Hiruy HadguColumbia, MD, United States
Dec 2, 2018

Myth: Developers increase the price of the home to cover for higher fees.

Reality: The claim that the home gets more expensive implies the developer is selling it BELOW market price. It is competing with apartments and resales - that is the housing market.

Myth: Residential development is a revenue center. More homes mean more revenue for the county.

Reality: Residential development is a COST CENTER. Every new home leads to new requirements on infrastructure- police, hospitals, schools, libraries, fire, roads, water and sewer. This flawed assumption has led many jurisdictions in trouble.

The true revenue centers are commercial developments. The initial capital cost is just the beginning. Once the county pays $60k per new student, it costs an additional $13k to $15k to operate the schools. The overwhelming majority of taxpayers are not paying this much every year.

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