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Post up your Mortgage payment.
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borris
Guest
$800 month rent w/o utilities
heavy_duty
New member
rent is not a Mortgage FYI
mountain muscle
New member
$1350 + utilities/mo rent for a 2 bedroom, 2 bath house with enough yard for my boys.
Not ready to buy yet.
Not ready to buy yet.
heavy_duty
New member
LOL I guess Americans think rent is Mortgage.....oh well... post up your rent then.
btw your rent is paying somebody's Mortgage
btw your rent is paying somebody's Mortgage
mountain muscle
New member
heavy_duty said:
okay smartass.
$0 then.
BTW the housing market sucks here now and chances are work will make me move. So rent it is.
dead_reggin_storage_fashi
New member
heavy_duty said:
both are figured as REO
I got a neg amt loan cuz I shouldnt live the place I do!!!
dead_reggin_storage_fashi
New member
mountain muscle said:
esp in colorado it is real bad. home values are down in the dog shit. you are smart my friend, hold off. you have done your homework
typically your rent would be more than your mortgage payment for the same home. so your thinking is backwards here. if i pay $1500/mo for my mortgage, to rent the same house, it would be probably $2,000 or morePICK3 said:But if rent cost you $650/mo and a morgage would be $1500/mo and you invest the difference ... what's the better deal
not to mention that owning a home is an investment. an apartment is not. when you leave, all you have to show for all those payments is a security deposit if you're lucky.
H
heatherrae
Guest
Well, I'm looking at getting out of this place and moving into a place on a lease option where the owner is putting aside a portion of the lease payments against the balance on the home. The lease is for $1400/mo, 8% interest, amortized over a term of 30 years. Of course he wouldn't be carrying it for 30 years.
dead_reggin_storage_fashi
New member
PICK3 said:But if rent cost you $650/mo and a morgage would be $1500/mo and you invest the difference ... what's the better deal
good point. most feel home values only go up. It has been that way over time but as of recent most home values are down as a large % of ppl owe more on there home then what is it actually worth. which sucks. One big perk of owning is the tax right off of interest and hoping on the value going up.
it is a case by case study of rent vs own. and there is not type of mortgage that is the answer all. thats why we have fucking 200 types of loans
As of recent many home owners had no right to own a home (right in the sense not enough income or assets)
dead_reggin_storage_fashi
New member
Smurfy said:
usually opposite.
payment vs payment renting is cheaper.
H
heatherrae
Guest
That is just crazy. I'm looking to get a 3300 square foot home for 215,000. Kentucky is inexpensive.mightymouse69 said:
in this area of new orleans, called marigny/bywater, next to the french quarter, close to the mississippi river, historic holmes of unique design built in the 1800's, there was little/no flood damage from hurricane Katrina.
prices, already steadily and quickly rising for the past 5 years before katrina, rose much much much higher for undamaged, unflooded historic homes.
in the past few months, prices have dropped sharply, almost back to the (still inflated) prices of pre-katrina.
hurrricane katrina was a dividing line for so many things here in new orleans.
prices, already steadily and quickly rising for the past 5 years before katrina, rose much much much higher for undamaged, unflooded historic homes.
in the past few months, prices have dropped sharply, almost back to the (still inflated) prices of pre-katrina.
hurrricane katrina was a dividing line for so many things here in new orleans.
Raptorex
New member
Click here and find your equivalent property
http://re.boston.com/newhomes/list_...etro Boston&SearchBy=regionid&SearchFor=27030
http://re.boston.com/newhomes/list_...etro Boston&SearchBy=regionid&SearchFor=27030
PICK3 said:
depends on your tax situation..
here in minnesota we have builders selling new homes 30-40% below what they sold the same home for 8 months ago..
the home is already built, just sitting there waiting for someone..
that's 120-200K off the price they were getting last year.. i want to buy one, but the neighbors would hate me..
dead_reggin_storage_fashi
New member
Smurfy said:
well I have read you lived in MD/dc area?
in your area taxes and insurance a mortgage will be more if those are included into the payment.
most of the time when a home owenr who rents out a home, the rent they charge DOES NOT COVER there mortgage payment on that property and banks only use 70% of the income for debt to income ratio.
for example Jonnie sacks rents out his home for $2000 a month. Chances are his mortgage payment with taxes and insurance is $2200 a month. When Jonnie uses his rental income to qualify for another loan the banks only use 70% of his rental income. Ie on the income portion it will read only $1400 income from the property
i bought about 3 years too late to cash in on the really big bucks, but should still make a decent profit when i sell. i have it listed for sale now, just to see what kind of offers i get......no need to sell now and in no hurry....who knows? all it takes is one person......... 
Raptorex
New member
rnch said:i bought about 3 years too late to cash in on the really big bucks, but should still make a decent profit when i sell. i have it listed for sale now, just to see what kind of offers i get......no need to sell now and in no hurry....who knows? all it takes is one person.........
did you know our most gorgeous town (right on the ocean) is almost 100% gay...best place on earth for the good life
Provincetown, MA
dead_reggin_storage_fashi
New member
PICK3 said:
imo you could be better renting
you have more cash flow, no real tie down to a property. the market for home values are down. by you renting you have more cash flow which you can invest. yes you dont have the tax write off but think of much more cash flow you have.
chances are if you bought a home you would occur more debt elsewhere. IE buy nice shit, home repairs and since your monthly payment is higher due to a mortgage and you will have more bills this may lead to more stress too. will you get back what you invested into a home out of it at the end? no one knows
but you being single and wanting cash flow with no hassle and you have a smoking deal on a rental, you are doing the right thing
Raptorex
New member
PICK3
New member
rnch said:
Every homeowner I know in the area ended up better than before Katrina. Combined insurance funds, FEMA, and Road Home payments resulted in a new reconditioned home with a higher value than it started.
Of course the peeps I knew fell on the positive side of the great divide rnch mentioned.
I'm a loser and staying at my family's "vacation house" for the winter while i button up this academy i'm in.
no payment, no roomates, just house chores. about 2750 sq feet, 3-4 acres, surrounded by woods and a golf course. home was bought for 75k in 1978, appraised at 275 k a few yrs ago...market in michigan took a major jh1, would never sell now
no payment, no roomates, just house chores. about 2750 sq feet, 3-4 acres, surrounded by woods and a golf course. home was bought for 75k in 1978, appraised at 275 k a few yrs ago...market in michigan took a major jh1, would never sell now
dead_reggin_storage_fashi
New member
javaguru said:
so true for example
(this is sad I can figure out a rough mortgage payment in my head)
$200,000 30 yr fixed loan your payment is going to $1200 at 6%
then add in your taxes and insurance. lets just say insurance is $600 annual
so $1200 is now $1250 a month
then if your taxes are 4k a year like in the midwest where you live add another $333 a month
so $1200 is $1583. then maybe add any HOA dues too.
$1600 a month can be $$$ then add any upkeep too
dead_reggin_storage_fashi
New member
Gambino_Von_Moltke said:
want to trade lives?
sadly, i am reluctantly considering moving back to Wonder White Bread Metairie IF i sell the bywater money pit...the combination of higher utilities, higher car and home insurance and the ongoing political stupidities here are dimming the joys of historic home ownership and close acess to the french quarter.PICK3 said:Every homeowner I know in the area ended up better than before Katrina. Combined insurance funds, FEMA, and Road Home payments resulted in a new reconditioned home with a higher value than it started.
Of course the peeps I knew fell on the positive side of the great divide rnch mentioned.
dayum but the suburbs are effin' DULL, though.....
life IS a compromise...........
so you wanna be closing in on 30 yrs old and not own a home? bro i feel behind par right about now.dead_reggin_storage_fashi said:
my saving grace is that this place is willed to me and i will always have a roof over my head.
but nothing to be proud of, just luck of birth
PICK3
New member
rnch said:sadly, i am reluctantly considering moving back to Wonder White Bread Metairie IF i sell the bywater money pit...the combination of higher utilities, higher car and home insurance and the ongoing political stupidities here are dimming the joys of historic home ownership and close acess to the french quarter.
dayum but the suburbs are effin' DULL, though.....
life IS a compromise...........
I'd stay put. I know I give you shit about your neighborhood, but that place will be a gold mine when you retire.
I'd also put it to your tenant a little harder.
just sayin
dead_reggin_storage_fashi
New member
Gambino_Von_Moltke said:
just be lucky you dont owe more then what your home is worth like half of Oakland and Wayne county. there is nothing we can do for this ppl whose home values are so bad they cannot refi.
owning a home is part of the american dream so do it if you want but you know it bring more stress and tie down more of your money. I mean fuck bro you live for free which is awsome, why send me a check once a month if you can get by for free?
dont hurry into home ownership if you are 100% ready. I get foreclosure phone calls all fucking day.
javaguru
Banned
Over the years I've seen so many people screwing up with their home ownership. Not budgeting insurance and taxes. Putting too much money into re-modeling a starter home. Paying too much for an old home when they could have built a new one for a little more money. "The American" dream is one of the best marketing systems out there.dead_reggin_storage_fashi said:
dead_reggin_storage_fashi
New member
javaguru said:
you are telling me. I have ppl crying to me they cant afford there monthly payment. I didnt force you buy that home! It sucks but it is life. the fed gov should not step in. that is a bad move.
I see ppl get approved for a mortgage where 50% of there income pays the monthly mortgage. 50% seems to be norm these days.
so you are salaried at 48k a year. (4k a month) they buy a home where the payment is 2k a month (this is all before federal and state income taxes) then since there payment is so high they live off credit cards, always doing home improvements as well. they dont have any savings, they have cc debt to add.
again it is all a case by case study
captainahole
New member
No mortgage house paid for.
dead_reggin_storage_fashi
New member
Smurfy said:
things are tight these days
investors on wallstreet who sell and buy mortgage backed securities.
just because you are approved for something doesnt mean you should go to the max limit. Have some self control ppl and think it out. Because you are approved for a 20k credit card, you dont go spend 20k?
self control. be rational.
bran987
New member
People are waaay too tied to the idea of home ownership. It's simply an investment that lets average people use leverage, but depending on the market that can work to your advantage, or not.
For example, in Dallas, homes appreciate at an average rate of ~3% historically, but we also have 3% annual property tax, so unless you are buying in an area that you somehow can guarantee will grow faster than normal, it's a wash, and with the added expenditures of house upkeep can actually put you way behind the game.
That is the case in many markets, for lots of other reasons than solely the one I highlighted above as well.
Interesting recent article:
Why Rent? To Get Richer:
http://articles.moneycentral.msn.com/Banking/HomebuyingGuide/WhyRentToGetRicher.aspx?page=all
For example, in Dallas, homes appreciate at an average rate of ~3% historically, but we also have 3% annual property tax, so unless you are buying in an area that you somehow can guarantee will grow faster than normal, it's a wash, and with the added expenditures of house upkeep can actually put you way behind the game.
That is the case in many markets, for lots of other reasons than solely the one I highlighted above as well.
Interesting recent article:
Why Rent? To Get Richer:
http://articles.moneycentral.msn.com/Banking/HomebuyingGuide/WhyRentToGetRicher.aspx?page=all
letsrun4it
New member
3500 including property taxes mixed in
Selfcentor
New member
Free...STILL live at home...haha
calveless wonder
New member
bran987 said:
a.) depends on the market
b.) tax write off is significant
most people in NYC don't own, even those who make millions a year. they may own a house somewhere else, but not in Manhattan.
you have to be a shitty investor or being buying in a poorly picked area to not cover your property taxes over the long term
heavy_duty
New member
LOL at EF peeps thinking it's only Americans who post here or that every other North American country is in the same situation as the USA.
javaguru
Banned
The UK is having problems as well.heavy_duty said:
http://business.guardian.co.uk/houseprices/story/0,,2193108,00.html#article_continue
IMF: Britain at risk of US-style house price crash
Larry Elliott, economics editor
Wednesday October 17, 2007
Guardian Unlimited
Britain risks the prospect of a US-style crash in its house prices as the credit crunch in the financial markets takes its toll of a heavily over-valued property market, the International Monetary Fund warned today.
In its half-yearly health check of the global economy, Washington-based IMF said the housing market in the UK was even more over-priced than that in America before its recent prolonged decline.
"Housing markets have boomed in a number of fast-growing countries, most notably Ireland, Spain and the UK, with rapid price rises and sharp increases in residential investment relative to GDP exceeding even those observed during the US housing boom", the Fund said in its World Economic Outlook.
Some increase in house prices, the Fund said, was justified by changes in economic fundamentals such as lower interest rates, the rise in the number of single-person households and rising incomes.
It added, however, that the model it used showed that in the US real house prices had risen by about one-third more than explained by fundamentals and that the over-valuation in Britain was even more pronounced.
"The unexplained share of house price increases is assessed to be still larger in a number of other countries, including Ireland, the Netherlands and the UK."
While stressing that there was "considerable uncertainty" about the estimates because of factors such as immigration, the IMF concluded that "taken at face value, the estimates suggest that a number of advanced economies' housing markets outside the United States could be vulnerable to a correction."
The IMF said that five increases in interest rates from the Bank of England since August 2006 had already contributed to "some cooling" of the UK's housing boom, adding that "recent developments are likely to have a further dampening impact, particularly if credit availability were to be tightened".
The Fund sent out a gloomy message to the chancellor, Alistair Darling, as he prepares to travel to Washington for his first IMF meeting.
Labour is relying on the economy remaining strong in order to win back public support after the on-off general election saga, but the Fund said Britain's sharp increase in prices coupled with the tendency of consumers to finance spending from re-mortgaging their homes in a rising market made the UK economy especially vulnerable to a property crash.
Estate agents in the UK have been reporting falling prices for the past two months, while the monthly snapshot of the property market from the Halifax also showed a decline in prices in September.
The IMF said some easing in the UK property market was desirable but while downgrading its forecast of growth in Britain next year by 0.4 points to 2.3% it expressed concern that the correction could go too far.
"Could a housing correction in western Europe be as deep as in the US? The extent of house price over-valuation may be considerably larger in some national markets in Europe than in the US, and there would clearly be a sizeable impact on the housing markets in the event of a widespread credit crunch."
The IMF said, however, that there were reasons to believe that a crash might not materialise. Europe had not seen such a marked deterioration in lending standards as the US, where many of the loans offered to people with poor credit ratings have turned sour over the past few years. In addition, countries like Britain had seen demand for homes boosted by the arrival of overseas workers at a time when supply was constrained by strict planning laws.
"First, housing markets in western Europe have generally avoided sub-prime mortgage origination and the deterioration of lending standards observed in the US.
"Second, a number of country-specific factors, including strong immigration and supply constraints, are likely to continue to support housing sectors in particular national markets."
The Fund said the recent financial turbulence had increased the risk of a more drawn-out crisis in the US housing sector, which could spread to the wider economy.
"Tightening credit conditions could affect a broader range of households and further curtail effective demand for housing. And house prices could decline more sharply than currently expected with implications for residential investment and consumer spending."
The danger, the IMF, added was that the contagion would spread from the US to Europe. "At the same time, credit conditions may also tighten in some of the western European countries - because of their large exposures to asset-backed commercial paper and continuing strains in short-term funding markets - and this could have a significant bearing on the housing market in these countries."
javaguru
Banned
biteme said:
Plot created from Robert Shiller's data of home prices from the second edition of his book Irrational Exuberance (book), Princeton University Press, 2005.
Robert Shiller's plot of U.S. home prices, population, building costs, and bond yields, from Irrational Exuberance, 2d ed. Shiller shows that inflation-adjusted U.S. home prices increased 0.4% per year from 1890–2004, and 0.7% per year from 1940–2004, whereas U.S. census data from 1940–2004 shows that the self-assessed value increased 2% per year.
http://en.wikipedia.org/wiki/United_States_housing_bubble
bran987 said:
That' not true, is it? House value $400,000 Taxes $6000/year.
House Value goes up $12,000 this year. = 3%
Taxes goes up $180 this year. = 3%
Buying a house is not neccessarily an investment. It is also a place to live. (lol duh) I used to rent in a comfortable 2bd 2 bath apartment, but me and the wife would constantly argue about making too much noise. I'd always keep the TV volume down and she'd put it up. I'd stuff a towel in her mouth while having sex, and her bf would take it out. It sucked.
Not until we bought our house, did I really start living freely. I bought my fisrt Surround sound system, big screen toys in the yard for the kids. Pool etc... It's a lifestyle as well as an investment. If you plan on living somewhere 7-10 years +, then it's OK to buy a house. If you could afford it, it';s worth it IMO.
It does have mainetnance invilved. If you don't like mowing your own lawn, then maybe you should rent or buy a townhouse. I personally love home ownership.
I bought my house for $120k and it's valued at $400k now. Yes, like someone said earlier, it's leverage. Most people will never be able to leverage anything but a house, so why not do it.
Having said that, the housing market IS in a downturn. When will it end, who knows? I do know that it's a lifestyle choice. Apartments suck IMO. But that's just a personal preference like I described above.
Look at any 10 and 20 year history of RE prices. You will make money on RE. If you plan on buying for 3 years, then forget it. It's not 2003!
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