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Ugh, these posts go viral everywhere. Land has value, people. In fact, it’s usually the majority of your home value. If you don’t understand this and are outr
by cylinder 8y ago
Ugh, these posts go viral everywhere.
Land has value, people. In fact, it’s usually the majority of your home value.
If you don’t understand this and are outraged by people paying money for land, you probably have no business purchasing real estate.
- poulsbohemian 8y agoI understand your statement. That doesn't change the reality that most people, even well-compensated white-collar software developer types, cannot afford to spend a million dollars on housing, especially if all that is actually buying is a piece of land with an uninhabitable shack. There is a real, potentially destabilizing housing situation happening up and down the west coast right now.
- chrischen 8y agoWell that land is expensive to prevent some guy from simply building a shack for himself. The more expensive the land, the more likely you’ll build a whole stack of shacks.
- glup 8y agoDeflationary headline: "land with decrepit house sells for market rate near Silicon Valley"
- jackconnor 8y ago"Land sells for normal price in expensive neighborhood" is not nearly as excitable a headline, true.
- mrkurt 8y agoIt's also not as meaningful. "Home values so high this tiny lot sold for $983,000" would also be accurate. It's weird to assume people are dumb and can't interpret headlines.
- jackconnor 8y agoYou misinterpreted it, otherwise you wouldn't call the lot small. It's a normal lot in an expensive place. If this were in Manhattan or Dubai this would not be news. The headline was intentionally misleading and you 100% fell for it (but I won't call you dumb, that doesn't seem very nice).
- mrkurt 8y agoThat's a little pedantic. It's a tiny lot for a single family home.
- xxpor 8y agoIn a normal market a developer would buy that land and stick 4+ townhouses on it. But zoning I'm sure prevents that.
- r00fus 8y agoI looked up the MLSListings entry and it says zone "R1-8" - that's a new one, usually I see R1 and R2 or R-M which respectively mean only 1 unit, 2 units or multiple units allowed. Not sure if this is an MLS-ism or R1-8 is actually a synonym for R1 or R-M. Also this lot is in the Willow Glen area which is quite desirable (close enough to city center but still residential-ish neighborhoods).
- mrkurt 8y agoRight that's because the value of that land is insane, and getting worse, and out of reach for nearly everyone. No one's outraged someone bought it. No one's saying "hey that's an awful investment". People are outraged that the housing market in the area is broken, though.