How much is your rent /mortgage?

[gonelifting]

It never fails to amaze me tie and time again -- how so many people have HIGH mortgage rates. Which is fine.

But it also invariably winds up being 75% of their takehome per month. Meaning at the end of the month they got like $300 to their name.

Is that how one should live a life? I don't think so. Way too many Americans buy houses in a nutshell, they *can't* afford. All in the name of "investing". Real estate folks, for obvious motives, want you buy as expensive of a house as you can.

And nowadays, the temptation to buy that expensive house, cuz all the cheap houses are in ghetto areas and look like total trash -- is extremely high.

There is truth to what you`re saying, but also, There`s no other investment for the average Joe where he can put 2-3-5% down and leverage hundreds of thousands of dollars. Not only are they`re house values growing at 3% 5% or much more per year, but they`re also leveraged as well. Makes a lot of money.

 

[Razorguns]

>Makes a lot of money

Yeah, but in other news the bubble i just read has burst. Meaning those who overpaid last month or last year are finding their house values are dropping like flies. Meaning they're LOSING money every month now. They're fucked. We could see a crisis, especially in big urban areas like LA soon if this keeps up.

I feel sorry for anyone buying a house in LA now. That $600k house could be worht $550 next year. Mortgages don't come with GAP insurance.

 

[Lao Tzu]

Indianapolis real estate is great. i was thinking of getting a 60k duplex and renting out half for maybe $400 or so, it would cut my payment on mortgage/insurance/taxes down to a couple hundred a month. Real estate is cheap everywhere in indiana though. I saw a 2002 built, 3000 sq ft house for 190k in a small town near where i grew up. I think the nearby mini-mansions with indoor pools and 6 bedrooms that are under 30 years old only go for 350k or so.

Does anyone know what city has the highest real estate? I thought it was Tokyo.

 

[Lao Tzu]

>Makes a lot of money

Yeah, but in other news the bubble i just read has burst. Meaning those who overpaid last month or last year are finding their house values are dropping like flies. Meaning they're LOSING money every month now. They're fucked. We could see a crisis, especially in big urban areas like LA soon if this keeps up.

i hear its going to get alot worse when the baby boomers retire and have to sell their houses. several million houses will be on the market and the only buyers are 20 somethings just out of college will cause prices to drop.

 

[Lao Tzu]

I was shocked to find houses in Indy go for 30 and 40 and 50 grand. My dad bought a house for 50K last year. Why would anyone rent?

When you throw in property taxes, maintenance costs, insurance, etc. the cost can go up. Rent (if you have roommates) is about $250 or so in indiana. thats in the populated areas. in the isolated areas rent (if you have a roommate or 2) is closer to $150/month. And that rent covers maintenance, insurance and property taxes.

 

[SanFrancisco]

Amazing prices nordstram. I will buy something just to rent it out. I don't even need to make a profit. If i buy something for 35K i will put 50% down and finance the rest, maybe a 5 year mortgage (which comes out to about 300 bucks a month or less) and i may even just borrow the money from my Dad. My only concern is renting to someone in the ghetto who isn't going to pay or who will fuck with the system or the house. i am excited about moving forward withthis plan though. Where were you thinking of buying nordstram?

 

[Lao Tzu]

Well nordstram was thinking of either Fort Wayne or Indianapolis. I think real estate pricing is the same in Ohio, kentucky, and about 20+ other states as it is in Indiana though. I don't know enough about the real estate market in indy right now or the particular neighborhoods to know where to invest, as this will be years away. I'm just diong research right now. Other towns like South Bend seem good, but property taxes are alot higher there than in other places. But i saw a semi-nice 4 unit complex for 80k in south bend. Living in one and renting the other 3 would be really nice, but im not nearly up to speed enough on local real estate, house maintenance, etc. to determine if that would be a good investment.

Primary goal was, after i graduate, to get a duplex w/15 year mortgage in Indy, rent out half, live cheap and gain enough equity on the property to invest in other real estate properties. Preferably multi unit as the cost/income ratio is higher on duplexes than on single family units.

Have you browsed realtor.com?

 

[bran987]

yep, tokyo most expensive in world

u should do a lot of market research before u invest

 

[hardrock]

$700 for 900 sq ft 1 bdrm 1 bath apt.

 

[IwouldSlamU]

820 for 2bedroom 2 bath in N scottsdale so we each pay 410