Wednesday, January 5, 2011

The Recession is Affecting Everyone

The housing market was among the industries that were hit very hardest in the recession that has recently affected our country. After the market tanked there were numerous construction companies which either quit their projects and/or went out of business--or just about.
From the other end of housing were those trying the sell houses. In case anyone had been waiting to see if house prices were going to go up anymore before selling--they should have sold because prices plummeted. Prices dropped by thirty percent all over the country. A home that would have fetched $265,000 in 2007 would only get $180,000 one year later.
There was one section of the consumers who actually prospered due to the bursting of the housing bubble. The buyers. There were countless opportunities to buy partly finished homes at dirt cheap prices, or homes that had been foreclosed on. A home that someone never would have been able to afford was much more attainable.
One such high profile "home" that suffered from the recession was none other than the White House.
In 2007 the White House was worth $332 million. This house has 16 bedrooms, 35 bathrooms, two dozen fireplaces, a tennis court and a bowling alley. You'd think that a house with that many perks would keep it's value. But the value of 1600 Pennsylvania Avenue has dropped down to a mere $252 million. I feel like the White house would be one of those "priceless" type of dwellings. Especially given the unlimited appeal that it has due to it's history and importance.
Since no one has ever, could ever, or will ever even try to buy the White House why is there a need to appraise it anyway? This leads to a bigger question. Even if there is some reason that such a historic building should be given a value why is it put on the news, much less the Yahoo home page? Probably to make it seem like the president's home life suffers from fluctuations in the economy as well.

Which it doesn't.

1 comment:

  1. Man Obama is going to be very upset about this. Seeing as how he keeps saying the recession is over. Imagine how he feels about his house still depriciating a 100 million dollars. I think he's probly pretty bumed. Oh how did you like Michaela's comment about your techno hoodie post. Cuz I thought it was hilarious.