A dubious argument

Hmmm ….

Some developers argue that cash proffers are to blame for the current slump in the housing market because the cost is passed on to buyers in the purchase price.

They may be part of the equation making housing more expensive, but to say that “proffers are to blame” reeks of disingenuous lobbying.

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3 Comments

  1. Scott December 31, 2007 at 11:08

    That is a pretty interesting argument. However, I believe some builders have reduced their prices by amounts greater than said proffer — and they still haven’t sold.

    Additionally, most re-sale houses don’t have the cost of proffers built in, and they are selling at a similarly slow rate, at least in the markets I am familiar with.

  2. Matthew Rathbun December 31, 2007 at 16:18

    I am more worried about the states attempts at once again raising the Grantor’s tax to $3 per $1000, instead of the $1 for $1000. Homeowners are evidentally easy targets…

  3. Waldo Jaquith January 1, 2008 at 14:33

    That story was hilariously awesome. I read it out loud to my wife yesterday. The whole thing reads like these totally great developers are stepping up to the plate and saying “hey, we know y’all are hurting — how can we help?” It’s so sweet of them!