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THE Commuting Thread (merged)

What's on your mind?
General interest discussions, not necessarily related to depletion.

Re: The Cost of Commuting Leading to Foreclosures

Unread postby Peepers » Mon 22 May 2006, 22:30:57

That's only the cost of gasoline per mile, not the cost of driving. The cost of driving is 44.5 cents per mile according to the IRS (see http://www.irs.gov/businesses/small/art ... 08,00.html or http://www.turbotax.com/articles/taking ... tions.html ). Those costs do not include parking expenses, which are accounted for and deducted separately.

AAA has some interesting numbers to consider. They state that, for a car owned and driven 15,000 miles per year, the average cost to the owner is $7,800, or 56 cents per mile. When you apply that 56 cents per mile to your commute, you may be shocked at the figure at be tempted to give up that second or third car which sits idle 95 percent of the time.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Lighthouse » Mon 22 May 2006, 22:34:44

$this->bbcode_second_pass_quote('Revi', '.')..

Only us peak aware people stand a chance. ...


Thats a good one :lol:

To be honest, most of peak aware people will suffer as much as anyone else on the planet. Peak awareness does not save you at all.

Money, Gold and tangible assets will help you to stand a chance, but that's a different story...
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby green_achers » Tue 23 May 2006, 01:38:14

Well, this may be the begining of a painful but necessary (and probably inevitable) adjustment in a lot of places. People who buy in Stockton expecting to commute to the Bay Area deserve whatever they get IMO.

In case I sound elitist, I was guilty of that insane life in California for a while with an 80 mile (1-way) commute for the last part of it. I like to think my situation was a little more defendable due to my family situation, but it was still insane and ultimately unsustainable. And I always knew it was not a viable long-term option, so I was working on an escape. I just can't understand how someone could have had that life be part of their plan.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Zardoz » Tue 23 May 2006, 02:47:01

$this->bbcode_second_pass_quote('green_achers', '.')..I was guilty of that insane life in California for a while with an 80 mile (1-way) commute for the last part of it...I just can't understand how someone could have that life be part of their plan.


Vast numbers do. They buy into it. I don't get it either. What the hell kind of life is that, trapped in your damned car five or six hours a day like so many of them are?

I will never understand it.
"Thank you for attending the oil age. We're going to scrape what we can out of these tar pits in Alberta and then shut down the machines and turn out the lights. Goodnight." - seldom_seen
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby pea-jay » Tue 23 May 2006, 03:28:02

Yeah but thats time spent alone. Believe it or not, a number of people welcome this time not at work and not at home.

I think it's nuts. I prefer my commuting time as short as possible, by foot or bike.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby gg3 » Tue 23 May 2006, 04:01:03

...because the house in Stockton only costs 50% of your take-home pay, whereas the house in Oakland would cost 60% and the house in San Francisco would cost 80%.

So yes, some people buy monster houses and drown in their own debt-ridden excrement. But far more are just trying to buy any house at all, in this usurious meth-monster bulemic economy we have, and end up getting screwed coming & going.

What we're seeing is the edge of the social darwinist nightmare that is going to shred our social fabric like a cloth napkin tossed into a blender.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Roy » Tue 23 May 2006, 07:23:18

RElated to people buying more house than they can afford:

I just recently purchased a house and 7 acres in NC. Cost me $135k.

That's about what my house in Baton Rouge sold for and what my wife and I can afford as a note in just about any scenario (we believe).

Interestingly, the mortgage co's that we contacted approved us for $350k loan. That was with me unemployed and my wife self employed. Lunacy in my book.

10 years ago, we would have been lucky to get approval for a $1000 per month note. The $350k would have been closer to $3k per month.

Seems like lots of folks that I knew in LA would take the most they could get from the lending institution. Not too bright in my book.

People have lost the ability to budget, to see what they can really afford. The lenders have done their best to exacerbate this problem. After all, who wins with the high housing costs in bubble areas? Let's see, realtors, builders, inspectors, appraisers, mortgage originators, lenders, title attorneys, and more I can't think of.

No wonder this country is sitting on a powder keg, just watching the fuse burn closer and closer to the keg.

Greed is what has caused this and greed has pretty much driven the entire capitalistic system to the brink of self-imposed extinction.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Revi » Tue 23 May 2006, 08:56:30

Now is the time to get a small, sustainable house. You may get ridiculed for it, but it's a smart move. The guys in the conference room were laughing at my reel mower. I have a tiny lawn, and it takes only about 5 minutes whether I use the gas mower (if it starts) or the reel mower. I shrunk my truck to a ranger and got some ribbing too. They are beginning to see things my way now that gas is around $3. Everything we have done seems like a brilliant move, in retrospect. Peak oil is a lens through which one can see the world clearly.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Revi » Tue 23 May 2006, 09:26:32

$this->bbcode_second_pass_quote('mekrob', 'Y')ou know Revi, I've read some posts here about how some PO'ers (or maybe it was all of them) are haughty and elitist. I never got a feeling of that until I read your post. Thanks!


OK, I'll change my post. I'll quit picking on Chevys. (I drive a Ford Ranger) Dump the Range Rover! Get out of the house you can't afford, with an adjustable rate mortgage. Adapt to survive.

They don't have to do it. Just my 2 cents. I have no control over what people do. Most of my neighbors are going into debt to buy snowmobiles and boats. They must have money to play with.
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Pops » Tue 23 May 2006, 10:18:55

$this->bbcode_second_pass_quote('On July 5, 2004 I', ' ')Today small acreages many miles from large urban centers have great upward price pressure as commuters want more land at lower prices and are willing to drive daily to get it.
… As the cost of fuel escalates and the value of bedroom community real estate tanks…


Man, my crystal ball was on the right channel in this instance, but then again I was living in what had become one of those bedroom communities just down the road from Stockton.

The deal about the central valley wasn't that people just wanted to own a house – they wanted ever-bigger houses. I did work for a fairly large developer out there (they built some homes in developement mentioned in the article) and one of their best sources of new buyers were people who had bought new homes from the company only 2 years before and wanted to trade a longer commute for a bigger house!

I personally met people who first moved to Livermore (20 mi commute 1-way) then as it appreciated, sold and moved to a larger house over the hill in Tracy (40mi C1-W) repeat to an even bigger house in Stockton or Modesto (80 mi C1-W ).

We sold our 1-acre and 1700sf house outside Modesto in September of ’04 after it had appreciated over 250% in about 5 years and got out of that mess.

I am amazed the run lasted this long; talk about converging storms:
    The typical 15-year (+/-) real estate cycle (not surprisingly, related closely to the age of the average 30-something-and-can’t-remember-the-last-bust-home-buyer),
    The .com boom and bust that drove RE prices crazy in the Bay,
    The super low gas prices during the '90s,
    The large percentage of people commuting from the valley,
    And, of course 9/11 scared some into moving to what they felt was the relative safety of smaller towns


This was inevitable even without the run up in gas prices.

We still have family and friends out there, a few that are invested in rentals, and one or 2 that are thinking about moving out here - they are seeing their big windfall evaporating in front of their eyes.

One of those cases where 'I told you so' isn’t much fun.
The legitimate object of government, is to do for a community of people, whatever they need to have done, but can not do, at all, or can not, so well do, for themselves -- in their separate, and individual capacities.
-- Abraham Lincoln, Fragment on Government (July 1, 1854)
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Re: The Cost of Commuting Leading to Foreclosures

Unread postby Eli » Tue 23 May 2006, 11:10:49

It is really not the cost of commuting that is hurting these people it is the fact that they have bought too much house.

I have a friend that was in serious financial trouble he had 125,000 in car loans,credit card debt up to his eyeballs and was bouncing checks.
He even talked to a lawyer about filing bankruptcy.

Well luckily for him things turned around for him in his business in a big way and this was just over the past couple of months.

Did he pay off some debt and get out from under some of his bills?

Hell no!

He took his new found cash and got a bank to give him a loan for a half million dollar home and he is trying to finagle 20,000 into the deal so he can furnish the place.(If you can't afford to furnish a 500,000 dollar home it is a safe bet that you can't afford the house either.) The guy was maxed out before and is on his way to maxing out again. The only thing that has changed is he has longer rope now to hang himself with.
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Re: Economics of long commutes

Unread postby DoctorDoom » Tue 06 Jun 2006, 20:17:28

One problem I see with making purely financial calcuations about long commutes is that it ignores likely crisis-response measures such as rationing. A lot of people seem to think they'll be able to pay $5 or even $10 / gallon and still make a go of it. At some point, though, scarcity will cause the government to step in with rationing in order to ensure that dwindling fuel supplies go to essential uses, e.g. military, police, fire, agriculture, and long-haul movement of goods, especially food. Personal vehicles will be near the bottom of the list, just above airlines and monster-truck rallys. It won't be price that ultimately kills those long commutes, it'll be 5-gallon-a-week rations.
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Re: Economics of long commutes

Unread postby dub_scratch » Tue 06 Jun 2006, 21:47:30

Right DrDoom, the regime of motor fuel rationing is a sure thing during the coming oil shortage, especially when one considers the alternative: namely having our economy go down the toilet before gasoline curtailment as the public is willing to pay whatever fuel price to get to work. Rationing would be the smart move because it would force curtailment where there is a lot of room-- room being those extra seats in the fleet of cars jamming up the freeways at rush hour.

Besides that there is a motor fuel price that will kill long commutes. It's the same price that kills the economy first.
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Re: Economics of long commutes

Unread postby MaterialExcess » Sat 15 Jul 2006, 15:07:44

Yep, my biggest concern is rationing. Even with the current high gasoline prices, it is still a fairly small percentage of my income. I can afford to pay another couple dollars per gallon. I cannot afford to get by on 5 gallons/week though.
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Re: Economics of long commutes

Unread postby ubercrap » Mon 17 Jul 2006, 09:13:34

$this->bbcode_second_pass_quote('MaterialExcess', 'Y')ep, my biggest concern is rationing. Even with the current high gasoline prices, it is still a fairly small percentage of my income. I can afford to pay another couple dollars per gallon. I cannot afford to get by on 5 gallons/week though.


I don't think you need to worry about that. I disagree with some of the other posters as I think the more likely scenario to worry about is the slow cumulative effect of everyone buying gasoline instead of other things, causing a recession or depression, causing one's (maybe your) job to go bye-bye. I don't think the rationing would be brought about in time, only as a response to economic crisis.
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Re: Economics of long commutes

Unread postby MaterialExcess » Thu 20 Jul 2006, 21:53:33

$this->bbcode_second_pass_quote('ubercrap', '')$this->bbcode_second_pass_quote('MaterialExcess', 'Y')ep, my biggest concern is rationing. Even with the current high gasoline prices, it is still a fairly small percentage of my income. I can afford to pay another couple dollars per gallon. I cannot afford to get by on 5 gallons/week though.


I don't think you need to worry about that. I disagree with some of the other posters as I think the more likely scenario to worry about is the slow cumulative effect of everyone buying gasoline instead of other things, causing a recession or depression, causing one's (maybe your) job to go bye-bye. I don't think the rationing would be brought about in time, only as a response to economic crisis.


Yes, that is another concern. The fact that I work in the food distribution industry makes it even more troubling.
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Re: Economics of long commutes

Unread postby hull3551 » Fri 18 Aug 2006, 14:12:53

I’ve been following this thread on and off since inception. One thing I never see mentioned (that I’m aware) is the true price of gasoline. Yeah, it’s $3/gallon at the pump. But what do I need to earn to pay the three dollars?

For me, at least 30% of my gross earnings is taken out in the form of taxes, FICA, benefits, etc. Consequently, a $3/gallon price of gasoline truly costs me ~$4.30/gallon in earnings.

The only way thins would not hold true would be for someone filling their tank up with income earned tax free.

Just a thought.
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Re: Economics of long commutes

Unread postby FairMaiden » Tue 29 Aug 2006, 13:07:22

Two points: the automobile isn't the reason the tram died in the city - Ford and GM plotted to buy up all the tram lines and rip them up to force folks to purchase vehicles. They were later fined $5 for it. Also, the city's industry was dirty and smelly so the rich started the "suburbs" to get away from it.

Also, the Ford Explorer brand new gets 18 mpg...the '02 version will get 13 mpg (I'm getting these numbers from their site)...and thats assuming the vehicle has had regular maintenance to keep it in OPTIMAL working order...something I seriously doubt for most vehicles.
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Americans commute earlier and longer: study

Unread postby joewp » Tue 17 Oct 2006, 16:11:23

Don't look for demand destruction or conservation from the US any time soon. We're getting jobs further away from home even as energy prices climb.

$this->bbcode_second_pass_quote('Reuters', '
')NEW YORK (Reuters) - Americans are leaving home earlier to get work, fewer are walking, and more are driving alone, according to a study of commuting trends released on Monday.

The study, published by the Transportation Research Board, found people are also taking longer to reach their workplaces, with the number of people with commutes lasting more than 60 minutes growing by almost 50 percent between 1990 and 2000.

Alan Pisarski, author of the study 'Commuting in America III,' said the average national travel times among the nation's 128 million commuters grew to 25.5 minutes in 2000 from 22.4 minutes in 1990 and 21.7 minutes in 1980.

He said latest census data also showed that more Americans were leaving for work between 5 a.m. and 6:30 a.m. with men making up the majority of early-morning commuters.

"It's much more a product of the transportation system than the fact that they have an early starting time," Pisarski said.

More at link above


Is it any wonder why there was actually an increase in gasoline demand even though prices topped $3/gal? These people have to drive or they lose their house and go hungry. They'll cut back on everything else before they stop going to work.
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