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Posted: 10 17 2009 Post subject: meryl streep biography |
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Housing HAD to crash in some areas - I was living in St. George Utah 3 years ago and with a median family income of some $40,000, the median house price was over $400,000. In other words, the median family wasn't anywhere near close to affording the median house - the people who could afford the median homes were move-ins. Retirees. The cheapest non-mobile homes on the market were over $120,000 - for an 800 sq foot townhouse with HOA. Want your own lot and your own walls? $200,000. Even worse most of the good paying local jobs were in construction - which means the economy was growth-based. As soon as it stops growing disproportionately to other communities, construction stops, jobs are lost, and people are really *****.When I was there I could see it wasn't sustainable. It was OBVIOUS. You cannot sustain an economy that's based on 10% year on year growth. You can love it while it's booming but no town anywhere will keep up that growth consistently. No surprise they are well above the national foreclosure rate now.http://www.mainstreetbusinessjournal.com/articlevi ...Actually that's making me think, housing there for a few years was almost like an MLM scheme. The prices and the profits depended on continuous growth in the market of buyers, and that CANNOT continue indefinitely. You will run out of buyers eventually. |
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