KCRag Forum

phuqueue wrote: ↑Fri Dec 04, 2020 2:36 pm

flyingember wrote: ↑Thu Dec 03, 2020 4:57 pm

phuqueue wrote: ↑Thu Dec 03, 2020 12:11 pm That's exactly what these shows are. Everyone is out to make a buck, and if our economy offered any opportunity to turn a profit with affordable housing, we wouldn't be talking about "affordable housing" in the first place. It shouldn't take house flippers and real estate agents luring upwardly mobile, mostly white yuppies into a community to "bring resources" to it, and let's not pretend that the "resources" following these newcomers are meant for anyone except them.

Except your view is completely backwards on the market.

If we want to drive prices down we need to provide an excess of high end housing across the region. To give buyers and renters the ability to bid down prices and demand lower rent at the high end so it pushes down prices on every unit of housing all the way down through middle class homes and onto true affordable housing

There is a 0% chance that affordable housing can be provided by anything other than a massive amount of market rate development.' The money in affordable housing is in pushing the idea there should only be affordable housing built so that property owners can raise their leasing rates when they only compete with higher priced units of the same. The less competition above them the better off these owners are.

Yes, people doing development want money. This is kind of the point. Let them make their money off the well off and don't try and pretend a business should be a charity.

Anyone with a dollar to spend on the east side should be welcomed. Gentrification is a bad thing for some, but it's hugely beneficial for all if we stop thinking about affordability in each project and start thinking about the bigger market.

When the market is healthy, someone will come in and find a place in it they can compete in without 30 years of incentives

While that sounds like great microeconomics theory, it's not what we actually see happening in cities with extreme affordability crises, but we don't really need to derail the KC in TV and Movies thread by going further down that road right now. Suffice to say, with this response you have strayed pretty far from your original assertion that the flippers' and real estate agents' "goal is to bring resources into a community to create affordable housing for others." We seem to agree that their goal is, actually, just to make money.

phuqueue wrote: ↑Fri Dec 04, 2020 2:36 pm We seem to agree that their goal is, actually, just to make money.

langosta wrote: ↑Fri Dec 04, 2020 2:53 pm

phuqueue wrote: ↑Fri Dec 04, 2020 2:36 pm

flyingember wrote: ↑Thu Dec 03, 2020 4:57 pm

Except your view is completely backwards on the market.

If we want to drive prices down we need to provide an excess of high end housing across the region. To give buyers and renters the ability to bid down prices and demand lower rent at the high end so it pushes down prices on every unit of housing all the way down through middle class homes and onto true affordable housing

There is a 0% chance that affordable housing can be provided by anything other than a massive amount of market rate development.' The money in affordable housing is in pushing the idea there should only be affordable housing built so that property owners can raise their leasing rates when they only compete with higher priced units of the same. The less competition above them the better off these owners are.

Yes, people doing development want money. This is kind of the point. Let them make their money off the well off and don't try and pretend a business should be a charity.

Anyone with a dollar to spend on the east side should be welcomed. Gentrification is a bad thing for some, but it's hugely beneficial for all if we stop thinking about affordability in each project and start thinking about the bigger market.

When the market is healthy, someone will come in and find a place in it they can compete in without 30 years of incentives

While that sounds like great microeconomics theory, it's not what we actually see happening in cities with extreme affordability crises, but we don't really need to derail the KC in TV and Movies thread by going further down that road right now. Suffice to say, with this response you have strayed pretty far from your original assertion that the flippers' and real estate agents' "goal is to bring resources into a community to create affordable housing for others." We seem to agree that their goal is, actually, just to make money.

Isn't it well established that those areas don't allow you to build anything?

aknowledgeableperson wrote: ↑Sat Dec 05, 2020 2:56 am

phuqueue wrote: ↑Fri Dec 04, 2020 2:36 pm We seem to agree that their goal is, actually, just to make money.

As a former flipper that is the honest to God truth. One of the problems faced is how much money a flipper can make given the price of the house to buy and the comps in the neighborhood. Of course my flipping was before the collapse of the real estate market over ten years ago but after the collapse there wasn't enough of a profit margin to make a profit in what one may call the starter home market. Before the collapse my partner and I were willing to make just $10,000 profit on a flip since we weren't in it to make a living. Just to supplement retirement income.
The professional flippers who you see on TV (such as We Buy Ugly Houses) are really looking for people who need to get rid of an ugly home quickly. When my wife and I looking to sell the house that we lived in before moving to our current home, we had rented it out for several years to a couple with young kids and big dogs, we checked into a couple of those professional flippers just to see what they would offer - we wanted to sell quickly before winter came so we didn't want to fix it up. Their offers were about $40,000 below what we sold the house for as-is after 5 days on the market.
I really question some of the numbers these flippers on reality TV shows say what their costs are, especially Bargain Mansions. Maybe the contractor is doing the project at cost and getting a cut of the profits on the sale.

shinatoo wrote: ↑Mon Nov 30, 2020 3:22 pm Fargo season 4 really caught the look and feel of KC, even though all the exteriors were obviously not KC to anyone that knows KC. However, in the last episode they did throw in a couple of KC shots. Western Auto Lofts and Cold Storage Lofts. Nice of them to link in a little bit of the city...along with that awesome 1950's skyline.

smh wrote: ↑Wed Apr 07, 2021 8:00 am World Cup. Cool. That will be a lot of fun! We can show the world our 4 ft sidewalks and ample driving lanes! jkjk. Great news.

normalthings wrote: ↑Tue Apr 06, 2021 6:18 pm Exciting sports related development that will showcase downtown KC across the world. More info in coming months.