MGB: How is Your State Doing?

Texas is solid RED state, and although we have (IMHO) an idiot governor and Speaker of the House, our state and regional economies are holding up nicely:

10.7 Billion state government surplus
No state income tax
5.0% unemployment
240,000 new jobs in the last 12 months
10,000 new North Texas residents moving in per month
Foreclosures..but our home prices are stable

I have heard a lot in the news about California and Michigan lately, with budget problems and high unemployment, and both solidly BLUE states.

How is your state doing, and which party controls your state government?

Jay,

Maybe it is time for us in Texas to secede. ;)

Helps being in an oil producing state.

No state income tax, but my real estate taxes are obscene. I don't see how I'll be able to retire in the home I own today if the progression continues.

Govn'r is an idiot. Barely won a three way race last time around with a pitaful 39%. The fact he had serious Republican opposition says something. Only the crazy 3rd party candidate (Kinky Friedman) enabled him to win. Kinky managed 12%

Texas is a good place to be. Came here in '87 expecting to be gone in 3 to 5 years. Still here, and definitely won't leave for at least another 4 years (then the youngest will have graduated from HS).

And while housing hasn't tanked, the inventory of homes in my zip code is exploding, and that can't be good. A lot of high end speculative builds and remodels, plus an explosion of high end condos. So far they aren't cutting deals, but if credit tightens and their some calls on the construction notes, it could set off a blizzard. I initially bought in a crash. So while this one might hurt, I believe in the long term.

Ironically a credit crunch helped me then. Builders couldn't get credit. So I got a lot for a song and carried the construction note. Every month another Texas bank would go under and I'd have a new bank to deal with. That went on for about two years.

I just got done complaining about the real estate taxes in Nebraska (red state) in another thread. Looked up the data; the only place it's worse is in Texas (taxes as a % of home value). :)

http://www.taxfoundation.org/research/show/23648.html

It sucks to be illinois.

:(

Ryan, I saw your note and bit my tongue. Over $1K a month for my house taxes, and that's with some breaks and hiring pros to fight it.

At least I have the option of cashing out. Folks that don't have serious equity and are stretched, they are SOL for a while.

Ryan Reis Wrote:

Things in Oregon are ok. Unemployment is 6.5%. Blue state, but rural areas lean towards red. Real estate has only dropped a little. No sales tax!! Oregon is always one of the last to feel economic problems, but unfortunately is then one of the last to recover.

I really couldn't tell you any specifics Jay. The farmers have been doing well with corn and bean prices, although I see soybeans have dropped recently. I know my criminal defense business is up, real estate and estate planning way down. We have a nice little industrial base in our small town, and we've heard a lot lately of layoffs and furloughs. We represent a local industrial start-up that invented a machine to sort and package wood fooring; they can't get anyone to buy one with house building drying up. I posted recently about the original vice grip factory being closed locally with the production moving to China. Cabelas announced today they're reducing headquarters staff by 10%. Beyond that I don't worry about it; I get out of bed and go to work and worry about raising my kids. It's still a good place to live.

The oil industry is one of the few sectors that is actively growing during this volatile period.

The Governor is blind, really he's blind. Best we've had in years but were still F worded. Shumer/Clinton & you guys in Texas think things are tough. Good things winter is coming and all our politicians will be in Florida.

Dave

auctionwatch Wrote: