Monday, May 02, 2005

Poconos

I live in the Pennsylvania Poconos, about 8 miles from Rt. 80 and 80 miles from New York City. 20 years ago I purchased a small house on a dirt road in the woods. Now, the road is paved and across it a middle class “community” of modest, but for former New Yorkers accustomed to higher prices, very affordable homes, has risen. Low wages for construction workers help keep the prices low. Many of my neighbors work in New York and eastern New Jersey. There are few good paying jobs here in the Poconos. At five in the morning commuter cars speed down the road heading towards Rt 80. Even at that hour traffic on 80 is frequently backed up and for many I’m sure the anxiety about being late yet again causes unbearable tension.

Last week I read in the Pocono Record that 1500 new homes would be built near Shawnee Resort and this is only one of many such developments in progress.

Things will soon change.

Gas prices (and heating expenses) are certain to continue to rise. Friends tell me it takes roughly 2 and a half tanks of gas to commute for a week to New York or eastern New Jersey. New schools are being built in every district. This means increased property taxes. The cost of living here and commuting to work elsewhere will soon exceed the earning potential of many. Inevitably, homes will go into foreclosure, as many already are. On my short little road there are two homes that stand unoccupied and another has been for sale for more than a year.

Before you buy in Poconos or anywhere else for that matter, google “housing bubble” or root around in this site http://patrick.net/housing/crash.html for awhile.

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