9 replies to this topic

[calmcookie]

A previous poster wrote - Apparently last week, a Texas auction firm was commissioned to sell off a number of homes there. The prices were unbelievably cheap, with 'house after house [selling] for less than the $29,000 that it costs to buy the average new car.' The auctioneer became so exercised that he enjoined the audience with the simple statement that 'Folks, the ground underneath the house goes with it. You do know that, right?' Several houses that went by the boards sold for less than $10,000... some even for less than $7,000. As one participant said, 'You cannot even buy a good used car for that!' My response - I'm sincerely curious as to WHERE you can buy a house in Texas for $7,000 .... certainly not where I live, or anywhere closeby. I still can't get over how much construction is going on within a 150 mile radius of my home. Maybe all those New Orleans people will fill these up? Or will the new construction be able to find tenants? Soon see. I would really like to know WHERE these "apparently" inexpensive auctions occured? Any specifics? Thanks, C.C. (and by the way - Texas home taxes are also sky high)

Edited by calmcookie, 24 March 2007 - 02:21 PM.

[89S10]

I thought the post said the Texas firm was hired to auction off homes in Detroit.

[calmcookie]

Oh, that makes more sense ... I'll look again at the article. Thanks, C.C.

[VidKid]

I live in the surburbs, but work in Detroit and the eco is not too good right now for MI. The gov is trying to pass a 2% tax on service items to balance the budget and Comerica just announced they are moving HQ to Texas. There's lots of run-down, small homes in rough areas that are selling at depressed prices.

http://news.yahoo.co...rime_detroit_dc

VK

[pdx5]

I know unions are strong in Michigan, but who runs the state government? Is the governor and legislature republican or democrat?

Edited by pdx5, 24 March 2007 - 06:36 PM.

[VidKid]

Dems -Gov and House
GOP - Senate (?)

Vast areas of vacant lots and abandoned buildings/homes in Detroit and in some areas located on main roads. This has been going on since the mid 80's. Detroit is under 1mil in population now and total school enrollment is lower every year in Detroit... unemployment is high in MI.

http://www.freep.com...EWS05/703020319

http://www.freerepub...s/1463747/posts

Abandoned home pic (some homes are not as bad looking as this one, but some are much worse)
http://www3.ci.detro...ages/chomes.htm

VK

[VidKid]

Dems -Gov and House
GOP - Senate (?)

Vast areas of vacant lots and abandoned buildings/homes in Detroit and in some areas located on main roads. This has been going on since the mid 80's. Detroit is under 1mil in population now and total school enrollment is lower every year in Detroit... unemployment is high in MI.

http://www.freep.com...EWS05/703020319

http://www.freerepub...s/1463747/posts

Abandoned home pic (some homes are not as bad looking as this one, but some are much worse)
http://www3.ci.detro...ages/chomes.htm

VK

Edit:
To be fair, the Downtown area, with the Greektown Casino and other district projects, have economic development right now.
http://forum.skyscra...ad.php?t=102019

VK

[mikie007]

Here is the Reuters article published 3/20/07 link: http://www.thepenins...00703203458.xml

Today, it is good olde Detroit - sad but true. I have a tough time with this stuff -
even knowing some may deserve it, but then, there are some with the best of intentions
but may not to brightest light bulbs on the block, who took mortage(s) so the hubby and
wife wouldn't have to work 3 jobs each, there are many stories out there - and could have
the American dream by the short hairs for a while - then things fell apart around them and
in Detroit the auto business went South or illness/medical bills took them down. I have
witnessed a few first hand with the kids looking out the windows at the crowd with the
auctioneer on his stepladder bid calling outside in their driveway - to my soft head and hearth -
it hurts my feelings even now writing this. Hope this never happens to anyone reading this -
but from what I have seen - it could, as unlikely as it seems to you or me right now.

mikie

[outsider]

How real estate became less than worthless in Texas... Had a sad case several years back near San Antonio. Absentee elderly rancher leased land to a "hunter" over several years. Hunter left behind large number of drums of hazardous waste on property, some of which were leaking. Hunter used alias and could not be found. Cleanup was supposed to cost more than the land was worth and the agencies were supposed to come after the owner for the balance. Never did find out what the final dispostion was.... ---Out

[J.Bilkins]

I'm at the auctions every week. The article is bs unless they are trailers or homes given 0 value due to repairs.

Cali and Florida have taken hits because houses tripled in value before hand. Houses didn't even double in value over the last 10 years so no bear here at all. Texas is fifteen minutes away and LOADED with hurricane people who are fixing to get massive amounts of

30 year fixed loanns for 100k at 2.6% with 0 money down....

Last house I sold was done by this. Problem is it did not take the usual 6 weeks. It took 3 full months and there was massive red tape. In a fair world the government would pay me for the extra 6 weeks interest......since it is not I require large down payments by them now and wrote a special contract so they would take a complete loss if the loan did not go thru now.

Houston is loaded with people getting these loans.

You can crash housing and it will have 0 effect here as I can easily prove........
unless you guys would like to fill up your gas tanks with water. No crash will be had here at all.

0 difference in profits here is a so called housing crash.

Besides, I have way otm leap puts on KBH and a few others. I've been gambling LEND daily. No need to care which way this thing goes but with many of these sthings with 40% short interest.....something has to eventually give...

like a 1929 style run up before the crash. This would wipe out 90% of the shorts but it seems it would have to be done prety fast.

Just guessing. Being as I make my living off of auctions, I know this Texas stuff is way off.

Sounds like a Jim Cramer to me. I would like to coin the move, "Da' Cramerizer" or something related.....Da' Cramer Maneuver....halo included with possible theme music in the background!

My sister sold her home in Austin for what she paid for it 3 years ago. No losses there either.

http://laosung.blogspot.com/