Yes, housing starts are dismal along with virtually every other economic indicator. But, I believe I know a way to improve that, at least in housing starts. This is just a beginning , mind you but it seems to have lots of potential.
I read a blurb in Sports Illustrated the other day about Philadelphia Phillies first baseman Ryan Howard. Mr Howard is by any estimation a baseball star and plays for what is probably the best team in baseball. For that he is well compensated. For purposes of this post, I make no comment about what Howard makes, except to say that it is enough to afford a nice home.
Mr Howard has plans in place to have a home constructed in the Tampa area that has an estimated completion date of sometime in 2014. With a cost estimate of $23 million, that should be no surprise. The only catch is that the regs in that area require a maximum construction time of 24 months which has required a bit of negotiation with local officials. While they are involved in that, they should not miss a great opportunity to boost the housing starts there and maybe even start a nationwide trend.
Here is my suggestion. Divide the estimated construction cost by ten and voila , you have 10 housing starts. Numbers look better which is really all that matters anyway, right? Besides an expensive home should count for more than a less expensive one. And the trend catches on, before you know it there is a housing “boom” that inspires confidence and inspires companies to hire, consumers to spend etc. Bet the Obama Administration would love this plan. No need for thanks, just trying to do my part.
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