Date Archives February 2008

Housing prices likely to stay stagnant?

I’ve been trying to make time to post this for some time, but, lacking said time am going to post it anyway.This story in the NYTimes states that, in the words of an off-blog tipster:(Housing) Prices go up and down, but over long periods they stay essentially the same, adjusted for inflation.  Which, frankly, makes sense to me — there is nothing particularly about a house that suggests its value should grow over the long term. It’s just building materials, and if the supply of same is sufficiently elastic, then the asset should pretty much keep up with inflation and nothing more.As a commenter says here,Buildings do not appreciate, unless they are made primarily of some material that is both prized and no longer available for some reason….  They can never be worth more than the cost to recreate them today, less depreciation.Further evidence that focusing on the intrinsic value of residential real estate?  Proof that there is more to buying and selling houses than meets the eye?The study is here (pdf).A longer article about the long term housing market referencing Piet Eicholtz is here.As an aside, I’d like to get paid to study the papers here.

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Hopefully, they’ll study the consultant’s recommendation

Please excuse my cynicism.This is a potentially very encouraging step forward – from the Daily Progress:More than a year after discussions began on creating a jointly run bus system, Albemarle County and Charlottesville elected officials unanimously agreed Monday to form a regional transit authority.Next year the two localities will ask the General Asse-mbly for permission to establish the new transit body, which would have the power to levy fees and float bonds to pay for the expansion of the bus network.Officials in both localities have concluded that forming a transit board with the ability to raise its own revenue is critical to attracting thousands of new riders and to realizing their ambitious visions: high-frequency buses running on an L-shaped backbone from downtown Charlottesville to the University of Virginia and up U.S. 29 to the airport, with smaller buses servicing neighborhoods.Charlottesville Tomorrow has more:Next the consultants will finalize their report and recommendations.  Additional public meetings on the plans for creating a Regional Transit Authority will be held in 2008.Four thoughts – 1 – Right now I’m still like this system, which combines bigger buses, smaller buses and bikes.  2 – Realistically, my prediction is that nothing is implemented for at least four years – (hopefully) get General Assembly approval in 2009, study and tweak for at least two more years.3 – Will people buy houses or develop commercial based on either the hope that one day transit will come, or will they wait until it’s implemented – and will they even do it then?4 – This is a good start – now we need to start talking about working with the University of Virginia and the surrounding counties.  I’d love to see more recent commuting data than the 2000 Census.

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If NAR spends so much money on PR

Why don’t more people know how to spell “Realtor”?It’s great that people make their way to my blog when searching for Charlottesville Realtors -But – for those who arrive (thank you for reading) searching for “realator” or “realitor” – it’s “Realtor.”Re·al·tor (rÄ“’É™l-tÉ™r, -tôr’) A service mark used for a real-estate agent affiliated with the National Association of Realtors.  This service mark often occurs in print in lowercase and in the plural as well: “The economic aftershocks are already rippling through the area’s non-defense businesses, from realtors to pizzerias” (New York Times).  Source.I’ve always thought it was two syllables.  Who knew it was three?

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Virginia Realtors’ conference this week

The Virginia Association of Realtors’ Legislative Conference is this week – from Tuesday to Friday – and it’s as exciting as it sounds.  Really.The chance to talk politics, real estate, learn about other markets and meet and network with other Realtors is something I am actually looking forward to.  The conference is in Downtown Richmond and should be exhausting, educational and a bit of fun – if you’re into that sort of thing.

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