Thursday Links

Yeah I was about to ask the same thing.

A 25-footer in cobble hill for 1million?

although you could just re-write the same article today and increase all the prices in it 3-4x and nobody would spot it was old. :(

who said inflation is dead.

Posted by: Anonymous at April 27, 2006 9:02 AM

I think articles about the tax burden:

"New York State residents are paying the highest property taxes in the country, increasing at triple the rate of inflation over the last five years, according to a report released on Wednesday by the state comptroller. Suburban homeowners, the report said, bear the biggest burden."

are a pointer to excessively inflated prices for property, as the tax burden is calculated as a percentage of something like the "market value" of the house - albeit increasing much more slowly than that assessed value.

So this indicates that most people could not afford to re-buy their own homes at their current market prices, as they are finding it difficult to even pay the legitimate tax that accrues on the inflated value. Property tax is not supposed to be so large that it is painful.

What is next: cost of insurance, cost of repairs, cost of maintenance.

Something has to give. Either prices go back to something reasonable, or 90% of people move to the midwest and leave their houses for the supposedly many super rich floating around new york who don't notice property tax, or million dollar mortgages.

Posted by: Anonymous at April 27, 2006 9:07 AM

Wow a boerum hill four family for 430,000

Posted by: Anonymous at April 27, 2006 9:25 AM