Samstag, 13. Juni 2009

US Real Estate

(Asking price for this house: 950 US$!)

According to Mish, the median selling price for homes in the city of Detroit (population 1 million) is now down to a mere 6,000 US$. For the metro area (which includes all the upper-middle-class suburbs and has 4.5 million people), it has dropped to 50,000 US$.


  1. Sure. Who wants to live in Detroit?

  2. I think you get the point.No one.

    Or from the other side, who want to hire new workers anywhere?

  3. I wonder what such an average "6,000 $ house" looks like. In Munich, the same amount of money buys you 1 square metre of apartment space in a reasonable location...

  4. @Thomas

    well half of the houses were actually cheaper than 6,000$. I wonder how such a 3,000$ house looks like... Any how, looks like a good investment to build some new industry there. You can pay really low salaries because your workers basically don't have to pay anything for rent. You could actually present a house to all of them as a Christmas bonus.

    Btw.: The median used to be 7,500$ back in March(!). Quite a steep fall considering i low level. I guess the GM default didn't help...

  5. Took a look at some Detroit real estate listings. Most houses seem to be in the 50,000-100,000 US$ range, but you can also find luxurious penthouses for 500,000+.

    Here's the result of a search for houses in the 1,000 - 10,000 US$ price range:

    Most of the houses seem pretty smallish, but really don't look bad for that sort of price...

  6. Hold on. Did I just write "smallish"? Actually, this 8,000 US$ house has a living space of 1,700 sq.f.(i.e. 170 sq.m.) plus a double garage:

    Probably a really bad neighborhood, but still a truly amazing price...

  7. Unbelievable: This one has an asking price of 950 US$! (150 sq.m. plus a double garage)

  8. And finally, this one can be had for... 10 $:

    The funny bit: It says that buyers need to be "qualified with lender known to agent".

    I suppose it's hard to come up with 10 $ cash in hand... (though it does say you need to deposit 2,000 $ to cover the closing costs, so the actual price is not 10 $, but 2,010 $)

  9. Probably very similar in Magdeburg and Chemnitz.

  10. Believe me: There are lots of neighborhoods in Detroit where you don't want to live. Not even if they pay you for it.