Why aren't people buying cheap houses?
January 23, 2009 2:32 AM Subscribe
Uber-cheap-houses filter: how did we get to the point where houses are selling for less than a thousand bucks and they're STILL NOT SELLING?
OK, I haven't been living under a rock (actually in Seoul, in one of the most wired countries in the world). I have a Business degree from a respected American college. A cursory glance at multiple major cities - not just Detroit - on realtor.com offered me any number of houses for under $5,000, and quite a few as cheap as $500. That's one month's rent where I used to live in the states.
Yes, I know the best of them are nicely considered 'fixer-uppers', while for others it's better just to knock what's standing and starting over. For the price, though...
So what's the deal? Are people too afraid of the economy getting worse? At these prices no credit / mortgage is needed... Afraid of moving? In other words why hasn't your Average Joe engineer / construction man bought a cheap house and gotten into the fixer-upper business?