[Winona Online Democracy]
At the moment the Phillips development seems to be in a bit of trouble. But the developer and his city supporters clearly assumed the venture would be profitable. They have good reason. In 1999, Jack Guttenberg of the Wharton School of Finance, University of Pennsylvania, estimated that people with a $59,200 down payment (10% plus closing) and an income of at least $11,284 a month could buy and keep payments up on a house costing $400,000, assuming they had reasonable spending habits. People with a net worth much higher than $60,000 would, of course, need even a smaller income. Many business people, expert technicians, and professionals (including a few educators), with spouses or significant others, have the necessary family resources to own a $400,000 house with less than Guttenberg's estimated minimum income. Clearly, if the family net assets were not much above the down payment, the buyer would be living dangerously but many people in the United States do live dangerously. Moreover, many buyers expect housing prices to keep rising, giving them a better investment payoff than they would receive from relatively conservative securities or cheaper houses. Those buyers whose children go to colleges with high tuition would secure financial advantages from a high-priced home that they would not have otherwise under the current student aid program. Even if the Phillips proposal falls through, we can expect to see many similar proposals, presumably presented with closer attention to environmental and political factors. A gamble? Sure. But evidently the demand for housing justifies the hopes. Roy Nasstrom ----- Original Message ----- From: <[EMAIL PROTECTED]> To: "Winona Online Democracy" <[EMAIL PROTECTED]> Sent: Thursday, September 09, 2004 7:58 AM Subject: [Winona] project > [Winona Online Democracy] > > > ----- Original Message ----- > From: "John N. Finn" <[EMAIL PROTECTED]> > - Wilson / Phillipsproject > > > > So, wouldn't our 'movers and shakers' feel that > > would also be the case for the homes the new medical > > personnel would be seeking? And since the city is > > involved in financing the hospital project, the Phillips > > development is going to happen one way or another. > > > **I disagree that the Phillips development/annexation is going to happen one > way or another. The public is aware (thanks to many who did wonderful > investigating) that his property is a unique eco-system. I would think that > fact alone would raise very serious issues with developers. > To say that the develpment is going to happen one way or another is to > assume the people have no voice and we do. ...... > Linda Fort > > > _______________________________________________ > This message was posted to Winona Online Democracy > All messages must be signed by the senders actual name. > No commercial solicitations are allowed on this list. > To manage your subscription or view the message archives, please visit > http://mapnp.mnforum.org/mailman/listinfo/winona > Any problems or suggestions can be directed to > mailto:[EMAIL PROTECTED] > If you want help on how to contact elected officials, go to the Contact page at > http://www.winonaonlinedemocracy.org > _______________________________________________ This message was posted to Winona Online Democracy All messages must be signed by the senders actual name. No commercial solicitations are allowed on this list. To manage your subscription or view the message archives, please visit http://mapnp.mnforum.org/mailman/listinfo/winona Any problems or suggestions can be directed to mailto:[EMAIL PROTECTED] If you want help on how to contact elected officials, go to the Contact page at http://www.winonaonlinedemocracy.org
