[RP TownTalk] Condos etc. A different view

[Gerard Kiernan]

I enjoyed all of the posts on this topic, but I have a slightly different
perspective and questions that I hope someone can explain to me.

In the calendar year, 2006, the Maryland Department of Assessments and
Taxation shows the sale of 73 residential properties in the Town with sale
prices ranging from $195,000 to $436,000.

The breakdown is as follows:
less than $199,000, 2 sales
$200,000 to $299,000, 22 sales
$300,000 to $399,000, 43 sales
greater than $400,000. 6  sales

As recently as last year,  I had a realtor tell me that the rule of thumb
for a mortgage is three times income.  So, my question is: since the
majority of the sales exceed $300,000, have we really had an influx of well
paid families, or do we have a number of purchases that are stretching the
buyer's ability to meet their commitments.  Are we facing a possible flood
of foreclosures if the real estate bubble deflates?

It is vital subject for the town's people to discuss and share their
opinions with their elected officials;  what is the socio-economic vision
that we have or want to have for Riverdale Park.  There have been a number
of concerns expressed about the possibility of future condominium projects
becoming majority rental units This vision should then influence the Town's
economic development efforts.

Thank you for your time.

Gerry Kiernan
Councilmember, Ward 5