I dunno, does land spoil after three days on the counter?
― papal hotwife (milo z)
in california sometimes it slides into the ocean, and you’re still on the hook for it! then what’s it worth? nothing, it’s a liability
is this common? idk probably more common as climate change heats up. but you guys want to be all or nothing, like the fine edge of the slicey boi. i’m just pushing back and saying that i’ve seen a lot of demographic change where i grew up and i’ve seen ppl lose their shirt inheriting an investment. sorry not sorry!!
― the late great, Thursday, 27 July 2023 01:49 (nine months ago) link
we did all this in the homeowner vs rent thread last week iirc
― Ár an broc a mhic (darraghmac), Thursday, 27 July 2023 01:49 (nine months ago) link
and more importantly in cities and established suburbs - valuable plots of land
like beautiful downtown detroit, home of america’s bustling auto industry!
― the late great, Thursday, 27 July 2023 01:50 (nine months ago) link
so the parallel is between unrefrigerated raw meat (which spoils everywhere) and a cliffside dwelling that fell into the ocean during an earthquake and was both uninsured and underwater?
― papal hotwife (milo z), Thursday, 27 July 2023 01:52 (nine months ago) link
xp yeah, Baltimore has something like 16,000 abandoned empty houses, not sure how those are an asset to anyone
― Andy the Grasshopper, Thursday, 27 July 2023 01:53 (nine months ago) link
nah it’s not a parallel … it’s a … nvm
― the late great, Thursday, 27 July 2023 01:55 (nine months ago) link
If you inherit a house worth $500k and it has a $1mn mortgage attached then no, that is not capital. This is, of course, a routine problem.
(also... downtown Detroit is a land of $500k+ condos?)
― papal hotwife (milo z), Thursday, 27 July 2023 01:56 (nine months ago) link
I would simply not take possession of the piece of land that's $500k underwater but that's just me.
― papal hotwife (milo z), Thursday, 27 July 2023 01:57 (nine months ago) link
i’m talking abt landslides caused by wildfire erosion though, for the record
state farm and allstate no longer sell new policies coveting that in california, because of wildfires. i believe farmers is set to follow
― the late great, Thursday, 27 July 2023 01:57 (nine months ago) link
yeah i know, you’re not getting it
― the late great, Thursday, 27 July 2023 01:58 (nine months ago) link
maybe other ppl with better bona fides can explain
i mean explain to me what i have wrong, i’m not getting where you’re taking what i’m saying
― the late great, Thursday, 27 July 2023 02:00 (nine months ago) link
I seem to have missed the California housing crash.
― papal hotwife (milo z), Thursday, 27 July 2023 02:03 (nine months ago) link
u missed the detroit one too?
― the late great, Thursday, 27 July 2023 02:05 (nine months ago) link
well it does happen. It happened during the 2008 recession.
― I? not I! He! He! HIM! (akm), Thursday, 27 July 2023 02:05 (nine months ago) link
yeah it’s a cycle, ppl make money going up other ppl lose money coming down and the opposite can happen too. fine if you can ride it out, not all ppl can, and that doesn’t make them good or bad or lucky and unlucky or anything else in and of itself
jesus christ are we done here
― the late great, Thursday, 27 July 2023 02:06 (nine months ago) link
as long as you understand that anyone who has ever owned anything is in the 1%
― I? not I! He! He! HIM! (akm), Thursday, 27 July 2023 02:08 (nine months ago) link
Well, this conversation got weird fast. A few thoughts:
Difference between wealth and money.
Chris Rock had a thing about this: "Shaq is rich. The white man who signs his check is wealthy."
Personally I own a house that is almost worthless (small, cramped, crumbling, 80+ years old) but it sits on an absurdly valuable rectangle of dirt. At present there is no way out of this situation.
― Some people call me Maurice Chevalier (Ye Mad Puffin), Thursday, 27 July 2023 02:08 (nine months ago) link
Where I'm taking "land isn't capital unless you're doing something with it" is that it's just dead wrong. Rare cases of real estate declining in value don't change that - and I mean, you bring up climate change and California but houses are still selling there! There's a mild penalty for the most at-risk properties, but they still have a massive amount of value. The example of old people letting their homes go to seed that you pointed to and agreed with is also nothing like that - those homes just need fixing up, like every aging man-made structure.
If meemaw and pop-pop can sell their house for $400k (but if it would have been $550k if they'd kept up with maintenance), it's still $400k more of an asset than that held by the old couple relying on Social Security and Section 8 vouchers.
― papal hotwife (milo z), Thursday, 27 July 2023 02:11 (nine months ago) link
Rare cases of real estate declining in value
hahahahahahahahahahahahahahahaaaaa
― but also fuck you (unperson), Thursday, 27 July 2023 02:13 (nine months ago) link
everywhere around me I see jealousy and mayhem
― brimstead, Thursday, 27 July 2023 02:13 (nine months ago) link
We definitely went over this in the buying a house c/d thread
― hrep (H.P), Thursday, 27 July 2023 02:25 (nine months ago) link
we're flipping it
― Ár an broc a mhic (darraghmac), Thursday, 27 July 2023 02:37 (nine months ago) link
Yeah turns out owning land sucks for the land owners
― hrep (H.P), Thursday, 27 July 2023 02:39 (nine months ago) link
landpwners
― Ár an broc a mhic (darraghmac), Thursday, 27 July 2023 02:40 (nine months ago) link
Don’t worry though, I am willing to carry my burden so the rest of you don’t have to own my land. No need to thank me. Will accept cards and home made treats in recompense though
― hrep (H.P), Thursday, 27 July 2023 02:40 (nine months ago) link
I should really be thanking the bank who actually own my land at the moment. Always sticking up for the little guy
its strange to me how it turns from homeowner to landowner depending on the level of sarcasm required in the sentence
― Ár an broc a mhic (darraghmac), Thursday, 27 July 2023 02:44 (nine months ago) link
Tbf my home is one of those mama and pop pop about to fall over next weekend types so I use land owner unironically. Bank values my place as like 20% house 80% land
― hrep (H.P), Thursday, 27 July 2023 02:47 (nine months ago) link
The example of old people letting their homes go to seed that you pointed to and agreed with is also nothing like that - those homes just need fixing up, like every aging man-made structure
i … never said this? did i say this?
― the late great, Thursday, 27 July 2023 02:53 (nine months ago) link
sorry i have this bad pathological need to be clear, seems like posting less might help ... but if you mean my friends whose mom is sick it has to do with refinancing, taxation, not planning for a sick mom, etc. it’s complicated but not structural problems. in the case of the tear-downs on the block, i was also pointing to mortgage and finance stuff others already mentioned
if you don’t believe me that it happened, fine. i concede the entire argument on all points, except the specifics about this one town and whether or not i lack empathy and imagination
― the late great, Thursday, 27 July 2023 03:05 (nine months ago) link
Nothing personal against you mate, obviously there are specific situations where your points stand, it’s just they do not constitute the general rule of land ownership which is that it will “GENERALLY SPEAKING” make you wealthier in the long term.
Sympathise with your need to be clear, best wishes to your friend.
― hrep (H.P), Thursday, 27 July 2023 03:11 (nine months ago) link
i agree. my only point … ever … was that it is not the same as peerage, or old time caste systems
― the late great, Thursday, 27 July 2023 03:17 (nine months ago) link
‘I agree with akm’ when that was his last post seemed like an agreement re: the point about valuable homes not being kept up?
― papal hotwife (milo z), Thursday, 27 July 2023 03:18 (nine months ago) link
or if we want to shift it to something we can all agree is abhorrent (other than this thread) the same guarantee as apartheid
― the late great, Thursday, 27 July 2023 03:18 (nine months ago) link
I am confused what the argument is?
― sarahell, Thursday, 27 July 2023 03:21 (nine months ago) link
Same
― hrep (H.P), Thursday, 27 July 2023 03:24 (nine months ago) link
In any case land is absolutely capital and some people having to concern themselves with the performance of (in investment terms) or how to maintain a valuable property kind of feels like one of those class divide issues that started all this.
― papal hotwife (milo z), Thursday, 27 July 2023 03:26 (nine months ago) link
If you think of it in terms of it being able to be used as collateral for actual money … like you can’t buy groceries with a fractional share of land, same with many other necessities that require payments in cash or cash equivalents. Granted if you have no cash AND no land, then you are really fucked.
― sarahell, Thursday, 27 July 2023 03:42 (nine months ago) link
xp oh ok i was talking about finance stuff, mortgages etc not structural issues. maybe the steak needing a fridge confused it. at least we can agree that land is like other assets (they all help you become wealthier and require some maintenance) even if we can’t agree on whether its more akin to owning a business or owning a car (which in the case of a taco truck could be a business) or owning a principality
― the late great, Thursday, 27 July 2023 04:11 (nine months ago) link
I mean you’re still putting up the fundamental difference that has been pushed back at you: cars go down in value, as do steaks, land (GENERALLY) does not. It’s neither steak nor car nor business for an owner occupier, it’s an asset. No need for confusing analogies which just get further away from the truth
― hrep (H.P), Thursday, 27 July 2023 04:20 (nine months ago) link
Sarahell writes:
you can’t buy groceries with a fractional share of land
Um, yes you kinda can? Maybe you shouldn't but you totally can.
A landowner or homeowner can call or visit a bank and say "I would like a $50,000 line of credit based on the $500,000 of equity I have in my home and/or property. Oh, also, while you're at it, give me an extra $5,000 in cash."
Then you go buy groceries with that. It's surprisingly easy.
(It may not be a great idea, long term, but it is possible.)
― Some people call me Maurice Chevalier (Ye Mad Puffin), Thursday, 27 July 2023 04:31 (nine months ago) link
xp i disagree that you are stating an ironclad truth, what else should i do?
― the late great, Thursday, 27 July 2023 04:36 (nine months ago) link
lmaooooo try googling IS A CAR AN ASSET
― the late great, Thursday, 27 July 2023 04:38 (nine months ago) link
i can’t anymore, i’m going to put on this dunce cap and watch glengarry glenross until i figure it out
― the late great, Thursday, 27 July 2023 04:39 (nine months ago) link
I mean you could be generous with your interpretation of what I said and add in the appreciating/depreciating sub-clause that was obviously intended by the context, but yeah fair enough a car is an asset
― hrep (H.P), Thursday, 27 July 2023 05:01 (nine months ago) link
seems like posting less might help
― il lavoro mi rovina la giornata (PBKR), Thursday, 27 July 2023 12:47 (nine months ago) link
A landowner or homeowner can call or visit a bank and say "I would like a $50,000 line of credit based on the $500,000 of equity I have in my home and/or property.
um, that was something I was referring to when I said "being able to be used as collateral for actual money" ... in some cases, the bank might say no. Banks do this. They say no to people who have too much debt, or they question whether there's that much equity in the property, depending on the property they might have questions about the title and other things that would delay getting the cash (e.g. racism often comes into play here)
― sarahell, Thursday, 27 July 2023 13:48 (nine months ago) link
How many banks say yes to someone without any collateral?
― il lavoro mi rovina la giornata (PBKR), Thursday, 27 July 2023 14:06 (nine months ago) link
How do you do, fellow kids?
― immodesty blaise (jimbeaux), Thursday, 27 July 2023 14:17 (nine months ago) link