Jinx left this comment earlier today:
So which schools will be better off? Those that receive their money from property taxes or those that receive from the state?
I assumed that those whom receive money from property taxes may be less affected, but I just read that Carlsbad is going to bump its class size for grades 1-3 from 20-24 kids per class up to 32 kids per class. Do you think all districts will be forced to do this?
Jinx is addressing money for schools in particular, but it’s worth examining the whole enchilada.
We are going to have to learn to live with less government.
It is beyond politics now – government is too big for its britches, and needs to shrink. We’ll have to live with more potholes, bigger public-school class sizes, and shorter hours at libraries and parks – or closing down them down altogether. We may even see public lands for sale.
How do those types of changes affect your real estate decisions?
I don’t think home buyers are that concerned about the government, but maybe we should be? The City of Carlsbad has $100 million in the bank, but if they had to endure a few more lawsuits and another golf course bailout, we could see that dough could go up in smoke. The pension problems with the City of San Diego are well-documented, will residents eventually end up footing the bill….and should that be considered when buying?
Are these issues causing more homebuyers to want to hunker down behind a gate in a home where they can escape from it all? I don’t hear people saying it out loud, but the lack of security about the future has to be one of the reasons causing the flight to quality properties.
How does your outlook on the future, impact your real estate decisions today?