Free State Project Forum

Please login or register.

Login with username, password and session length
Pages: [1]   Go Down

Author Topic: Housing Prices Compared  (Read 5240 times)

Karl

  • Guest
Housing Prices Compared
« on: April 15, 2003, 11:28:05 am »

Housing Price Index, Q4 2002

Alaska172.09
Wyoming178.60
North Dakota184.24
Idaho223.00
South Dakota226.34
Montana237.48
Vermont303.18
Delaware329.46
Maine350.04
New Hampshire364.51

Source:
OFFICE OF FEDERAL HOUSING ENTERPRISE OVERSIGHT (OFHEO) (Yikes!)
http://www.ofheo.gov/house/hpi_hist_frame.html

After browsing what's available according to realtor.com, I must admit Wyoming has a compelling advantage of cheap land and housing over the eastern states that partially makes up for its poorer job outlook.  I could buy a 2 BR house (with a concrete slab foundation!) in Casper on a 1/2 acre lot for less than I pay on my phone bill.  Of course, deals can be had in any of the candidate states, but nothing close the scale of that available in Wyoming and other western states.  Starting a small home-based or internet-based business, that would otherwise be impossible to afford in a major metro area, becomes a viable option.

Logged

Zxcv

  • ****
  • Offline Offline
  • Posts: 1229
Re:Housing Prices Compared
« Reply #1 on: April 15, 2003, 07:09:42 pm »

I've added this to the big spreadsheet.
Logged

freedomroad

  • Guest
Re:Housing Prices Compared
« Reply #2 on: April 15, 2003, 09:16:58 pm »

Housing Price Index, Q4 2002

Alaska172.09
Wyoming178.60
North Dakota184.24
Idaho223.00
South Dakota226.34
Montana237.48
Vermont303.18
Delaware329.46
Maine350.04
New Hampshire364.51

Montana and Maine are RED FLAGS.  

Montana has the lowest mean income yet it quite a bit higher than Alaska and Wyoming.  This is true even though Alaska has a high mean income and Wyoming has an average mean income.  That might indicate that the average FSP member will have to live a more frugal life in Montana than most of the other states.

Maine has the second highest housing costs even though the growth rate is very slow and mean income is just average.  This means that NH and DE, are likely almost all of the other states are more afordable than Maine.  I do not know if this is because of the tight regulation in Maine or because many rich New Englanders and New Yorkers owner cabins in Maine.  Either way, it is not a good thing for Maine.
Logged

George Reich

  • FSP Participant
  • Global Moderator
  • *****
  • Offline Offline
  • Posts: 546
  • I just *love* it when Hank and Dagny brainstorm!
Re:Housing Prices Compared
« Reply #3 on: April 16, 2003, 08:44:44 am »

Montana and Maine are RED FLAGS.
Interesting that these two should stand out; the income tax rates are horrendous in both of these states.
Logged
If everyone were rich there would be no need for government assistance. If everyone were rich all children could attend private schools. If everyone were rich, government would become superfluous. Read the free e-book at this site:

http://www.scienceofgettingrich.net

freedomroad

  • Guest
Re:Housing Prices Compared
« Reply #4 on: April 16, 2003, 11:07:06 am »

Montana and Maine are RED FLAGS.
Interesting that these two should stand out; the income tax rates are horrendous in both of these states.

That is interesting.  WY, SD, and AK have the lowest income taxes of our 10 states and they have 3 of the 5 lowest housing costs.
Logged

Karl

  • Guest
Re:Housing Prices Compared
« Reply #5 on: April 16, 2003, 12:11:54 pm »

That is interesting.  WY, SD, and AK have the lowest income taxes of our 10 states and they have 3 of the 5 lowest

housing costs.

Its not clear to me how income taxes affect the HPI.  The most important factor is certainly supply and demand: WY, SD, and AK are all states with very low populations and very large amounts of land.  That Vermont and Maine are among the priciest home markets is no surprise; the costs of their statist policies are invariably passed to the consumer.

Some caveats:  The HPI does not factor in property taxes.  Also, it measures only single-family detached houses; it does not count townhouses, condos, or rental anything.

Here's the methodology.  The HPI seems based primarily on mortgage records:
http://www.ofheo.gov/house/hpi_tech.pdf

For the sake of curiosity, here's the ranking adjusted for income (as defined by the spreadsheet):

State---------HPI--------Income-----HPI/Income-----
Alaska172.09    51.6  3.34
Wyoming178.60    37.9  4.71
North Dakota184.24    34.6  5.32
Idaho223.00  37.6  5.93
South Dakota226.34    35.3  6.41
Delaware329.46    47.4  6.95
Montana237.48    33.0  7.19
New Hampshire364.51    49.5  7.36
Vermont303.18    40.9  7.41
Maine350.04    37.2  9.41
Logged
Pages: [1]   Go Up
 

anything