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Check out this article "What economic slowdown? Some spots still boom "

Discussion in 'General Industry Discussions' started by Tim03, Mar 24, 2008.

  1. Tim03

    Tim03 LawnSite Member
    Posts: 164

    I was surfing and found this article


    It was good to read that more than a few areas around the country are still doing well, and hopfully will help the ecomony bounce back a bit.

    My question is, is your area still thriving?
    What are people in your area doing to beat the ecomonic woes?
    In areas that are not being hit by the ecomonic slow down are the customers in general cutting back on their lawn care needs?

    Do you see signs, positive or negative, of ecomonic movement in your area and what if any changes do you plan to make to react to this movement?

    Id like to hear from those in Arizona and Nevada, the article lists those two states as already recession. I am guessing Nevada is having hard times because of people gambling less, but still I thought Nevada attracting people to the state.
    I thought with Arizona's tougher laws on illegals would help the state cut back on workers that dont pay taxes, and sending some of those workers out of state. Isnt there a positive impact on the ecomony out there? Whats going on?
  2. Atlantic Lawn

    Atlantic Lawn LawnSite Senior Member
    Male, from Outer Banks NC
    Posts: 939

    Our area has been hit hard,but we are a resort area and we still have the tourist dollars beginning to roll in thank God. The construction and sales of vacation homes has really dropped off. Many of the trades have been packing their families up and leaving, little companies goin' under.
  3. AI Inc

    AI Inc LawnSite Fanatic
    Posts: 25,390

    Unfourtunatly in tourist areas there are a lot of second homes. When someone is broke selling the boat or snowmobile just dont cut it. It may get them thru the month but thats about it. They sell those second homes to have a nest egg to keep them afloat.When too many hit the market at once it drives the cost down on second and primary homes. As much as a construction slowdown sucks , it will at least help reduce housing inventory.
  4. Roger

    Roger LawnSite Fanatic
    Posts: 5,923

    Every day, the newspapers are filled with doom and gloom stories about the housing industry. Today's paper speaks about housing prices being down 11%, or something like that. Obviously, situations vary across the country, just as noted in the posts above.

    What these doom and gloom stories don't include are the statistics of the run up in prices over the past 15 years. Housing markets have skyrocketed in most areas. I would expect the resort areas spoken about above are no exception. Second homes, vacation homes, etc. have escalated in prices in a huge way over the recent past.

    The evening news last night included an interview with a man who watched McCain's speech yesterday. This man was lamenting the loss of value of housing, using his own situation as an example. He spoke of the value of his house being down, perhaps as much as 10%. What he did not say is how much the value of his home had escalated over the previous 10-15 years.

    My point is that too many of these stories are one-sided. They only point out the short-term downturn, without including the long-term gains that so many people have realized. If anybody believed that the rate of increase in the past 10 years of residential housing was going to continue forever, they were living in a dream world. What part of the world of finance does not have cycles? There seemed to be nobody whining when prices were rising at an unbelievable rate, but now there is no shortage of whiners when the market has a downturn. All things considered, the downturn is not very significant -- even at 10-15 percent. Have our citizens become so accustomed to easy value escalation they aren't prepared for a bump in the road? What does even owning a vacation home say about the abundance of wealth?
  5. daveintoledo

    daveintoledo LawnSite Silver Member
    Posts: 2,587

    from where i sit in Ohio, things are really bad.... all the major auto factories have layed off or closed.... the printing industry has failed. Blade printing in business 175 years anounced its closing April 1......the list is way to big to type out.....many different industries closing down...if there is economic prosperity we sure would appreciate a bit of it please.....

    the jury is still out on this season until around may, we will see where we are, i think we will be ok but ill bet on alot more competition again this year from hundreds of layed off and unemployed people.....

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