Housing Horror

Television holds few shows that I will watch religiously but one of my top favorites is Bill Maher on HBO. He manages to get an eclectic mix of people on his panels and has various guests on representing both conservative and liberal views, though the show is primarily liberal. My primary reason for watching is that I am able to get tidbits of news that seems to be overlooked by mainstream media.

Tonight's panel included Rep. Maxine Waters (D-CA) who is serving her 10th term in office. Among the interesting insights into the current state of the economy and the bailouts, Waters commented that "Americans have no idea how bad things really are." If that wasn't depressing enough, Maher pointed out that the housing market in Detroit is the worst in the nation. The motor city represents more than just a segment of the U.S. population - it stands for American ingenuity, pride, commerce, and manufacturing. According to Maher, the average home in Motown is going for $16,000 and the city is a "Ghost Town."

I was in such disbelief, assumed he was exaggerating, and I did some research of my own. A year ago, eFinance was already talking about the "Housing Market Nighmare" in Detroit. In June '08 the average Detroit home was going for $20,000 and by December, the average was down to $18,500. Now, according to the Chicago Tribune, the average rate is $7,500 - much lower than Maher's dismal report.

In August, a woman bought a Detroit home as an investment property and paid only $1.00 . That's ONE dollar! I suppose, if she had held out a bit longer, she could have gotten it for half that price!

The only thing I find spookier than a ghost town is the frightening state of the economy. The economy is baaaaad but we can't go getting our woolen undies in a twist. We can't panic, we can't quit spending and we certainly can't run from the problem. Instead, we need to be educated about trends, be aware of the issues and make sensible decisions for a stronger future.

Comments

  1. JanetFebruary 21, 2009 at 10:52 AM

    That is shocking. And saddening. But my husband and I are buying our first house this summer so I am one of the few that look to benefit from this state.

    Sort of related statistic I read the other day:

    Number of homeless in America: 650,000. Number of vacant housing units: 16,500,000

    ReplyDelete
  2. Inspector ClouseauFebruary 21, 2009 at 11:11 AM

    Iris, several things:

    Most of my clients in the late 1980s and all of the 1990s were in Detroit and Chicago, and thus I visited Detroit at least twice a year. Additionally, I attended the University of Michigan and thus have lots of contacts back there.

    Detroit was a ghost town back then. Most depressing major American city I ever visited. It was sad. Some friends of mine worked on the "paperwork" associated with bringing gambling into Detroit, and that's a story for another day.

    Same with Cincinnati, Cleveland, Racine, Milwaukee, St. Louis, etc. Only Chicago still has some vibrancy. This economy decline, at least for a certain segment of the population, has been going on for at least 30 years in my opinion. It is just manifesting itself differently.

    As for our cessation in spending, you are right on. My current post is about shifting into almost total inaction when part of your previous action may have been misguided or faulty.

    ReplyDelete

Post a Comment

Popular posts from this blog

Prop8 or Prop-hate?

On January 1, 1994 I had been married 11 years and had two small children. My husband and I sat down to talk about the problems we were having. It was a new year and I was creating an opportunity to start fresh. Our arguments and his general mood had progressively worsened. He wasn’t happy and neither was I. The discussion was sane and amicable but the lines were drawn. We both needed to commit 100 percent to mending the relationship or there was no need in going further. He agreed but wanted time to think. As we both took in a deep breath, I felt like I had literally been hit with a lightening bolt. I don’t know where the question came from or why I asked at that moment. I certainly wasn’t prepared for the answer. “You’re gay, aren’t you?” He paused and responded, “Yes.” Tears welled up in his eyes. I crossed the room to where he was sitting and knelt down, hugging him, reassuring him. “It’s okay,” I said. “At least now I know what is wrong and why you’ve been so miserable.” He hadn’t...
Read more

Twitter Litter

Twitter Litter noun 1. Scattered rubbish posted by tweeters on Twitter 2. A condition of disorder on Twitter caused by useless tweets 3. Propaganda spread on Twitter by egocentric tweeters I follow a variety of people on Twitter. Some folks follow me in return, some don't. Some have thousands of followers, some have only a few. Some tweet often, others go days without tweets. I often find great links to much needed information or enjoy a friendly "hello" from someone I've met online. As I perused tweets one evening, I came across a comment by someone ranking high in their number of followers. It seems they had gotten some unkind remarks from another tweeter and were goading more reaction. I followed links to responses and figured out the tiff between egos. Admittedly, I got voyeuristic pleasure from watching the public lobs yet I also realized I was following someone merely because they are a noted guru of social media. This person has not provided any useful informat...
Read more

Scrooged by library rules

Image
We've all had experiences where a simple transaction is blocked because of a rule. Thanks to some idiot that abused a privledge, the rule was established and we now have to jump through hoops. I understand why rules are set and generally try to conform rather than ask for an exception. Once in a blue moon, exceptions can be justified and should be made. Karen "DeafMom" Putz had just such a circumstance in her local Illinois public library. Her daughter, also deaf, was to attend a production of "The Christmas Carol" with her class. A series of events left her without an interpreter and a suitable option was to obtain the captioned video. The Putz ladies headed for the nearest library, though not the one that receives the family's tax dollars. A reciprocal agreement allows for the loan of non-fiction videos. Fictional videos require a $100 annual fee plus $1 per loan. Karen explained the entire situation and the librarian confirmed the captioned video was not...
Read more