im from long island and the housing market is dropping crazy, foreclosures are at record highs! if people are selling their houses and moving, they must be moving somewhere, where are they moving, are there actually markets (blue collar) that are rising somewhere else in the US, are there any hot cities that construction is booming or is the entire US crashing in the housing market right now, curious about others feedback!
I think the blue collar workers are moving into poverty and onto welfare as all the manufacturing jobs are outsourced to China.
They lose their jobs, they can’t afford to move anywhere except in with their relatives.
There are a couple hundred new manufacturing jobs coming up in my area right now due to a new business moving in. 200 new jobs isn’t going to support a housing boom, and the jobs will most likely be filled with the under-employed who already live locally.
You’d have to be pretty desperate to move across country for a $10-$12 an hour job.
I made the mistake of buying a couple of lower rent places, thinking that the working classes always need a place to live, so they’d be easy to rent out.
Yeh, there is lots of demand— from druggies, felons, bankrupts, and people with 30 judgements on their credit report. And every one of them is full of anger and truly believes that all their problems have been imposed upon them from outside and they are victims.
I think this is the future for American wage workers: lots of low paid service jobs.
The people are not moving, they are still there. They have moved from homeownership to the rent rolls. That is why rents in my town are up 2% to 5% (depending on the area) versus the same month last year. I have a house in a neighborhood that when I bought it 2 years ago the average rents were $900/month. The average rents are now $1150. That is a 20% rise in average rents. There are several factors tha influenced that but the people don’t fall off the ends of the earth…they become renters.
I saw some rents increase here in NJ too. But there is also some new construction of townhomes, that are not selling so they are renting. That is driving some rents down. I dont know what to think of rentals right now with all that going on.
I have a question. If you could buy a rental property for cheap in which you knew would attract the likes of individuals like those mentioned, couldn’t you just have a property management agency deal with those problems? If you did your homework, ran the numbers and used your instinct, couldn’t you still have enough positive cash flow to afford a property manager so you could utilize your time, and your mind much better?