Why can't houses be cheaper?

Welp tomorrow morning I am taking the big gamble.. putting down cash on a new construction home $430K a hideously over priced house to be built in Southern Maryland (delivery date in June).. (in the midwest it would cost $150k on a half acre).. If I don't sell my House in the midwest ($185k sale price for anyone interested in a home in Omaha).. I will basically be screwed. I will have to walk 16 miles a day uphill in the snow to work every day for lack of gas money..

But really, we are excited, building a home to our specs is really cool. The wife gets the colors she wants, (the incentives are granite counters and ceramic tile), and I get my "Man space" to brew my beer with built in deep sink and brew gear cleaning area. I selected the house model and customized it for brewing.. wifey got her crap..I got mine... I will now have a dedicated brewing area and a "lagering closet" I'm having built into the basement

Amazing how real estate prices are so high on the coasts. My sister lives near San Francisco, and the house that she paid almost a million for is smaller, though newer, than mine. She has a cracker-box cookie cutter lot, and I'm on an acre. My house was $150K. Even around here, though, home prices are on the rise,too, but not nearly as bad as the coastal areas.

EDIT: BTW congrats on your new digs! May your brews always come out the way you want!

budbo said:

But really, we are excited, building a home to our specs is really cool.

Click to expand...

ok wait a minute . . . I didnt notice this on the other board and probably wouldnt have mentioned it there if I did . . .
Your specs . . . they include a brewery?

Pumbaa said:

ok wait a minute . . . I didnt notice this on the other board and probably wouldnt have mentioned it there if I did . . .
Your specs . . . they include a brewery?

Click to expand...

Ohter board? what other board???

Man, that question is right up there with "Tell me everything you know about women"...

As for the real estate question...the simple answer is GREED!!

Budbo,

I feel for you,

But let me tell you, the price of your house would be double if you lived anywhere near the beltway. Most homes in my neighborhood are between 600 000 to 800 000 dollars. We're talking about average middle class homes here. Insane!

Don't lump the whole Midwest together - the Chicagoland real estate market is way up there too. It makes me sick to see what I can buy in other areas for what I've got in my house.

Could be worse, but with more and more people leaving the country-side and heading for the city. Even out here, 6 miles north of the middle of nowhere, my accessed value went up $50K last year. Not something complicated like 31.93%, just $50 grand tacked on to the tax value. I have no idea if that is meaningful. I do know there are properties around here that have been on the market for 2-3 years.

In central Indiana, you can EASILY buy a new to 5 yr old home, 4 beds, 2+ baths and 2300+ sq feet for 150K... THere isnt much to see here, but since I fly 4 days a week, I see all I need to see. It is nice not to have bills when I come home! I could neer fork over that much dough on a house....ugh.

Brewpilot

Around here is pretty much average, not cheap but not expensive. Prices are definitely rising but not like the last decade or two in the super hot markets.

Bernie Brewer said:

Ohter board? what other board???

Click to expand...

I first met Budbo in EQ, we both frequent another board from those days

Supply and Demand.

More demand on the coasts + limited supply + high prices.

Trust me, it's not utopia here in the Milwaukee area. Prices seem low compared to on the coasts, but taxes are hell.

A guy I know who sells new construction houses in the Raleigh NC area says prices there are downright cheap compared to here. Of course you don't get a basement with your house there, but most have large "bonus" rooms which sort of make up for the space you don't get there.

p.s. Pumbaa, are you going to drink some of your beer so that you can brew again? I don't know if it's healthy to keep your brewery closed.

my farmhouse built in 1850 in s.e. vermont cost $102,000 a year ago! it's got a garage big enough for my car, with plenty of room left over for brewing and all of my other crap too. the mortgage is around $700 a month including taxes and insurance, cheaper than rent for a smaller house!

barrett

I paid 130k for my 2200 sq foot house on .5 acres in a really nice established neighborhood here in Central Texas. Good solid built house from the late 60's, 2 car garage plus carport, 4 bed, 2 bath, Greenhouse, a nice view of the city.

My wife watches that show "What you get for the money" and I'm shocked at how much people pay and what little they get.