What if House Prices Fall by 30% Worldwide?

[JustCurious]

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Originally Posted by 73ss454 Jazz, don't worry about the local governments. My money is on them, they'll figure some way to rip us off. What they'll do here in Fla. is just raise the millage rates to make up the diff., they do have a license to steal after all.

If you own a homestead in Florida, your local government cannot increase your property taxes by more than 3% each year because of the Save Our Homes constitutional amendment.

[AltaRed]

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Originally Posted by JustCurious If you own a homestead in Florida, your local government cannot increase your property taxes by more than 3% each year because of the Save Our Homes constitutional amendment.

And by 10% for non-qualifiers. Gosh, imagine how much that will increase the current inequitable spread between adjacent neighbours in 10 years. That will not end well.

FWIW, I don't foresee a wholesale worldwide RE decrease of 30%. Housing prices only went 'stupid' in some places in some countries.

[Spanky]

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Heck, prices were rising 15-20% per year for more than a decade ...

Not in my neighborhood -- 5% is more realistic.

[Art G]

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Originally Posted by ESRBob That's a lot better than DFW during the 80s-- my brother bought a townhouse down there at the peak and it took him nearly 20 years to get the price back to where he bought it -- in nominal dollars! (in other words he'd still lost out big time in inflation-adjusted terms). I have no idea where this real estate market is headed, but I do know that when real estate bubbles pop it can take a long time for prices to get back to where they were.

The D/FW area will never run. There's just too much land available to grow. Until Dallas reaches Oklahoma to the north and well, there's nothing stopping growth to the south, the market will remain fairly stable. However, with that said, IF we see a major foreclosure rise (like in the 80's) then if anyone learned anything from the last one, it will be a pretty good opportunity to buy. I know a guy who bought a condo for around $20k in the 80's, that by the 90's it was back to its original price of $80k.
With foreclosures should come a need for rental property. JMO.

[brewer12345]

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Originally Posted by Art G The D/FW area will never run. There's just too much land available to grow.

Could have said the same thing about Vegas, but amazingly property ran there.

[Art G]

Not that familiar with Vegas real estate, but I'd assume it's a bit more costly to build out in the desert, considering water needs and what not, than it is building in areas surrounding D/FW.
Not to mention, I think (again I could be wrong) the economy in Vegas is more centalized.

[73ss454]

Quote:

Originally Posted by JustCurious If you own a homestead in Florida, your local government cannot increase your property taxes by more than 3% each year because of the Save Our Homes constitutional amendment.

Please, don't get me started again. We just ended a thread about the tax structure in Fla. of should I say Rich ended the thread.