Real Estate in the US what's the catch?

  • Thread starter JasonRox
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In summary, the US housing market is much more volatile and expensive than the Canadian housing market. Prices haven't moved in Canada, but in the US they have seen a large increase in prices.
  • #1
JasonRox
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I like to look around at housing prices for fun... especially now as I might buy a place in my hometown this summer. Although, the market hasn't been hit hard or really at all in Canada so far. Prices haven't moved.

But in the US... there is this...

http://www.realtor.com/search/listingdetail.aspx?sby=1&pg=4&srcnt=419&sid=d913203f81104c4fafb3941db780fc57&fhcnt=32&loc=buffalo%2c+new+york&usrloc=buffalo%2c+new+york&mnp=30000&mxp=50000&typ=3F&fhpg=4&lid=1104597088&lsn=39

To find a house listed at this price in Canada is like impossible unless it was like completely not livable at ALL! The place is being rented at like 3 times the price. What's the catch here? Why don't the people who live there actually buy it?

Thanks!
 
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  • #2
Buy it and put it on a truck? (Do you have to pay GST at the border - or do you think you can sneak it in?)

I suspect Buffalo doesn't have a lot of job or population growth and so there aren't many people moving there looking for a house.
 
  • #3
mgb_phys said:
Buy it and put it on a truck? (Do you have to pay GST at the border - or do you think you can sneak it in?)

I suspect Buffalo doesn't have a lot of job or population growth and so there aren't many people moving there looking for a house.

Yes, but the people that live in it are paying the mortgage in itself! Doubling it! Clearly, if they can pay the rent, they can buy it.

Even in bad areas, houses don't sell for $30k here in Canada.
 
  • #4
If you study the areas in which those $30K houses are located, you'll probably decide that you wouldn't want to live there, even if someone paid you to do it. US cities have slums and crime-infested areas that Canadian cities don't.
 

FAQ: Real Estate in the US what's the catch?

What exactly is "real estate" in the US?

Real estate in the US refers to land and any physical property built on that land, including homes, commercial buildings, and natural resources. It can also include rights to use and access the land, such as easements and mineral rights.

How is the value of real estate determined in the US?

The value of real estate in the US is determined by various factors, including location, size, condition, and market demand. Other factors like interest rates, economic conditions, and government policies can also impact the value of real estate.

Are there any taxes associated with owning real estate in the US?

Yes, there are various taxes associated with owning real estate in the US. These can include property taxes, capital gains taxes, and transfer taxes. The specific taxes and rates may vary depending on the state and local laws.

What are some common risks associated with investing in real estate in the US?

Some common risks associated with investing in real estate in the US include changes in market conditions, unexpected maintenance and repair costs, and potential legal issues such as property disputes or zoning changes. It is important to thoroughly research and consider these risks before making any real estate investment.

Is there a catch to investing in real estate in the US?

As with any investment, there are potential risks and drawbacks to investing in real estate in the US. These can include high upfront costs, ongoing maintenance and management responsibilities, and the potential for fluctuations in the market. It is important to thoroughly educate yourself and seek professional advice before making any investment decisions.

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