I saw a show on HGTV and there was this couple who was looking for a house on some place near new york, they looked at some small houses but these were about $300,000 dollars, in Texas you could get a much better and huge one for $150,000, why are they so expensive?
2007-08-06 10:59:37 · 19 answers · asked by chikis*trikis 5 in Business & Finance ➔ Renting & Real Estate
supply and demand.
2007-08-06 11:01:29 · answer #1 · answered by nathan t 1 · 2⤊ 1⤋
It comes down to supply and demand. In places like New York, there are a huge number of people and not a lot of land so housing becomes kind of scarce pushing the prices of housing up and up. Some people are willing to pay a premium to live in NY because of work and the amenities of the city. Their jobs may pay a lot more than what they could make if they lived elsewhere. I think the quality of life is decreased living in places like this but it comes down to what people want. Some people think they have a better quality of life because of the opportunities that exist. NYC is exciting.
2007-08-14 14:50:25 · answer #2 · answered by Unsub29 7 · 0⤊ 0⤋
So many people prefer to live in Big cities due to its commercial Importance. When the demand is high and the supply is low is one factor. Another things are Business opportunites, employment opportunities, climate other facilities of quality like education, hospital etc.
It is written in history that people preferred to live on river banks because their livelihood was on agriculture. river banks water and fertile land was available.
In modern Nations most profitable institutions are based on trade which depended largely on Sea ports/ Air ports Commercial institutions etc.
When some business is concentrated in one city some other depended business will also grow. This increases the demand to have commercial/residential areas there.
New York is the commercial Capital of U.S.A . It is evident that world's commercial Giants will catch the maximum space there.
2007-08-13 06:55:14 · answer #3 · answered by Mr.Dreamer 2 · 0⤊ 0⤋
It is completely due to the housing market. If an area is more popular than another area, housing in that area is going to be more expensive.
I know here in Upstate NY, I could buy a rather large and very nice home for $150,000. Closer to NYC you are looking towards $200-300k for a smaller home.
Suburbs of large cities also tend to be extremely expensive. Alexandria, VA (a suburb of DC), and in the Hollywood Hills are going to be looking at $600k for a small family home. It just depends on the area, population, and job market.
2007-08-06 18:04:43 · answer #4 · answered by Sarah C 3 · 1⤊ 1⤋
The answer is the old real estate adage. The three most important factors concerning price/value. LOCATION, LOCATION, AND LOCATION !
Texas is huge and has a lot of available land on which to plunk a bunch of new houses. If you want to be reasonably close to NYC, land is as scarce as hen's teeth. Hence, the huge uptick in pricing.
2007-08-06 18:04:35 · answer #5 · answered by acermill 7 · 3⤊ 0⤋
Cost of housing is relative to the cost of Food, Electric, Tax, Insurance, etc etc, and what people make in a certain area. I live on Cape Cod in a house that sells for $500K$, I can duplicate this house in Arkansas for $150K............but Arkansas isn't Cape Cod on the water across from MV is it?
2007-08-13 16:05:30 · answer #6 · answered by Anonymous · 0⤊ 0⤋
I live in an area where you can't touch a house for below $300,000.00 and those are dumps. I bought 35 years ago, paid 30,000.00 added on once (2 bedrooms 1 bath) and my tax statement for this year placed the value at 850.000.00
It's crazy, how do they expect people to live.
2007-08-06 18:07:10 · answer #7 · answered by Anonymous · 1⤊ 1⤋
Location, location, location -- the land a house is sitting on near NYC is worth more than most houses... it's more a difference in property value than home value
2007-08-06 18:04:04 · answer #8 · answered by Ozymandius 3 · 3⤊ 0⤋
Two words: Lifestyle, and Quality of life.
I guess more like 5 words but you get the hint right?
www.greatwestcapital.com
2007-08-06 18:48:47 · answer #9 · answered by Anonymous · 0⤊ 0⤋
you can tell that newyork is one of the popular states in u.s; alot of people are moving up there so they gonna make the houses more expensive. i lived in newyork all my life but i had to move because of that i moved to miami . i know alot of people in newyork are moving to alanta or miami so in a couple of years the same thing is going to happen over here
2007-08-06 18:04:24 · answer #10 · answered by Anonymous · 0⤊ 1⤋
at some states, things cost less. it is because how much people demand something.
in texas (i live here) there are places where houses cost less.
my house costed 150k and is average sized
2007-08-06 18:03:15 · answer #11 · answered by aznhobo4 2 · 0⤊ 1⤋