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  1. #1
    Join Date
    Sep 2004
    Location
    Central Otago, ChCh, AKL
    Posts
    2,443

    Default Detroit turning ghost town as workers bail out

    Hammered by the car industry's slump, Detroit has seen its population plummet 25 per cent over the past decade, according to census data released yesterday that reflects the severity of an economic downturn in the only American state whose population declined since 2000. The statistics show that the Motor City's population fell to 713,777 in 2010, compared to 951,270 in 2000.
    Although a significant drop was expected, state demographer Ken Darga said the number was "considerably lower" than the Census Bureau's estimate last year.
    "That's just incredible," said Kurt Metzger, a demographer with Data Driven Detroit, a nonprofit organisation. "It's certainly the largest population loss percentage-wise that we've ever had in this city."
    Mayor Dave Bing disputed the numbers, claiming his city has at least 750,000 residents, an important threshold for qualifying for some state and federal funds. He didn't explain how so many people were missed by census workers, but he said he planned to appeal.

    Detroit's population peaked at 1.8 million in 1950, when it ranked fifth nationally. Yesterday's numbers reflect the decline of the auto industry - the city's lifeblood for a century - and an exodus of many residents to the suburbs.
    "The census figures clearly show how crucial it is to reinvent Michigan," Governor Rick Snyder said. "We cannot cling to the old ways of doing business."
    Metzger said the drop-off in Detroit partially reflected the migration of middle-class blacks to suburban counties, a trend begun by whites decades ago. But the numbers also show many blacks have given up on Michigan altogether: the state's non-Hispanic black population fell by 1.8 per cent.


    That marks Michigan's first drop in black residents since statehood, and a significant change for a state that was long a magnet for blacks leaving the South to escape discrimination and seek jobs, said William Frey, a Brookings Institution demographer.
    The statewide population fell 0.6 per cent over the decade, although it did make gains with Hispanics and residents of Asian origin. The non-Hispanic Asian population was 236,490, up 35 per cent over the decade - Michigan's fastest growing racial group. Asians now account for 2.4 per cent of the state's residents.
    Michigan's Hispanic population grew by 34.7 per cent, to 436,358 or 4.4 per cent of the overall population.AP


    http://www.nzherald.co.nz/economy/ne...ectid=10714529
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  2. #2
    Join Date
    Oct 2008
    Location
    Auckland/Melbourne/ whereever the money is
    Posts
    1,380

    Default

    Thats pretty much what I would have expected with the crash in auto makers.
    Which is why I was so surprised to see Detroit on someones list of places to invest in this post https://www.propertytalk.com/forum/sh...t=23940&page=3

    They might seem like bargains now, but ghost towns don't tend to have very good returns on rentals

  3. #3
    Join Date
    Jun 2005
    Location
    auckland New Zealand
    Posts
    5,236

    Default

    It's OK to lease option at the higher end Keith but a death trap for the cheap end buy and hold.

  4. #4

    Default

    Detroit is not for the faint of hear that is for sure. There are some great neighborhoods: Rosedale Park, University District, and East English Village to name a few. Then there are the worst bombed out places you could ever find in places like Brightmoor. Places like Brightmoor where you would find the $1,000 or less house. I would never even suggest anyone even think about investing in that area.

    Only way to invest in Detroit is to do as Dean mentioned Lease/Option or sell on Land Contract.

    Economic factors such as a 25% high school graduation rate, extremely high property taxes, and poor government are why Detroit is a long term fail. Nonetheless, the number is a bit misleading as Detroit is a sparse metro area, and most everyone now lives in better surrounding cities and townships.

    To clarify, I moved my business to Indianapolis because I like the potential and positive direction the city and state are taking. The current governor is a highly sought after candidate to run for president because of the great job he is doing in Indiana.


 

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