Top 10 cities: Where to buy now; #1 Panama City, FL

Panama City named on cnnfn.com as #1 place to buy real estate now

The following link is to the article. Curious as to everyone's discussion of this observation by cnnfn.

http://money.cnn.com/popups/2006/biz2/newrules_bestinvest/index.html

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

Note the last paragraph.

It is interesting to see that Florida has three cities in the top ten cities where to buy now. (Did they say now?):scratch:

Interesting Projections of a 72% price gain in Panama City...

http://money.cnn.com/popups/2006/biz2/newrules_bestinvest/index.html

Very interesting - sure hope the tatoo parlors and run down shops disappear soon...
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wow, dosen't everybody have tattoo parlors and run down areas? :cool:

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

The last paragraph (caution) says it all.

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

Also, if you look at the worst places to buy right now there are no cities in Florida listed. Six of the top ten places they state as places not to buy now are in California. I wonder why they veiw pullbacks in prices in the Florida markets noted as opportunities and pullbacks in the California markets noted as just beginningsof a longer downturn?

Does anyone have a link that refers to the new airport discussed in this article? I have never heard anything about it.

Thanks

Marty

Does anyone have a link that refers to the new airport discussed in this article? I have never heard anything about it.

Thanks

Marty

Here's one.

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

The following link is to the article. Curious as to everyone's discussion of this observation by cnnfn.

http://money.cnn.com/popups/2006/biz2/newrules_bestinvest/index.html

Let's see <drags out caculator>
Median price for home in 2006: $223,000 <tick, tick, tick>
Median price for home in 2011: $383,000 <tick, tick, tick>
Percentage Increase over 5 years: <calc> yep...roughly 72%
OR....<tick, tick, calc> a yearly increase of 14.4%!! :roll:

BUT WAIT! Let's check out that INCOME figure:

Per capita income for 2006: $31,000 <tick, tick, tick>
Per capita income for 2011: $40,200 <tick, tick, tick>
Percentage increase over 5 years <calc>...:blink: roughly 30%
OR...<tick, tick, calc> a yearly increase of 6% :idontno:

Does anyone see a problem with this?

Does anyone see a problem with folks who are making $40,200 affording to buy a home costing $383,00?

Neither did the folks that Janet sold overpriced condos to in 2005. What was her sale pitch back then??

(Janet Roan, a Century 21 agent in Panama City, notes that two-bedroom beachfront condos are going for as little as $330,000 - down by more than $100,000 from 2005.)

People who write this tripe need to go out and get a real job...or go back to school and retake Economics 101. And people who invest based on these articles need to have their checkbooks and sharp objects removed from their homes.

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

Per capita income for 2006: $31,000 <tick, tick, tick>
Per capita income for 2011: $40,200 <tick, tick, tick>
Percentage increase over 5 years <calc>...:blink: roughly 30%
OR...<tick, tick, calc> a yearly increase of 6% :idontno:

Does anyone see a problem with this?

Does anyone see a problem with folks who are making $40,200 affording to buy a home costing $383,00?

Neither did the folks that Janet sold overpriced condos to in 2005. What was her sale pitch back then??

(Janet Roan, a Century 21 agent in Panama City, notes that two-bedroom beachfront condos are going for as little as $330,000 - down by more than $100,000 from 2005.)

People who write this tripe need to go out and get a real job...or go back to school and retake Economics 101. And people who invest based on these articles need to have their checkbooks and sharp objects removed from their homes.

Shelly: Where did you get your per capita income figures from? :idontno:

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

Shelly: Where did you get your per capita income figures from? :idontno:

They're listed on a sidebar in the article.

Re: Panama City named on cnnfn.com as #1 place to buy real estate now

Let's see <drags out caculator>
Median price for home in 2006: $223,000 <tick, tick, tick>
Median price for home in 2011: $383,000 <tick, tick, tick>
Percentage Increase over 5 years: <calc> yep...roughly 72%
OR....<tick, tick, calc> a yearly increase of 14.4%!! :roll:

BUT WAIT! Let's check out that INCOME figure:

Per capita income for 2006: $31,000 <tick, tick, tick>
Per capita income for 2011: $40,200 <tick, tick, tick>
Percentage increase over 5 years <calc>...:blink: roughly 30%
OR...<tick, tick, calc> a yearly increase of 6% :idontno:

Does anyone see a problem with this?

Other than the notable problem with locals being priced out (ie- no Average Joes to pour your coffee and cook your burgers), given this scenerio, I see another potential problem with your math. In this scenerio, you are assuming that the purchase for a home is all cash, which is far from the truth regarding housing.

Using the estimated median prices for homes, assuming a 30 yr mortgage with 6% interes and a down payment of 20%, the return on investment after paying principle and interest, comes to ~209% over the five year period, which averages out to be ~42% per year. ;-) Of course, I included the principle and interest for the conservatives out there, but in my scenerio, your only housing costs would be taxes and insurance (which may be another thread altogether). If we didn't include the P&I, the return on investment (down payment) would total 348% over the five years, or ~70% per year. ;-)

Thanks for the link Shelly.

As a "commuting" property owner at Miramar Beach (Saint Louis to here), this new airport is extremely good news for me. Although I have never flown down, primarily due to the fact that I generally haul a lot of tools, material, etc. down to work on the house, it is nice to have another flying option. More importantly, I definitely see this added acessability to be a positive for the market.

So many parts of the country have limited airline options for our area. My oldest son lives in LA and flies into VPS for his beach vacation at our house. His air travel is like 12+ hours with the connections. Perhaps with the new airport a direct flight or fewer connections may become a reality. I know he talks to quite a few people who have interest in visiting, but are turned off by the hassle to get here. These same vistiors are potential property buyers and with the prices out in CA. they will not have sticker shock here.

IMO

Marty

SHELLY, did you check out the figures for San Luis Obispo? By the way, did you find anything positive about the article concerning the Panama City area? :idontno:

"Does anyone see a problem with this?"

Yes. Your act is old and tired. You remind me of my aunt who upon being asked, "how's it goin", offered a 10 minute response detailing her various medical ailments. I stopped asking. The article is positive - get over yourself and let people enjoy it.

:welcome: full time. Glad to have you on board!

"Does anyone see a problem with this?"

Yes. Your act is old and tired. You remind me of my aunt who upon being asked, "how's it goin", offered a 10 minute response detailing her various medical ailments. I stopped asking. The article is positive - get over yourself and let people enjoy it.

While it is great to see the predicted growth in value, I agree fully with Shelly's point about the working class not being able to afford housing. HellO, we are already experiencing that here in SoWal. It is a problem that is a hot topic all across Florida, and it is a serious problem.

http://www.sun-herald.com/newsarchive2/102206/tp1ch6.htm?date=102206&story=tp1ch6.htm

http://www.palmbeachpost.com/business/content/business/epaper/2006/10/21/a8b_housing_1021.html

http://www.miami.com/mld/miamiherald/news/local/15839143.htm

http://www.bradenton.com/mld/bradenton/news/local/15840972.htm

http://www.palmbeachdailynews.com/news/content/news/Breakersmeet1022.html

etc. (there are over 100 recent news stories about the lack of affordable housing in different parts of Florida.) The math is very basic and is simply that the amount of housing which one can afford is about 3 times the household income. "It ain't rocket science."

You remind me of my aunt who upon being asked, "how's it goin", offered a 10 minute response detailing her various medical ailments. I stopped asking.

But even though you "stopped asking" it didn't change the fact that your poor old aunt still suffered mightily from measles and mumps, a gash, a rash and purple bumps. 😀

(PS: Walton Native DID ask for discussion of observations :cool: )

Oh...almost forgot....:welcome: Full Time

By the way, did you find anything positive about the article concerning the Panama City area? :idontno:

I didn't see any typos.