California -- America's first failed state?

Progressive property taxes make no sense. Of course, the whole property tax system makes no sense.

A city should spend and collect revenue based on what it NEEDS to function.

Its needs do not in any way coincide with changing the market value of its homes.

 

I don't think any state will ever truly "fail"

If one does, my money is on Michigan.

 

That's funny because on Today Show today, Michigan had 3 of the top 10 cities in the nation to buy a good home at a low price.

 

But I bet they didn't buy in the last year or two. I'd assume home prices must be crashing out there like they are in other bubble areas, aren't they?

 

The outlying (more than 40 miles commute) newer homes crashed, the ones that say 8-10 yrs ago were $200k+ and went up to $800k. Those have been hit the hardest.

The home markets closer to the metro area (at least in the Bay Area) have suffered but have held up better, only $100-200k lower. However, the very high homes, >$1.5M, have started going down as well.

 

California's per capita tax burden is about in the middle of the 50 states. The problem is that the only taxes that can get passed are for prisons. Schools, which get most of their money from property taxes, get to suck hind tit.

 

"Hey pardner, what's that?"



"Great. More damn Californians moving in."

 

A few years ago, I was told by the manager of a moving van company that the ratio was 6/1, leaving/coming to California.
Keep in mind, illegal immigrants don't use moving van companies.

 

Link?

 

Probably because you could buy a whole city in Michigan for the same price as a Malibu Beach House.

 

So true.

I went from a ridiculously cheap housing state to Southern California recently. If the housing prices hadn't tumbled, I wouldn't have been able to ever enter the market. Period. Even so, I live in a so-so suburb and I have dreams of moving to one of the nicer areas some day, but I'll never be able to. The house I'm in now, I imagine, will be the only one I ever own in California. It's not huge, but it is big enough for my family to grow into and we like it. If we stick to the 30-year mortgage, we'll have it paid off before we retire and that is sweet.

It's a lot of adjusting and it's scary to think about from the outside, but I think the inflated cost is worth it. The climate allows for a much healthier lifestyle and I'm not miserable in the winter like I used to be. My wife and I are very good with our money and we are on a semi-strict budget. We make it work and we enjoy the benefits of living out here.

 

I interned at a paper in Southern California. Someone in HR called me and said they had a house for me, 20 minutes from the paper for $350 a month (this was in 1994). I thought that seemed a little far, but knowing what the housing market, I took it. It was a 3-bedroom house and I was told I would have roommates, who were also interning at the paper.

I had six roommates. Rent on a shitty 3-bedroom house in Los Angeles was $2,450 a month. That included utilities and we did not have air conditioning.

Again, this was in 1994.