Bryan G]

Originally Posted by Socks

But you'd have to move, and every other property went up in value too. Also you'd have to pay closing costs, moving costs, taxes, etc.

The only way to really cash that money out is to go back to renting.

No I know that, I am just saying that property values have been increasing in this city for years now.

[shuki]

And here in Boston the market has been on fire...we are seeing multiple offers all above asking price.

It's all about Location, Location, Location!!!