Home Owners Thread

[Corbic]

I own a home. I paid under 6 figures for it and it gets the job done. I've been working professionally for 8 years now and I make good money.

Now I'm in Detroit and I'm chilling at the hotel. I turn on HGTV (I don't have cable at home) and I was hoping to catch a cool DIY project. However the channel is a never ending loop of young couples crying about not getting granite countertops and picking between a house that is $670,000 which is $70k over budget or the "fixer upper" for $500k and putting another 120k into it.


WHAT THE FUCK DO THESE PEOPLE DO FOR A LIVING?!?!

Thats what the show should be on!

Who pays enough that you can hack $3-5k a month for JUST A MORTGAGE!

[WanganRunner]

IDK around here, and in my field (commercial real estate), it's not uncommon for people to get $65-75k fresh out of undergrad. Throw a few years of raises onto that, then multiply it by two for a couple, and you can buy a fair amount of house.

That said, in this market (DC), a $500k house isn't much of a house.

[Phlip]

I bought my house in 2009 while making a considerable amount less than I make right now. I watch these shows and get a little depressed with how they treat shit like marble floors and granite countertops like people like I do with starting a garden or making a table from $50 of repurposed materials.
Yeah, I hate those bitches.

$500k in NC is a 5000+ ft² mini mansion on a golf course.

[redline racer510]

$350k here in the bay area gets you a 3 bed 2 bath house approx. 1600sq/ft and a small backyard. Yea in SF you need to be making atleast $150k a year to buy a "nice" house.(I understand that is subjective). Rent in downtown SF averages between $2500 and $5k a month for something not roach infested and free of mold. You people on the east coast got it good in terms of housing.

[DreamN]

Fucking hate California for how overpriced homes are. I have cousins near the east coast. Paid something like $350k for something that pretty much resembles homes than would sell for nearly a million out here. It's nuts.

[defcon86nwh]

102k for mine @ 1700sq foot. 2 acres and a 2 car garage. It's a little older, but I've replaced most everything now.

[Phlip]

$350k here in the bay area gets you a 3 bed 2 bath house approx. 1600sq/ft and a small backyard. Yea in SF you need to be making atleast $150k a year to buy a "nice" house.(I understand that is subjective). Rent in downtown SF averages between $2500 and $5k a month for something not roach infested and free of mold. You people on the east coast got it good in terms of housing.

That first house you described is my house, but I might have a little more yard than you described.
$94k right as values were shitting the bed. I intend to be under 75k left within a year from now.

102k for mine @ 1700sq foot. 2 acres and a 2 car garage. It's a little older, but I've replaced most everything now.

I was JUST about to say "that's NC/SC/TN prices right there" before I noticed your location.

[AFSil80]

I own a home. I paid under 6 figures for it and it gets the job done. I've been working professionally for 8 years now and I make good money.

Now I'm in Detroit and I'm chilling at the hotel. I turn on HGTV (I don't have cable at home) and I was hoping to catch a cool DIY project. However the channel is a never ending loop of young couples crying about not getting granite countertops and picking between a house that is $670,000 which is $70k over budget or the "fixer upper" for $500k and putting another 120k into it.


WHAT THE FUCK DO THESE PEOPLE DO FOR A LIVING?!?!

Thats what the show should be on!

Who pays enough that you can hack $3-5k a month for JUST A MORTGAGE!

I'm sure part of it is b/c it's reality TV, but then I'm sure that most of it is b/c hardly anyone here in America seems to know how to live within their means. They'll take on a mortgage for a 4,000 sq foot house while eating on paper plates and sitting in folding chairs in the living room.

All some people care about is the image. And they don't care how far into debt they go, or how far behind they fall in payments, as long as they maintain that image of being successful with a big house and a BMW. Living the dream until the bank calls their number and the repo man shows up.

$500k in Savannah would be a piece of property on the river with a dock all to myself.

[soundboy]

thats the truth,
I prefer to live in a small place and be happy i dont have a mortgage to pay, as how the economy is going.
Going to bed with the idea of how much bills and loans you need to pay isnt a nice feeling,

[CrimsonRockett]

Fucking hate California for how overpriced homes are. I have cousins near the east coast. Paid something like $350k for something that pretty much resembles homes than would sell for nearly a million out here. It's nuts.

It all comes down to location. My girlfriend and I were very fortunate to have found the property we bought. 1000 sq ft 2 bed/1 bath, 6000sq ft lot, huge front/back yard with a long driveway and a wide two car garage. $240k. Also very lucky to have ended up in the best area in the city. Super quiet, well kept/maintained homes, no fences around the front lawn. Drive through LA, nothing but chain link fences and door bars. Good indication of where not to live.

It did need work, but we've invested roughly $30k or so on our remodel so far. Interior/exterior completely redone, new stucco/window trim, interior completely refinished, new bathroom, new kitchen, furniture, plumbing, etc. Didn't exactly cheap out on the remodel either, just got really good deals from family friends on the labor.

Right now, the property value is back up to $315k based on the previous condition(which was horrible). Homes similar to ours with a fresh remodel are priced around $360k and at its peak was worth $450k.

Our mortgage is below $900/month (taking into account the down payment we had) and our monthly expenses are next to nothing. So, there's no need for us to earn loads of money to enjoy our lives. We have plenty left over at the end of the month that we apply toward the principal of the mortgage. Can't beat paying off a 30 year mortgage in 7.

But, yeah. Having worked in banking, I saw first hand how people buried themselves into these ridiculously large mortgages and high monthly payments. My thought process was pretty simple going into my home purchase. I'd better be damn sure I can afford this payment for the next 30 years.

[ZenkiKid]

^ Man you totally lucked out.

I already know that I am going to take out a 30 year FHA loan. Its pretty damn hard to save up the 20% when simply being alive in CA is expensive as it is. I know Im gonna have to pay the PMI but it is what it is.

[!Zar!]

Fucking hate California for how overpriced homes are. I have cousins near the east coast. Paid something like $350k for something that pretty much resembles homes than would sell for nearly a million out here. It's nuts.

Californians on average make more.

So California homes on average cost more.

That's pretty much what it all comes down to.

Nobody wants to live in the boonies somewhere on the east coast.

So in return, people will make less and pay less for their house.

[Gnnr]

Californians on average make more.

So California homes on average cost more.

That's pretty much what it all comes down to.

Nobody wants to live in the boonies somewhere on the east coast.

So in return, people will make less and pay less for their house.

Nice theory, but its wrong.

http://en.wikipedia.org/wiki/New_York_locations_by_per_capita_income
http://en.wikipedia.org/wiki/California_locations_by_income

[Matej]

Hope to never own a house in my life.
I would rather pay someone rent while they send people to fix the roof and pipes and mow the lawn and whatever other terrible work a house requires, and then when I decide to move somewhere else I can just go without being tied down by a house.
I understand that there are people who do not mind or even enjoy housework and being homeowner is their ultimate dream, but I am definitely not one of them.

An acquaintance of my parents' keeps trying to get me to buy 10K$ houses in the ghetto so I could fix them up and sell them for profit, but I would rather kill myself.

[CrimsonRockett]

Different preferences. I love having my own garage, my own driveway space, etc.

House maintenance isn't much when you stay on top of it.

[DreamN]

It all comes down to location. My girlfriend and I were very fortunate to have found the property we bought. 1000 sq ft 2 bed/1 bath, 6000sq ft lot, huge front/back yard with a long driveway and a wide two car garage. $240k. Also very lucky to have ended up in the best area in the city. Super quiet, well kept/maintained homes, no fences around the front lawn. Drive through LA, nothing but chain link fences and door bars. Good indication of where not to live.



That's what kills me. That's actually a small living space at that price.

Also, prices are higher in the 818 :(

We can afford our home. Your home pretty much compares to mine. You have about 100 sq ft or so more living space, but my lot is 7k sq ft.

Just been looking around for larger homes and to live comfortably and not stretching out a budget it's just not doable right now, in CA anyway.

[lude4life13]

I feel like in socal, it is nearly impossible for the younger generation without having a money gift from parents or family. My wife and I both went to college, both graduated with decent paying jobs in a professional services firm by the time we were 23, both went to a CSU (little to no school debt), and we can't even dream about home ownership for at least 5 years. We also don't spend a lot of money on anything besides bills. The reality for us is that we WILL NOT buy a house until we have a sub $1800 mortgage (including the FHA loan insurance stuff), so we would need close to a six figure down payment to get in that range with current prices.

The more I think about it, the more I think we will be renters until shit crashes again, which I believe will happen within the next 10 years. People these days are becoming more confident in intangible securities, companies with "innovative" ideas, commodity prices like gold are decreasing again, and once there is a "scare" again, I feel like houses etc will decrease in value again.

That being said, I don't know a single co-worker with a comparable age who has bought a house without their down payment being a wedding gift from their families. As time goes on it will continue to be harder and harder for the lower class to move up, and there will be a bigger gap between upper and middle/lower.

[redline racer510]

Average down payments in my area are 50-60k, who in there right mind expects people to have 60k in cash to blow on a down payment?

[tricky_ab]

As for people getting in over their heads, I can see how it happens. When we were getting our pre approval from our bank, they gave us a rather high number based on our credit scores, equity, and down payment. We didn't spend nearly what the ceiling of the amount was while shopping for our second home.

Alright I guess I'll post up a little story or sorts.

Our first house was a townhouse that was 1500 Sq feet, single car garage that was a brand new build. Now it's in the suburbs of Toronto (30-45 minutes out), and it's a younger family area.

Anyways, it was $330K, with a down payment of $35K. It was custom in the sense that we were able to select whatever we wanted to place in it (and pay for it). My wife and I were saving while living with my parents for a few years while we graduated school. I'm thankful that my parents were super encouraging during the process, and did not take a dime from us (even though we would try for the longest time).

So it took around 2 years from signing the papers till we had the keys in hand. We LOVED it! It was our first place! I ended up finishing the basement and learned a lot along the way from my father in law, and from the trades people who I subbed out specific jobs.

Anyways, once we decided to have a child the place felt a bit too small, so we decided to move. We wanted to live in the same area, so we looked at new builds and 1 year old and less houses that were for sale in the area.

We ended up finding a place that we liked that was a about 12 months old, and ponced since my wife was VERY pregnant and we needed as much time to plan things out. The price? $480K. It's a 1900 sq foot 3 bedroom, 3 bath single car detached. Yeah, it was a bit much. But not out of the realm of what we could afford to pay for comfortably. Anyways fast forward a bit, and we sold our townhouse for $422K. Again, this was about a year old at this time. So if you're doing the rough math, we made $120K in equity in a year!

So there really was not much of an increase to our monthly mortgage rates, since we gained a bunch of equity in the process.

Some of you would be shocked to hear how much houses in my area cost. The house across the street from me is a 1650 Sq foot double car garage home that just sold for...
...

.... $560K!?! The record for that same model sold just down the street for $574K!!! The same model house we are currently living in is selling between $530-$550K. It's nuts! We have agents constantly asking us if we would like to sell.

The average cost of a detached home in my town is $520K. I don't get it, I'm just happy that we got in before the madness really kicked off.

We love the area a lot... but to get into a larger house with a double car garage with the amenities (upgrades) that we like, the house would be $600-700K Easy.

We plan to live here for the next 10 or so years, so we will see what happens... Though we regularly check listings in the area, so you never know HAHA!

I posted a bunch of pictures but then I took them down since no one else was posted examples of their homes in the areas with costs associated. I do find it interesting how the cost of homes varies from city to city in Canada, let alone the US. I would KILL for some of the costs that some of you guys pay for a house.

[BenRice]

Wow, it's interesting to hear that you guys are experiencing the same thing on the otherside of the world as us.

The wife and I are 30yo and worked and rented in Auckland (largest city in New Zealand) until two years ago when we moved back to her home town and bought. Pay rates in Auckland were 30-40% higher though so the pay cut sucked.

We bought a 10yo 1700ft 3bd 2bth with double garage on a flat 6500ft at the end of a culdesac for a little under US$330k and have spent around US$7k of updating. We went in with over 30% deposit and after 2 years now have 50% equity, and repayments of NZ$300/week (or US$1150/mth). Because we bought well within our means we can live on one income if we need to and i get to keep the S13 and keep taking it to the track.

We had the wife's uncle who is an estate agent in Auckland come visit and valued our place, if in Auckland and in one of the outlying areas, at high NZ$600's. Despite having over $100k in deposit after saving for 8 years we couldnt get a reasonable house in a reasonable area of Auckland. Housing in desirable places worldwide is spiraling so high, yet small town stuff seems to be staying the same.

But it was a good move in the end: it takes me 15min to get to work (as opposed to 45min), we are 1km from the beach, I'm closer to our country's best racetrack and the climate is way better.

My advice: work wherever you get paid the most and rent there, then when you want to settle down, move somewhere quieter and buy there as your deposit will get you more house and less loan.

[Phlip]

Foreclosures within 2 miles of my house are damning anything that might RESEMBLE the building of equity.
My aunts live 3 blocks from me in the oldest house in the entire neighborhood and a realtor told them that my grandparents' house would be worth triple what it is in almost any other neighborhood in the city. I am riding this out and dumping all extra cash into principle payments. I will either wait on the market to sell and upgrade or stay my ass right here forever.

[Corbic]

Well you have three possibilities.

A. You die. In which case nothing matters.

B. You sell the house.

C. You live there till it's paid off.

In B, if everyone goes "Ok", you either sell it for what you owe, sell it at a price that you "Break Even" from all the money you've spent or you turn a small profit.

In all three you come out ahead had you been renting for 3-10 years. Even if you just barely get out of your loan, you at least built credit and had more living space then renting at that monthly payment would have provided.

At least I keep telling myself that. At $750 a month I am not renting a house with 2 bath, 2 bedrooms, finished basement and detached 2+1 car garage.


In C, once the house is paid off that is $$$ in your pocket each month. I originally had a 30 year mortgage at $480 a month, once I got promoted I refinanced at 3% (from 5%) for 15 years and my mortgage bounced to $750. I have less then 9 years left. So, in the unfortunate event that I'm still fucking stuck here, I'll be 39 with a paid off house. If I move in a few years, I may just keep it and rent it to Norte Dame students as I'm within biking distance of campus.

[enkei2k]

come to NYC, you'll experience severe sticker shock.

[Corbic]

come to NYC, you'll experience severe sticker shock.

Never. I don't even have any desire to visit anything Pennsylvania North.

Terrible weather, crowded, nazi Governments, over priced. Zero appeal. At least Cali has the landscape and weather.

[TMW]

$500k in NC is a 5000+ ft² mini mansion on a golf course.

this is why nc is so nice, cali prices are crazy

heres just some examples of what you can get for that kind of money here in raleigh

http://www.fmrealty.com/real-estate/clayton/420-charleston-drive/1852434?rowNum=24&searchID=2a290516-962b-4d23-a013-a10257d896bf&sortBy=priceDesc&pageSize=20&page=2&displayPhoto=exterior

http://www.fmrealty.com/real-estate/durham/4-thornblade-court/1943344?rowNum=4&searchID=2a290516-962b-4d23-a013-a10257d896bf&sortBy=priceDesc&pageSize=20&page=1&displayPhoto=exterior

edit: house hunters is on right now haha its an episode in chicago. 1500 sq ft bungalow that pretty much needed an entire remodel for 355k...

[ZenkiKid]

I feel like in socal, it is nearly impossible for the younger generation without having a money gift from parents or family. My wife and I both went to college, both graduated with decent paying jobs in a professional services firm by the time we were 23, both went to a CSU (little to no school debt), and we can't even dream about home ownership for at least 5 years. We also don't spend a lot of money on anything besides bills. The reality for us is that we WILL NOT buy a house until we have a sub $1800 mortgage (including the FHA loan insurance stuff), so we would need close to a six figure down payment to get in that range with current prices.

The more I think about it, the more I think we will be renters until shit crashes again, which I believe will happen within the next 10 years. People these days are becoming more confident in intangible securities, companies with "innovative" ideas, commodity prices like gold are decreasing again, and once there is a "scare" again, I feel like houses etc will decrease in value again.

That being said, I don't know a single co-worker with a comparable age who has bought a house without their down payment being a wedding gift from their families. As time goes on it will continue to be harder and harder for the lower class to move up, and there will be a bigger gap between upper and middle/lower.

Yup. I am in the same boat as this guy. Every person who I know either bought a house or is living somewhere bad ass obviously got a financial boost from their families.

Me and my girlfriend dont have the same luxury when it comes to financial support and to be honest it kind of scares me as to what the future holds, but at the same time I know that this is how my parents started out when they first got here.

2 weeks ago I had a talk with a childhood friend of mine who works at an engineering firm. He too agrees with me with renting being dumb because of the fact that youre essentially throwing money away and making someone else rich off of your own money when you could be building equity.


Im not going to lie. Im not going to move out till my GF and I can afford our own mortgage. Like what I said earlier I truly believe that renting is stupid other than getting you used to the "shock" of making such a huge payment every month. So I will probably be at the earliest 28, but I will have a decent enough downpayment to bring my overall monthly to 2k including utilities + a little extra every month.

So until then ill be saving my money and waiting until

1. My gf finally finishes nursing school.
2. When the housing market is where I like it to be when I buy.

[ineedone]

My neighbors just sold their condo (1bed 1 bath, 650 sq ft) for 445k. This is in D.C. though. Probably the craziest housing market second to NYC.

You have to pay to live in an awesome city. Personally, I like having shit to do and I am willing to pay the premium to live within walking/biking distance to all of it.

[tricky_ab]

I actually like seeing what your money gets in your area...

This is what $500K gets you in my area... (http://beta.realtor.ca/propertyDetails.aspx?PropertyId=14583535)

[Mr.Doback]

It is all based on location, to you 600k may seem like a lot of money, which it is, but there is a vast amount of affluent individuals/families in this world. For example, the average income for my area is a little over $100k/yr.

If you don't have kids/major fiscal responsibilities, it isn't too hard to get approved for a loan that large. My buddy just bought a house for $450k and that is with a 65k/yr salary, no wife/kids and we are both 2 years out of school and make the same income.

[Corbic]

If you don't have kids/major fiscal responsibilities, it isn't too hard to get approved for a loan that large. My buddy just bought a house for $450k and that is with a 65k/yr salary, no wife/kids and we are both 2 years out of school and make the same income.


See I have no wife or kids, no student loan debt and I make more than that. What did he do, take out a 5yr ARM?


I don't see the point on buying if you are NEVER going to pay it off, that's just a financial burden.

He is likely taking home $3-3,400 a month and at 30 years his mortgage has to be $2,800-3,000.

So best case he lives off $600 a month, worst case he is going into debt each month?

[TMW]

I actually like seeing what your money gets in your area...

This is what $500K gets you in my area... (http://beta.realtor.ca/propertyDetails.aspx?PropertyId=14583535)

that place looks nice and new, but also pretty small.

am i missing the square footage in the ad or does it just not list it?

[tricky_ab]

that place looks nice and new, but also pretty small.

am i missing the square footage in the ad or does it just not list it?

It's not listed in the ad. I would say that it's at the most 1600 sq feet, I think it's closer to 1500 sq feet.

[VROOOM]

See I have no wife or kids, no student loan debt and I make more than that. What did he do, take out a 5yr ARM?


I don't see the point on buying if you are NEVER going to pay it off, that's just a financial burden.

He is likely taking home $3-3,400 a month and at 30 years his mortgage has to be $2,800-3,000.

So best case he lives off $600 a month, worst case he is going into debt each month?

you can rent rooms out too. my friends gets 1450 a month renting 2 out of the 3 rooms at his house out.

[g35gabby]

Paid 100k for 4b/2B/2 car garage. 1550 SQ ft and a big back yard w/ screened in patio. was all redone inside when we bought it and metal roof.

Had options to buy decent homes above and below in the same or less price range. There were a lot of houses on the market at the time, and interest rates were stupid low. ended up buying at 3.75%.... Couldn't be happier to own my own home. even with insurance rates going up a little I still don't pay $800/month and have a 2 car garage for all our toys and tools.

Florida may fail a lot, but property is dirt cheap right now.

[ZenkiKid]

at 30 years his mortgage has to be $2,800-3,000.



Holy crap even for a married couple I would think a mortgage payment that high is outrageous.

[ZenkiKid]

If you wanted to open up a long terms savings plan (like 3-4 years at least) What would you guys recommend putting money into? I want something that has a higher APY than a regular savings account.

[ManoNegra]

220k for a 4 bedroom, 2 bathroom, 2 car garage with a large driveway on a cul-de-sac in Pomona back in 2009-10.
Originally was to be an investment to fix up and sell but after a while I started to like the area more and more - quieter, less traffic, parks, shopping, etc.
Father and sister moved out over a year ago and went back to LA and now it's just me and the house.
I'm not going to front, 2k in mortage and bills a month doesn't leave me the same freedom to pursue other interests (cars) that that once had but at the same time I was starting to feel like I was outgrowing wasting money of on fixing old buckets.
Houses in my area are now selling for 400 to 450k. I can't complain.

[JBB]

Property prices in my area are very low currently, it's a great time to buy, really.

This, although about 2 hrs away and a different market, is still a really good example:

Paid 100k for 4b/2B/2 car garage. 1550 SQ ft and a big back yard w/ screened in patio. was all redone inside when we bought it and metal roof.

Had options to buy decent homes above and below in the same or less price range. There were a lot of houses on the market at the time, and interest rates were stupid low. ended up buying at 3.75%.... Couldn't be happier to own my own home. even with insurance rates going up a little I still don't pay $800/month and have a 2 car garage for all our toys and tools.

Florida may fail a lot, but property is dirt cheap right now.

While I sit here spending $1,000/mo in rent for a 900 sq.ft. 1/1 apartment and single detached garage, I could be owning my own "NICE" house.

If I had a SO to split bills with, I would most definitely purchase a house. However, I have worked in the foreclosure and bankruptcy field of law for 7 years now (always defending the creditors) and it's a little scary to imagine having that burden. But then again, people here are getting away with not paying their mortgages for years. Like, literally enough time to save enough money for a down payment on a new place.

Also, as someone mentioned about how all people are concerned about is image, you are totally right dude! You would not believe how many people are in bankruptcy with BMW's, or 3 or 4 cars...even 3 or 4 properties.

You can actually get away with a lot right now if you are willing to go through bankruptcy....lien strips and cramdowns are ridiculous

[g35gabby]

While I sit here spending $1,000/mo in rent for a 900 sq.ft. 1/1 apartment and single detached garage, I could be owning my own "NICE" house.


That was the deal when we got married. was "cheaper" to buy than the rent. Less we wanted to rent in a horrible neighborhood. Plus, we are both gear heads so having a garage for our cars to work on was 1 of only two requirements when we were shopping.

2 car garage and at least 2 beds were what we wanted. the company who owned our house and redid it all bought it at auction for 66k, slapped some paint on it and fixed a few things, and sold it. I would have liked to get it evne cheaper, but as it is most of my friends hate how "cheap" our house is.

[DreamN]

I see amazing homes in Florida get auctioned for really cheap. Market out there is booming for investors it seems.

[Mr.Doback]

you can rent rooms out too. my friends gets 1450 a month renting 2 out of the 3 rooms at his house out.

Bingo, he is renting it out and gets about $1k a room which will cover about $2k of his mortgage. I have to ask him specifics, he put down around $45,000 that he had saved up.

[CrimsonRockett]

That's what kills me. That's actually a small living space at that price.

Also, prices are higher in the 818 :(

We can afford our home. Your home pretty much compares to mine. You have about 100 sq ft or so more living space, but my lot is 7k sq ft.

Just been looking around for larger homes and to live comfortably and not stretching out a budget it's just not doable right now, in CA anyway.

Not necessarily. It depends on your needs when you think about it. At this point and time, it's just my girlfriend and I. My house/layout is actually very similar to what I grew up in with my parents. Same square footage for the house with the exception of my lot being a couple hundred feet larger. Main difference being that there was 5 of us living under that roof.

Don't get me wrong, I'm glad they made the master bedroom/bathroom addition several years ago, but I really try my best to live within my means (of course enjoying myself from time to time).

Sort of remember posting these in the premie section, but here's my remodel.

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo1-9.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo2-9.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo3-7.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo4-5.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo5.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo2-10.jpg

http://i266.photobucket.com/albums/ii246/CrimsonRockett/Mobile%20Uploads/photo3-8.jpg

Bar lighting has been finished since then.

Still lots of decorating to do to fill the empty space, but wanted to keep it pretty simple.

Got rid of the wall separating the kitchen/dining room and added the bar instead. Eliminated a hallway closet to make the bathroom bigger.

Both bedrooms were also completely redone, but nothing all that special about them.

I'll hold off on the exterior pics until I wrap up those projects. Having my entire driveway redone, pergolas built, paving sections, outdoor grill, etc. Garage should be pretty neat once I wrap it up also.

[turbronegro]

Hell I moved from SE Virginia and thought homes were to expensive to buy. Now I live in SoCal and will def NOT buy a house here. No way in the world.

[Om1kron]

everyone I know that lives in az owns a nice fucking house, but it's az. I will never own a home, there is just too much going on with my money that a house would just fuck up. I make a good ass living too, just shit stacks up, having 2 new cars doesn't help either.

[TMW]

crimson rockett looks nice, must have been lots of work

color scheme isnt my style but looks a lot better than it did before

[DreamN]

Werd. Nice updates Johnny.

A little on the cramped side for us seeing as we have a 3 year old and two large breed dogs. Plus she likes to entertain so there is need for space for what we would consider ideal. The most important part is the fact that I don't have a double car garage. :(

[jamg]

real financial freedom is not being sucked into those mortgages.

have the cash flow to be able to put a fat down payment on a million dollar home, and not have to worry about the stresses of paying it off.

[simmode1]

With my wife being a real estate agent, It used the shock the hell out of me seeing ppl lease condos for $3000+ per month in DFW. I know some of you guys are die hard about wanting to stick with renting an apt or leasing a house, but man... If you do it right, buying property is WAAAAY more bang for your buck. You just have to stay within your means! For you guys wanting to stick to apt life, look into buying an inexpensive condo. The amount you stand to save in rent spread out over a 30 or even 15 year mortgage could be enourmous. I had a friend buy a nice, updated $90k condo in DFW with a 30 year fixed mortgage. Looked like a nice 1 bedroom apt. Her monthly payments were fucking $300/month. And if she ever changes her mind about staying there, she can rent it out because a comparable apt would easily lease for $900/month. Just wrap your brain around what you could be doing if your housing costs were about a 1/3 of what you currently pay in rent... Secure yourself some down payment assistance & go change your life, for real.

[tricky_ab]

real financial freedom is not being sucked into those mortgages.

have the cash flow to be able to put a fat down payment on a million dollar home, and not have to worry about the stresses of paying it off.

I wasn't going to live at home to save enough cash in order to buy a home cash. I had enough for the 20% down, and we stayed within our comfort zone for spending. Just buy within your means, and you'll be fine...

I'm rather liquid right now, but I'd rather have my money doing more lifting then in my mortgage that I can comfortably make my monthly payments on.

[g35gabby]

I wasn't going to live at home to save enough cash in order to buy a home cash. I had enough for the 20% down, and we stayed within our comfort zone for spending. Just buy within your means, and you'll be fine...

I'm rather liquid right now, but I'd rather have my money doing more lifting then in my mortgage that I can comfortably make my monthly payments on.

This, it is how I was able to afford a new car, a house, and paying cash for an r32 to be imported. we "qualified" for a lot more than we spent, but being comfortable and really leaving within what we made has been such a blessing.

[simmode1]

^^^It shocked me when my realtor wife told me how much house I could qualified for on just my income alone. It was waaay more house than I could have used when I was single. So many years wasted renting & flushing cash down the toilet. For you guys thinking this stuff is too far away for you, you might be surprised. There is a reason why owning property is part of the American dream. It's one of the eaisest ways I know of to build wealth as long as you don't exceed your means.

[ZX88]

how do people afford these thing. Good credit.

[rundown240]

Damn CrimsonRockett, that's a nice remodel! I would like to one day remodel my house in Vegas.

I grabbed my house when the housing bubble had burst. I was overseas in Okinawa for 2 years and 1 year in S. Korea. I then got stationed in Las Vegas (Sin City). I picked up a 2,942 sq ft house on a 7,405 sq ft lot. It's a 2 story, 4 bd, 3 full bath, 3 car garage, and built in '07 for $171k. My payments are $920 and I rent it out now (because I'm stationed somewhere else) for $1500. I got lucky, but I guess Vegas and Phoenix where big housing boom areas that developed quickly but ended up having a shit ton of forclosures.

I miss living in a house that is mine.......(well it's technically the banks until paid, lol)

I've always thought about having a house with more land than anything though. HOA's suck balls. Vegas isn't too bad though, but it's nothing but desert landscaping. At least it cuts down on the water bills. Now let me tell you about my electric bill during the summer! lol

[Corbic]

how do people afford these thing. Good credit.


Good credit does give you $4k a month to pay for it.

I have outstanding credit but No-Fing way to I swing a $130k restoration job.

[LEG1T]

Not necessarily. It depends on your needs when you think about it. At this point and time, it's just my girlfriend and I. My house/layout is actually very similar to what I grew up in with my parents. Same square footage for the house with the exception of my lot being a couple hundred feet larger. Main difference being that there was 5 of us living under that roof.

Don't get me wrong, I'm glad they made the master bedroom/bathroom addition several years ago, but I really try my best to live within my means (of course enjoying myself from time to time).

Sort of remember posting these in the premie section, but here's my remodel.

Bar lighting has been finished since then.

Still lots of decorating to do to fill the empty space, but wanted to keep it pretty simple.

Got rid of the wall separating the kitchen/dining room and added the bar instead. Eliminated a hallway closet to make the bathroom bigger.

Both bedrooms were also completely redone, but nothing all that special about them.

I'll hold off on the exterior pics until I wrap up those projects. Having my entire driveway redone, pergolas built, paving sections, outdoor grill, etc. Garage should be pretty neat once I wrap it up also.

Dude, I love the interior colors you went with. You have very nice style my friend !

[exitspeed]

Yeah, it's crazy how different parts of the country or even different cities in the same area vary so much.

I was watching that House Hunters where they were in Chicago and the prices area crazy just compared to Milwaukee (where I live). And I love and HATE Chicago. I love Milwaukee. But on that show there was a POS bungalow going for $350k and a decent one for $400. Heck I can build a brand new amazing house here for $400 just 15 miles out of downtown (in Milwaukee traffic that would be about a 15 minute drive). But then we have areas right near downtown like Fox Point, and Whitefish Bay (or White Folks Bay as it's called) where a house like the one in Chicago would be $500k.

As far as remodeling, I don't quite get their costs. I think for the shows they have a budget and not all factors are built into the cost as they would a normal consumer. THAT or labor is extremely cheap in CA where most of these houses are renovated. One of my clients locally is a top remodeling company and they do bathrooms alone for $60k. And I'm not talking gigantic bathrooms, just nice ones. So again, I don't think the renovation costs quoted on the shows are accurate or if they are they are accurate to CA only.

My wife and I are finally at a point where we want to buy another house and we're looking in the $300k range. Another thing that comes into play that I don't know if anyone mentioned yet is Taxes. We have really high taxes here. We wrote and offer on a house in a very sought after neighborhood (in Milwaukee Co where the taxes are crazy) just a few weeks ago and the taxes were $6700/ year. That made up almost $600 of the mortgage we would have had. Now if we bought a house for the same price in Waukesha Co (next to Milwaukee where we used to live), City of New Berlin where we used to live, the taxes are like $4500. That only adds $375 to our mortgage. Obviously that makes the home more affordable. The only reason we even considered the higher tax home was because of the house being on the most beautiful park in the state of WI (a State that receives multiple awards every year for our parks) and the house being built buy a specific architect, etc etc.

But yeah, buying and affording a house is a big decision. But owning a home has so many advantages to renting. God I can't wait to get out of the place (renting) I'm in now. :rant2:

[g35gabby]

Yeah, it's crazy how different parts of the country or even different cities in the same area vary so much.

I was watching that House Hunters where they were in Chicago and the prices area crazy just compared to Milwaukee (where I live). And I love and HATE Chicago. I love Milwaukee. But on that show there was a POS bungalow going for $350k and a decent one for $400. Heck I can build a brand new amazing house here for $400 just 15 miles out of downtown (in Milwaukee traffic that would be about a 15 minute drive). But then we have areas right near downtown like Fox Point, and Whitefish Bay (or White Folks Bay as it's called) where a house like the one in Chicago would be $500k.

As far as remodeling, I don't quite get their costs. I think for the shows they have a budget and not all factors are built into the cost as they would a normal consumer. THAT or labor is extremely cheap in CA where most of these houses are renovated. One of my clients locally is a top remodeling company and they do bathrooms alone for $60k. And I'm not talking gigantic bathrooms, just nice ones. So again, I don't think the renovation costs quoted on the shows are accurate or if they are they are accurate to CA only.

My wife and I are finally at a point where we want to buy another house and we're looking in the $300k range. Another thing that comes into play that I don't know if anyone mentioned yet is Taxes. We have really high taxes here. We wrote and offer on a house in a very sought after neighborhood (in Milwaukee Co where the taxes are crazy) just a few weeks ago and the taxes were $6700/ year. That made up almost $600 of the mortgage we would have had. Now if we bought a house for the same price in Waukesha Co (next to Milwaukee where we used to live), City of New Berlin where we used to live, the taxes are like $4500. That only adds $375 to our mortgage. Obviously that makes the home more affordable. The only reason we even considered the higher tax home was because of the house being on the most beautiful park in the state of WI (a State that receives multiple awards every year for our parks) and the house being built buy a specific architect, etc etc.

But yeah, buying and affording a house is a big decision. But owning a home has so many advantages to renting. God I can't wait to get out of the place (renting) I'm in now. :rant2:


That is crazy high taxes compared to here. Last year were paid $775/year. The prior year it was 875. My dad built a complete log home on an acre of land and 2500sq ft, and his taxes aren't much more than 1600. It was appraised at over a million, but because he literally assembled it with his bare hands and a friend who is a contractor, it only cost about 350k to build.

[exitspeed]

And everyone's house on here a thousand times probably but since we're sharing.

Bought it for $230. Took 5 years to remodel it and basically broke even. Which we were actually thankful for since it was right after the bubble burst and people were losing their asses. When we bought the house it was not livable. It had been vacant for a couple years and in really really bad shape.

https://fbcdn-sphotos-a-a.akamaihd.net/hphotos-ak-xaf1/t1.0-9/25915_1264649022053_1906209_n.jpg
https://fbcdn-sphotos-e-a.akamaihd.net/hphotos-ak-xaf1/t1.0-9/25915_1264648942051_2819143_n.jpg
https://scontent-a-dfw.xx.fbcdn.net/hphotos-xaf1/t1.0-9/25915_1264645501965_4874443_n.jpg
https://scontent-a-dfw.xx.fbcdn.net/hphotos-xaf1/v/t1.0-9/25915_1264646821998_1266645_n.jpg?oh=5a2f86aae7e0e 7e6e9a590956a9060f7&oe=5428B326
https://scontent-a-dfw.xx.fbcdn.net/hphotos-xaf1/v/t1.0-9/25915_1264646902000_7697101_n.jpg?oh=8411809d3d7c5 88abb2402cfbd2cadbb&oe=54152D0D
https://scontent-b-dfw.xx.fbcdn.net/hphotos-xfa1/t1.0-9/25915_1264647622018_7995127_n.jpg

[g35gabby]

^ wow that is really pretty house.

[rundown240]

And everyone's house on here a thousand times probably but since we're sharing.

Bought it for $230. Took 5 years to remodel it and basically broke even. Which we were actually thankful for since it was right after the bubble burst and people were losing their asses. When we bought the house it was not livable. It had been vacant for a couple years and in really really bad shape.


You sir have exactly what I want. A beautiful house, green grass, and LAND!!! I'm envious!

Topic of sharing house. Bought for $171k in Vegas. I want land with my house! lol Had to pull image from Google since I don't have any pics since my ol computer took a crap and lost all my photos.

http://i144.photobucket.com/albums/r173/munkishine/house.jpg (http://s144.photobucket.com/user/munkishine/media/house.jpg.html)

[cured13]

Nobody here talk about the real numbers and every home owner believe that they "built equity" and can only get richer when signing that 30 years mortgage.

Tell me the real cost of living in that 2 bedroom one bathroom house without cutting on water, heat or electricity usage and then lets compare it with cost of renting similar size apartment.

I can understand if you say "it's an image thing" or "I love to stay home and work in my own garden" or "because my mom said so" but the numbers doesn't add up at least in Toronto. Less and less young couples can afford buying that house yet you want me to believe that in 5, 10, 20 or 30 years you will sell your houses and get even or make profit?

I like to visit my friends in the summer, having a beer or two at theirs backyard but feel sorry for them when the summer is over. Love the possibility of working in your own garage but there is only so much you can do there if you have assholes neighbours.

I don't know who is buying today but I know that most of the people hate math and are not good at it.

[tricky_ab]

Yeah, it's crazy how different parts of the country or even different cities in the same area vary so much.

I was watching that House Hunters where they were in Chicago and the prices area crazy just compared to Milwaukee (where I live). And I love and HATE Chicago. I love Milwaukee. But on that show there was a POS bungalow going for $350k and a decent one for $400. Heck I can build a brand new amazing house here for $400 just 15 miles out of downtown (in Milwaukee traffic that would be about a 15 minute drive). But then we have areas right near downtown like Fox Point, and Whitefish Bay (or White Folks Bay as it's called) where a house like the one in Chicago would be $500k.

As far as remodeling, I don't quite get their costs. I think for the shows they have a budget and not all factors are built into the cost as they would a normal consumer. THAT or labor is extremely cheap in CA where most of these houses are renovated. One of my clients locally is a top remodeling company and they do bathrooms alone for $60k. And I'm not talking gigantic bathrooms, just nice ones. So again, I don't think the renovation costs quoted on the shows are accurate or if they are they are accurate to CA only.

My wife and I are finally at a point where we want to buy another house and we're looking in the $300k range. Another thing that comes into play that I don't know if anyone mentioned yet is Taxes. We have really high taxes here. We wrote and offer on a house in a very sought after neighborhood (in Milwaukee Co where the taxes are crazy) just a few weeks ago and the taxes were $6700/ year. That made up almost $600 of the mortgage we would have had. Now if we bought a house for the same price in Waukesha Co (next to Milwaukee where we used to live), City of New Berlin where we used to live, the taxes are like $4500. That only adds $375 to our mortgage. Obviously that makes the home more affordable. The only reason we even considered the higher tax home was because of the house being on the most beautiful park in the state of WI (a State that receives multiple awards every year for our parks) and the house being built buy a specific architect, etc etc.

But yeah, buying and affording a house is a big decision. But owning a home has so many advantages to renting. God I can't wait to get out of the place (renting) I'm in now. :rant2:

Oh taxes... I pay about $2800 a year on property taxes. Though I can't really complain as there's a ton of new schools, parks, and recreational areas around here that are well maintained by the city. At least I can see where my tax dollars are going.

That house looks great by the way... I should dig up a few pictures of our place.

That is crazy high taxes compared to here. Last year were paid $775/year. The prior year it was 875. My dad built a complete log home on an acre of land and 2500sq ft, and his taxes aren't much more than 1600. It was appraised at over a million, but because he literally assembled it with his bare hands and a friend who is a contractor, it only cost about 350k to build.

HAHA I wish my taxes were that amount a year. And it's only going to go up once I finish the basement.

Nobody here talk about the real numbers and every home owner believe that they "built equity" and can only get richer when signing that 30 years mortgage.

Tell me the real cost of living in that 2 bedroom one bathroom house without cutting on water, heat or electricity usage and then lets compare it with cost of renting similar size apartment.

I can understand if you say "it's an image thing" or "I love to stay home and work in my own garden" or "because my mom said so" but the numbers doesn't add up at least in Toronto. Less and less young couples can afford buying that house yet you want me to believe that in 5, 10, 20 or 30 years you will sell your houses and get even or make profit?

I like to visit my friends in the summer, having a beer or two at theirs backyard but feel sorry for them when the summer is over. Love the possibility of working in your own garage but there is only so much you can do there if you have assholes neighbours.

I don't know who is buying today but I know that most of the people hate math and are not good at it.

Wait what? "Real Numbers" are the figures that you calculate when purchasing a home. Hydro and water are factored into the cost of living for your mortgage when you're getting your loan.

Building equity is applicable only when you are maintaining your current residence, and that the market is strong. It's a lot harder to get approved for a mortgage in Canada because of the new lending laws. Gone are the days of people taking 30-35 years to pay off their homes. 25 years is the longest term you can borrow for, and the CHMC is a heck of a lot stricter as to whom can borrow (and under what terms).

Banks are still somewhat unrealistic as to how the calculate what you can actually afford since they only tie hydro and water, and property taxes to the costs.

"Real cost of living" is what you make it. It's like a lot of people here have mentioned. Live within your means, and you'll be fine. Purchase a expensive home that's beyond your means, just because the bank thought that you can carry the costs, then I wish you good luck, because you will need it.

[cured13]

Just compare the bills: one year renting 2beds 1 washroom (all in) vs one year of owning that house

[g35gabby]

Just compare the bills: one year renting 2beds 1 washroom (all in) vs one year of owning that house

Mortgage: $788
Water:$26 (includes waste disposal)
Taxes (built into the mortgage payment)
Electric: Paid $137 last month in the heat of the summer

As far building equity.... My house was bought for 100k, the house across the street from me built in 69 (mine built in 89) sold for 130k cash. Last "estimate" according to Zillow puts my house in the $137k today and with the addition of all things the city is putting in (Amphitheater, Train system, and shopping district), it should only improve.

That said, I didn't buy my house for what it will be worth 10/15/20 years from now. I bought it for the market it is in, that my rent is basically controlled by me, and when I'm paying the bills.... I have something at the end.

As for rent, they are putting new apartments at the end of my block (right next to the train station that is already up and running), 1b/1B starting at the 9-1000/month. Same goes for where my sister used to live. (lets not even get into the fact there is no renters insurance in that price or doggy fees for pets)

Sure we have to mow the lawn and change our own air filters and light bulbs, but rent by and large seems to be a great deal for those renting the place out.

PS Zillow estimates we could rent our house today for $1250/month, which even that seems low consider what renting an apartment costs locally.

[LEG1T]

It should be known that renting is throwing away money.

Makes sense if your a baller or have too poor of credit to get financed. Otherwise financially... Owning > Renting

[cbeuglas]

You should base your house cost 2 1/2 times combined salary. This is a good measurement of what you can afford.

[jamg]

i have an aunt whose into property. she owns a couple shopping centers and plenty of homes that are always rented out. paid for in cash, and usually foreclosed. she always has tenants, and starts to profit after only a year. then i have other friends who have 3 $500k homes, two of which are rented out. another one just bought his first home at 28 years old, and it's a $500k house. He's got the cash to pay it all off now but he decided to put a fat down payment and just finance the rest.

so if you want to live in a very nice house and not have to worry about money, start your own business and be profitable. Lol

[sw20>>s14]

I make pretty damn good money and have accepted the fact that I won't be able to buy a house until the next bubble bursts. It's pretty ridiculous when tech bros and people from China not only outbid the asking by at least $50k, but also pay in cash. I'm remodeling my dad's house for him, already put close to $12k into it, and barely made a dent. More power to some of you, but fixer uppers definitely aren't my thing.

On top of that, actually having a shortage of houses for sale in SF and tenants beginning to require a salary and credit score threshold just to rent.

By the way, no one outside of the SF bay area gets to bitch. Ever......

[Flicktitty]

Pretty interesting thread going on.

Me and my fiance have been window shopping houses and areas for the last 6 months or so just to see what we like, dislike need and can live with. And like Exitspeed said, the area that we are from (Milwaukee area) There is a huge range in prices just within a 30-40 minute drive.

[rundown240]

Just compare the bills: one year renting 2beds 1 washroom (all in) vs one year of owning that house

Built in 2007
Bought in 2009 for $171k
30 yr fixed rate
Mortgage: $929.45 monthly (includes priciple, interest, and escrow)
APR: 3.63%
Taxes: Covered by my escrow
Insurance: Covered by my escrow
Water: ~$50, includes garbage and sewer(thanks to desert landscaping)
Electricity: ~$60 in cool months and ~$200 in hotter months
Gas: ~$50
Total: $1089-$1229 depending on the month
Zillow Zestimate (lol): $252k

(Not bad for 2,942 sq ft, 2 story, 4 bd, 3 ba, 3 car house)

In the end I'm owning my house and can do what I want with it. Plus I'm currently renting it out right now, so now I only pay the mortgage payment. My renters pay me $1,500 monthly

[CrimsonRockett]

Just compare the bills: one year renting 2beds 1 washroom (all in) vs one year of owning that house

Bought my house for $240k.

Mortgage, utilities, and property taxes all together are below $1100/month. Average rent in the area is $2,000/month.

Current property estimate is $315k based on the previous condition (prior to remodeling). A freshly remodeled property in my area with similar dimensions is $360k.

$240k + $30k (remodel) = $270k. I'll probably sink in another $30k to the house since I'm having my entire backyard redone, garage interior remodel, and new driveway.

After a year, I'm already up $90k. I can't think of another investment turning such a large profit in such a short amount of time. At the market's peak, it was worth $450k. It's obviously equity at this point, but I'd be stupid to sell it.

Definitely going to collect that rent check though once I have kids and need something bigger. After having worked as a personal banker in an upscale/high net worth area and talking to so many retired folks, the majority of them had made their money in real estate. Most still owned the first property they ever purchased. Sure, times were different back then, properties cost far less than what they do today, but interest rates were close to 20%.

[Silverbullet]

To future home buyers-
Look at how much resources you put into a car (both money, and time doing research, fixing/ect) over a course of a year. You probably could have bought a house. Not all houses are 500k. Ever since I put the car stuff on pause a couple years ago, I've gotten into real estate investing. All of my houses are under $110k and generate profit at a high performance IMO.

Most major markets (DC, NY, LA, Bay, ect) are over inflated again, however in secondary and below markets, there are still an abundance of decent priced foreclosures.

Also, there is more than one way to buy a house. You dont need to get a mortgage through a bank. You don't need an agent taking a cut. Some of the great investors out there got their start with no "real" job or much money at all. When you deal with a sale-by-owner, the two parties can get creative with financing methods.

My first house i bought on the internet through an auction about a year out of college without an agent. I had no idea what I was doing, I just winged it honestly. At the same time I bought a retired east coast drift car, and a new truck. I only needed a couple thousand for the house. Hind-sight it was stupid to buy the truck and drift car, but I wanted to make a point that you really don't need a whole lot of money to do it, and you can get creative with it.

Another point I want to throw out there, do you really need a house? Is owning a home of your own something you really want to do, or is it something someone else told you is a good thing to do? Depending on the market you live in, it is cheaper to rent. That depends on your lifestyle as well. Despite the fact that I own houses, my designed lifestyle is better suited towards renting.

[Silverbullet]

My buddy just bought a house for $450k and that is with a 65k/yr salary, no wife/kids and we are both 2 years out of school and make the same income.

Are there any details missing from that? I had a similar starting salary out of college, but was only approved for a $250k loan at the time.

If you wanted to open up a long terms savings plan (like 3-4 years at least) What would you guys recommend putting money into? I want something that has a higher APY than a regular savings account.

3-4 years is not long term. The best I've seen is roughly 1%. Even then, you're technically still loosing value assuming inflation is where its supposed to be.

If you're serious about long term, invest your money. Don't save it.

It should be known that renting is throwing away money.
... Owning > Renting
That is so wrong.

[Silverbullet]

double post

[LEG1T]

That is so wrong.

How so????

[ZenkiKid]

It should be known that renting is throwing away money.

Makes sense if your a baller or have too poor of credit to get financed. Otherwise financially... Owning > Renting

Agreed 100000%

I still live at home for this exact reason. Trying to save up for a nice downpayment and waiting on my gf to finish nursing school. Im not ashamed of it at all. I cringe when I see friends sign apartment leases and see them just simply throw their money away.

Nobody answered my previous posted question though:

If you were going to set up I guess you can say a long term "piggy bank" for a house down payment where would you put your money into? I am looking into something that has a pretty good APY. I am leaning towards a money market account but I dont know if theres anything better or not.

[exitspeed]

Agreed 100000%

I still live at home for this exact reason. Trying to save up for a nice downpayment and waiting on my gf to finish nursing school. Im not ashamed of it at all. I cringe when I see friends sign apartment leases and see them just simply throw their money away.

I wish I would have had that luxury. I rented three different places by your age and bought my house at 25.

Nobody answered my previous posted question though:

If you were going to set up I guess you can say a long term "piggy bank" for a house down payment where would you put your money into? I am looking into something that has a pretty good APY. I am leaning towards a money market account but I dont know if theres anything better or not.

I can't answer your question really. My wife and I have money in all kinds of places.

[Silverbullet]

How so????

When a person pays rent, it is not a waste of money, that is the cost of living. When you make payments for a home using a traditional bank financed method, part of that money does go towards paying off the house, but an equal or more amount goes to the bank, insurance company, the city and other services. Additionally, you take on the responsibility for maintenence. Of course it dpends on the area you are in and whether or not the numbers work out.

[Corbic]

When a person pays rent, it is not a waste of money, that is the cost of living. When you make payments for a home using a traditional bank financed method, part of that money does go towards paying off the house, but an equal or more amount goes to the bank, insurance company, the city and other services. Additionally, you take on the responsibility for maintenence. Of course it dpends on the area you are in and whether or not the numbers work out.


You also give up the flexibility of easily relocating. You also pay a realtor 6% and finci all fees. Buying a house can cost $10-20k up front and that doesn't even touch the base cost of the house.

[Silverbullet]

Yes, thanks. That is a big one and it completely depends on how one want to design his/her lifestyle.

there is no one choice fits all.

For some people, being in a place he or she is comfortable with, and have that stable job for decades to come is what he/she wants.
For others, experiencing new places and people and constantly learning new things is life.

[drift freaq]

Rules of thumb for house buying is keeping your mortgage,upkeep expenses and property taxes below what you would normally pay to rent. Now with that said Silverbullet is right. In a lot of situations these days renting is the better way to. You think you are doing something with the mortgage money because it's going there and not being squandered on rent. Like he said there are expenses some of that money is going to you never get back. Cost of living period. Ya you can try and look at a owning a House as an investment but if you do you are slipping into the same game that has a lot of people underwater now and in the last few years.
Houses are not meant to be investment vehicle. They are meant to be security so you raise a family in a nice neighborhood to send your kids to school. There is a reason a 30 year mortgage was the norm. People did not buy houses to trade up equity. Unless you are professional contractor or real estate person who specializes in buying houses fixing them and flipping them it's pure dangerous for the average consumer or home owner/ would be home owner.
There are exceptions and I know a few have spoken up here. It's just like buying and selling cars. Some can do it most cannot and fact is most should not.

People need to stop looking at houses like piggy banks. It's a roof over your head and a shelter from the storm.
Oh and there are other things to invest that yield much safer profits over the long term. Housing in this market where I live has indeed gone into another bubble. It is not as bad as the previous one but it's a bubble none the less. It will pop. If you are speculating onit you better be pretty smart to know when to pull out before it does.

Now if you went into thinking this is were I am going to live for the next 10-15'years or more and you meet the previous criteria I stated then it's not a bad thing. It may not be as great as you think though either

[ineedone]

Surprised none of you nerds posted this yet.

http://www.nytimes.com/interactive/2014/upshot/buy-rent-calculator.html?_r=0

Have fun!

[LEG1T]

Rules of thumb for house buying is keeping your mortgage,upkeep expenses and property taxes below what you would normally pay to rent. Now with that said Silverbullet is right. In a lot of situations these days renting is the better way to. You think you are doing something with the mortgage money because it's going there and not being squandered on rent. Like he said there are expenses some of that money is going to you never get back. Cost of living period. Ya you can try and look at a owning a House as an investment but if you do you are slipping into the same game that has a lot of people underwater now and in the last few years.
Houses are not meant to be investment vehicle. They are meant to be security so you raise a family in a nice neighborhood to send your kids to school. There is a reason a 30 year mortgage was the norm. People did not buy houses to trade up equity. Unless you are professional contractor or real estate person who specializes in buying houses fixing them and flipping them it's pure dangerous for the average consumer or home owner/ would be home owner.
There are exceptions and I know a few have spoken up here. It's just like buying and selling cars. Some can do it most cannot and fact is most should not.

People need to stop looking at houses like piggy banks. It's a roof over your head and a shelter from the storm.
Oh and there are other things to invest that yield much safer profits over the long term. Housing in this market where I live has indeed gone into another bubble. It is not as bad as the previous one but it's a bubble none the less. It will pop. If you are speculating onit you better be pretty smart to know when to pull out before it does.

Now if you went into thinking this is were I am going to live for the next 10-15'years or more and you meet the previous criteria I stated then it's not a bad thing. It may not be as great as you think though either

I normally agree with your posts, but here I strongly disagree with what you and Silver are saying.

We understand that rent is like a test drive and it's great for people that want that freedom and flexibility, and that's fine. However going back to my original point you can't say that renting and is financially more responsible or is a good business decision to one that can "afford to buy a home" because that is just not so. Looking at owning a home as an investment vehicle on the other hand is one thing. Most of us understand that nothing is guaranteed but paying rent is essentially paying someone else's bill except you have nothing to show for it in the end. Think about it. Yes you can move around and relocate, but you can you leverage your expenses and potentially make $$? Can you remodel, Can you sell? No, most cases no and definitely no. What exactly do you have in the end, your freedom, ok got it.

Also your notion of owning a home as being a security blanket for kids is very single sided and quite frankly just isn't so. There are many people here that still even in today's market flip coin on buying and selling or buying and renting properties for other "investment" purposes. There's a great term here that's huge among business owners, called "It takes money to make money" think about the landlord you're paying your rent check too and get back to me on all those ppl that are using homes as security blankets.

Put quite simply if you make a decision and it is within your means of affordability, the smarter thing to do is leverage what you have in attempt to have more. You can't sell what you don't own and that's the bottom line.

Risky lending has caused the housing industry to fail! Looking forward, If you can afford it after looking at your budgets/income/career, I would 100% say go out and get a house while you can. Now if your lifestyle says the latter, than by all means give that money to the landlord, the person most likely using you as his means to more.

[SochBAT]

Meanwhile, in Texas...

http://www.piiholozipline.com/UserFiles/Image/Ranch_Hqtrs_Cropped.jpg

That's about 40K for the land, in an ideal area.

[lewisfk]

I actually started a thread about home buying, but I recieved very little help. I closed on my 2500sq ft with 2 car garage and in ground swiming pool. My house had all the up grades in it. I paid 278k, I used my VA Loan. By 2015 I want to be completly of the electric grid, is anyone else of the grid?

[BenRice]

We installed a 3kw solar system at home in January but are still tied to the grid (in New Zealand btw). Due to the placement of the panels we should see no bills in summer and in winter it should reduce by 50%.

It should have paid for itself in 11 years, but in 10years if we decide to stay we will extend the house and add another 4 panels and replace the inverter, and hopefully the technology in batteries has advanced enough to allow a bank of batteries to be added to the system cost effectively.

[exitspeed]

I normally agree with your posts, but here I strongly disagree with what you and Silver are saying.

We understand that rent is like a test drive and it's great for people that want that freedom and flexibility, and that's fine. However going back to my original point you can't say that renting and is financially more responsible or is a good business decision to one that can "afford to buy a home" because that is just not so. Looking at owning a home as an investment vehicle on the other hand is one thing. Most of us understand that nothing is guaranteed but paying rent is essentially paying someone else's bill except you have nothing to show for it in the end. Think about it. Yes you can move around and relocate, but you can you leverage your expenses and potentially make $$? Can you remodel, Can you sell? No, most cases no and definitely no. What exactly do you have in the end, your freedom, ok got it.

Also your notion of owning a home as being a security blanket for kids is very single sided and quite frankly just isn't so. There are many people here that still even in today's market flip coin on buying and selling or buying and renting properties for other "investment" purposes. There's a great term here that's huge among business owners, called "It takes money to make money" think about the landlord you're paying your rent check too and get back to me on all those ppl that are using homes as security blankets.

Put quite simply if you make a decision and it is within your means of affordability, the smarter thing to do is leverage what you have in attempt to have more. You can't sell what you don't own and that's the bottom line.

Risky lending has caused the housing industry to fail! Looking forward, If you can afford it after looking at your budgets/income/career, I would 100% say go out and get a house while you can. Now if your lifestyle says the latter, than by all means give that money to the landlord, the person most likely using you as his means to more.

Agree with you. There isn't a financial advisor out there that will tell you renting is financially smarter then owning. People have their own reasons to buy or rent but if you can buy it is smarter.

The same goes for buying vs leasing a car. In the case of a vehicle it made more sense to me to lease with the particular car I own now.

[TMW]

is there already a houses/house mods pic thread?

[drift freaq]

I normally agree with your posts, but here I strongly disagree with what you and Silver are saying.

We understand that rent is like a test drive and it's great for people that want that freedom and flexibility, and that's fine. However going back to my original point you can't say that renting and is financially more responsible or is a good business decision to one that can "afford to buy a home" because that is just not so. Looking at owning a home as an investment vehicle on the other hand is one thing. Most of us understand that nothing is guaranteed but paying rent is essentially paying someone else's bill except you have nothing to show for it in the end. Think about it. Yes you can move around and relocate, but you can you leverage your expenses and potentially make $$? Can you remodel, Can you sell? No, most cases no and definitely no. What exactly do you have in the end, your freedom, ok got it.

Also your notion of owning a home as being a security blanket for kids is very single sided and quite frankly just isn't so. There are many people here that still even in today's market flip coin on buying and selling or buying and renting properties for other "investment" purposes. There's a great term here that's huge among business owners, called "It takes money to make money" think about the landlord you're paying your rent check too and get back to me on all those ppl that are using homes as security blankets.

Put quite simply if you make a decision and it is within your means of affordability, the smarter thing to do is leverage what you have in attempt to have more. You can't sell what you don't own and that's the bottom line.

Risky lending has caused the housing industry to fail! Looking forward, If you can afford it after looking at your budgets/income/career, I would 100% say go out and get a house while you can. Now if your lifestyle says the latter, than by all means give that money to the landlord, the person most likely using you as his means to more.
Wow you so missed important parts of my post. I stated what the original ideal of home owning was I did not state it was the end all be all. I also stated that if you have the ability to flip houses to make money you can.


Fact is most people can't flip houses and make money in fact a lot of times they lose just like flipping cars. Everyone will tell you can't mod a car and make money. Actually some of us do and have. same goes for houses.
Fact is I can make more money off financial investments in less time than owning a house.
Ok and don't get started about financial advisers. Fact is indeed there are financial advisors out there that will tell you that owning a house is not always the way to go.
You guys smoke the pipe of the American dream with the twist of the I want it now of the early part of this century. Fact is there a few markets in the country that have rising equity in most places equity is flat if not still somewhat negative. It does not make financial sense for all people to own homes. Jus like car leases can be favorable to owning the car and making payments.

Stop looking at from one side. Maybe my post came on strong from the opposite but it was rooted in financial awareness and facts. Do you watch the financials markets everyday? I do and I follow housing as well. All I am saying is don't just merrily jump on the idea that owning a house is better. It's not always.

Agree with you. There isn't a financial advisor out there that will tell you renting is financially smarter then owning. People have their own reasons to buy or rent but if you can buy it is smarter.

The same goes for buying vs leasing a car. In the case of a vehicle it made more sense to me to lease with the particular car I own now.

Actually Mel you are wrong here. Read what I wrote above. Oh and your comment about your car lease actually does contradict the first part of your car statement.

I will say again guys stop thinking its written in sand one way. It's not and it's not that simple or cut and dry.

I should add any homeowner is not going to like what I wrote. They bought and own a house to tell them it might not have been the wisest choice of them offends and bothers them. You could say that as well as the homeowner telling the renter he made a bad choice.

Only real difference is if I can make more off investments in ten years than the equity earned from owning a house, while paying less rent and no property taxes or upkeep costs. No realtor fees , no bank fees. Then I have probably put my money to better use than owning.
That is a fact, owning a house does not mean you are not throwing money away. It all depends on needs, costs and markets. Not all is the same in any given region of the country.

[exitspeed]

Wow you so missed important parts of my post. I stated what the original ideal of home owning was I did not state it was the end all be all. I also stated that if you have the ability to flip houses to make money you can.


Fact is most people can't flip houses and make money in fact a lot of times they lose just like flipping cars. Everyone will tell you can't mod a car and make money. Actually some of us do and have. same goes for houses.
Fact is I can make more money off financial investments in less time than owning a house.
Ok and don't get started about financial advisers. Fact is indeed there are financial advisors out there that will tell you that owning a house is not always the way to go.
You guys smoke the pipe of the American dream with the twist of the I want it now of the early part of this century. Fact is there a few markets in the country that have rising equity in most places equity is flat if not still somewhat negative. It does not make financial sense for all people to own homes. Jus like car leases can be favorable to owning the car and making payments.

Stop looking at from one side. Maybe my post came on strong from the opposite but it was rooted in financial awareness and facts. Do you watch the financials markets everyday? I do and I follow housing as well. All I am saying is don't just merrily jump on the idea that owning a house is better. It's not always.



Actually Mel you are wrong here. Read what I wrote above. Oh and your comment about your car lease actually does contradict the first part of your car statement.

I will say again guys stop thinking its written in sand one way. It's not and it's not that simple or cut and dry.

I should add any homeowner is not going to like what I wrote. They bought and own a house to tell them it might not have been the wisest choice of them offends and bothers them. You could say that as well as the homeowner telling the renter he made a bad choice.

Only real difference is if I can make more off investments in ten years than the equity earned from owning a house, while paying less rent and no property taxes or upkeep costs. No realtor fees , no bank fees. Then I have probably put my money to better use than owning.
That is a fact, owning a house does not mean you are not throwing money away. It all depends on needs, costs and markets. Not all is the same in any given region of the country.

My point was to he contradictory.

[BOROSUN]

I recently got a home appraisal because we did bunch of improvements like real wood shutters and stuff. found out my neighborhood has bunch people with loan defaults, which affect our property value as well. I only saw 3 foreclosure during that burst so, didn't think much of it. there was a lot of homes for sale. it sucks but, its not going to stop me from doing home improvements. I'm on a excellent prime area so, eventually P/V will go back up.

[tricky_ab]

I have only seen one foreclosed house, and that was when we were looking moving into a larger house (bank short sale).

Here in Canada, the only bubble I see busting in the foreseeable future, would be the condo market. In my city, there are more available then people in the market purchasing.

You can read an article about it here! (http://business.financialpost.com/2014/06/12/bank-of-canada-warns-torontos-condo-market-a-pocket-of-vulnerability-in-canadas-housing-sector/)

[Mikey213]

I live in highland park, LA. For those of you who understand, it's the age of the wave of gentrification. All you gotta do is ride on it. Looks like it's heading towards east los now.

[TMW]

so watching some house hunters right now

man... idk how some of these guys that are making all the money are letting their wives spend it all on a house they dont even want haha

do any of you guys buy houses to flip or sit on as investment properties? generally i understand its pretty high risk, but if you already have the money it doesnt seem like a terrible investment

[BOROSUN]

I always laugh when they doubt the designers.

[turbronegro]

House hunters is faked

[Silverbullet]

so watching some house hunters right now

man... idk how some of these guys that are making all the money are letting their wives spend it all on a house they dont even want haha



there are a lot of wealthy people out there!

[jamg]

im 24 now, and my plan is to dump 80% of my salary into a property home.

im going to live with parents and hopefully buy a piece of property every year for the next couple years. i've got 6 years till 30, so if i can own 8 or so, even at $1k rent a month.... that's an extra $100k-ish on top of what i would be making at my job. the good thing is that my aunt is in real estate so she knows the business as well as manages a ton of properties.

i'll be able to live my 30s with much less financial stress Lol

[STL240SXDRIFT]

I bought my house in 2008 at the bottom of the crunch. Picked up a 2,200 Sq/ft 2 story 15,000 sq/ft lot size foreclosure that was turn key ready to move in. 2 car over sized garage. Purchased for $135,000, appraised out at $175,000 before purchase, since then comps in the area are selling for $215,000 (2012-2014 #'s). Ours w/out in ground pool appraises at $205,000 (eight house neighborhood, 11 houses have in ground pools). Owing is the way to go, keep a close eye on the market and you can find something that can generate some equity. Plus I am always looking at foreclosures, but once they hit the market someone jumps on it faster than me. :/

Would love to find a piece of land with some acres, build a detached garage for activities, build the wife her dream home, shoot anything I want, and ride dirt trails.

[simmode1]

im 24 now, and my plan is to dump 80% of my salary into a property home.

im going to live with parents and hopefully buy a piece of property every year for the next couple years. i've got 6 years till 30, so if i can own 8 or so, even at $1k rent a month.... that's an extra $100k-ish on top of what i would be making at my job. the good thing is that my aunt is in real estate so she knows the business as well as manages a ton of properties.

i'll be able to live my 30s with much less financial stress Lol
Shit, I hope you plan to use a property management company. Maintaining multiple rental properties isn't for the faint of heart. A lot of ppl can't hack it, cut their losses & get out of the game.

Be prepared!

[Silverbullet]

im 24 now, and my plan is to dump 80% of my salary into a property home.

im going to live with parents and hopefully buy a piece of property every year for the next couple years. i've got 6 years till 30, so if i can own 8 or so, even at $1k rent a month.... that's an extra $100k-ish on top of what i would be making at my job. the good thing is that my aunt is in real estate so she knows the business as well as manages a ton of properties.

i'll be able to live my 30s with much less financial stress Lol

good plan!

1k profit a month? that is asking for a lot. Don't forget about putting cash aside for maintence and operating cost (ideally 50% of the rental)

My highest performing property brings in $1100 profit a month from rent. Putting aside half of that, and paying for operating costs such as paying for taxes and insurance, its only yielding a couple hundred a month. This is pretty typical for an investment rental property unless there was some creative owner-finance purchase method involved

There are a lot of resources out there from many different perspective. Make sure you use them all during your on-going learning process.

[sw20>>s14]

i've got 6 years till 30, so if i can own 8 or so, even at $1k rent a month...

I'd hate to be in your shoes when property tax hits each property.

[PMG 705]

Buy one property per year? I am quite certain you dont know what this plan requires. Banks don't just loan out money year after year to the same person with the same salary/equity/portfolio. Unless you're in the mid six figures salary this plan is folly.

In any case, I dont know your financial situation and I wish you all the luck and hope you only take one year to add to your property holdings.

[akaina240]

do u reccomend buying a home for someone whos got like 100k cash?
Im currently still living at home, only make like 2k a month....but the thing is Im not the type of person to stay in an area for too long, i like to try new things and move to new places until I find "home"

[EJ8 944]

Never noticed this thread before, but after reading some of the first pages, it reminds me why I moved out of CA. Home prices are crazy. Moved back here (Northern Utah), I'm now building a custom home in a new sub development, 1600 sq ft, 3 bed, 2.5 bath, 2 car garage, nearly $20k in upgrades, and I'm still gonna be paying less for it monthly than I was for a 900 sq ft, 1 bedroom apartment in West Hollywood. I get that the cost of living is higher there, but I'm making the same money here as I was there, lucked out I guess, as I seem to have much more disposable income now.

It really depends on where you live, I think the prices of homes/rent increase with how desirable it is to live there. Southern California is the king here if you ask me; mild weather all year long, every amenity that you can imagine, every type of neighborhood you can imagine, it has something for everyone really.

[Silverbullet]

It really depends on where you live, I think the prices of homes/rent increase with how desirable it is to live there. Southern California is the king here if you ask me; mild weather all year long, every amenity that you can imagine, every type of neighborhood you can imagine, it has something for everyone really.


Hearing from other investors who live in expensive areas, they typically do not invest locally. Many investors have never seen their own properties in person due to investing in profitiable areas that are a good distance away.

[BOROSUN]

Never noticed this thread before, but after reading some of the first pages, it reminds me why I moved out of CA. Home prices are crazy. Moved back here (Northern Utah), I'm now building a custom home in a new sub development, 1600 sq ft, 3 bed, 2.5 bath, 2 car garage, nearly $20k in upgrades, and I'm still gonna be paying less for it monthly than I was for a 900 sq ft, 1 bedroom apartment in West Hollywood. I get that the cost of living is higher there, but I'm making the same money here as I was there, lucked out I guess, as I seem to have much more disposable income now.

It really depends on where you live, I think the prices of homes/rent increase with how desirable it is to live there. Southern California is the king here if you ask me; mild weather all year long, every amenity that you can imagine, every type of neighborhood you can imagine, it has something for everyone really.

sorry, south California is not the king. the bay area have the most expensive areas to live. they also get paid higher then the south.

[Kuma]

I bought my house in 2008 at the bottom of the crunch. Picked up a 2,200 Sq/ft 2 story 15,000 sq/ft lot size foreclosure that was turn key ready to move in. 2 car over sized garage. Purchased for $135,000, appraised out at $175,000 before purchase, since then comps in the area are selling for $215,000 (2012-2014 #'s). Ours w/out in ground pool appraises at $205,000 (eight house neighborhood, 11 houses have in ground pools). Owing is the way to go, keep a close eye on the market and you can find something that can generate some equity. Plus I am always looking at foreclosures, but once they hit the market someone jumps on it faster than me. :/

Would love to find a piece of land with some acres, build a detached garage for activities, build the wife her dream home, shoot anything I want, and ride dirt trails.

My friend's nephew from STL bought a 2 story cabin on 168 acres with a river running through it for $300k near Bunker, MO. They use it as a weekend home, but it's a pretty awesome property. All the water is spring water, but you have to cross 3 creeks to get there, so not s-chassis accessible.

[redline racer510]

Build a bridge lol.

[tricky_ab]

Funny I had seen this thread near the top of the page.

My wife and I are currently seeing what's on the market, and good lord is our area expensive!

We would like a double car garage house so that's $550K+. The houses we've seen that we like were closer to $600K.

I'm telling you that you Americans are lucky when it comes to house prices.

do u reccomend buying a home for someone whos got like 100k cash?
Im currently still living at home, only make like 2k a month....but the thing is Im not the type of person to stay in an area for too long, i like to try new things and move to new places until I find "home"

If you're the type to up and move (or your job requires movement) then I wouldn't do it, unless you LOVE the area.

Keep saving, and once it's time to settle down, you'll have a bunch of cash to throw towards it.

[sw20>>s14]

I'm telling you that you Americans are lucky when it comes to house prices.


Depends on who you talk to. Average rent in SF for an apartment is inching towards $3200. Rent for places around my work is around $4500-$5500+.

There was a 7% decrease in house sales MoM because people are getting priced out of the market. The median price for a home in SF is now $1M, it's the first time ever the median has hit 7 figures. Let's not even talk about housing prices, lol.

[tricky_ab]

Depends on who you talk to. Average rent in SF for an apartment is inching towards $3200. Rent for places around my work is around $4500-$5500+.

There was a 7% decrease in house sales MoM because people are getting priced out of the market. The median price for a home in SF is now $1M, it's the first time ever the median has hit 7 figures. Let's not even talk about housing prices, lol.

I should have rephrased or been more specific. There are areas that command top dollar for houses. San Fransisco is an outlier in the US while talking about rent and house prices...

$605K over asking in the Bay? (http://blog.sfgate.com/ontheblock/2014/05/02/overbid-madness-glen-park-home-sells-for-605k-over-asking/#23018101=0)

Yeah I get that the cost of living is higher/lower depending on which state you're living in, but that's the same in Canada (Province wise). It's just what I've seen from friends and family who are currently living in the US, your dollars go a LOT further then here.

Oh and the median house price in my town is $499K :hs:

[dac2828]

I know housing prices generally in our country in the 1980's were half or less than half of what they are now. Where does everyone think they'll be in 30 years from now?

[exitspeed]

Just bought a house. Close at the end of next month. Before pics coming soon. Going to do an entire kitchen remodel (white cabinets, carrera marble countertops, recalimed barn door sliders, etc etc). Acre lot in Brookfield, WI which has homes from about $150k to a few Million. We got a bargain on ours at $255k. It's surrounded by $300-$400k houses.

Looking forward to getting the kids out of the white trash area we live in now.

[LEG1T]

Just bought a house. Close at the end of next month. Before pics coming soon. Going to do an entire kitchen remodel (white cabinets, carrera marble countertops, recalimed barn door sliders, etc etc). Acre lot in Brookfield, WI which has homes from about $150k to a few Million. We got a bargain on ours at $255k. It's surrounded by $300-$400k houses.

Looking forward to getting the kids out of the white trash area we live in now.
Congrats man, do post pictures of progress. It's always awesome starting from a bargain deal and getting mods at a stock price.

[exitspeed]

Congrats man, do post pictures of progress. It's always awesome starting from a bargain deal and getting mods at a stock price.

Yeah it is. This will be my second home remodel. I'm staying in this one though until all these damn kids finish school.

[charizard240s14]

Californians on average make more.

So California homes on average cost more.

That's pretty much what it all comes down to.

Nobody wants to live in the boonies somewhere on the east coast.

So in return, people will make less and pay less for their house.

This is very false . And the east coast isn't the boonies

[exitspeed]

Depends on who you talk to. Average rent in SF for an apartment is inching towards $3200. Rent for places around my work is around $4500-$5500+.

There was a 7% decrease in house sales MoM because people are getting priced out of the market. The median price for a home in SF is now $1M, it's the first time ever the median has hit 7 figures. Let's not even talk about housing prices, lol.

So what does a professional or couple make that affords to live in a $3200 month apartment? I'm curious how it compares to wear I live and my income.

[BOROSUN]

^^ the techies... low and med-income residential renters are getting shafted. they're throwing big money so pretty much everything goes up.

its good and bad.

but, for home owners...hells yeah.

[tricky_ab]

Just bought a house. Close at the end of next month. Before pics coming soon. Going to do an entire kitchen remodel (white cabinets, carrera marble countertops, recalimed barn door sliders, etc etc). Acre lot in Brookfield, WI which has homes from about $150k to a few Million. We got a bargain on ours at $255k. It's surrounded by $300-$400k houses.

Looking forward to getting the kids out of the white trash area we live in now.

Congrats on the home purchase!

[Gnnr]

Just bought a house. Close at the end of next month. Before pics coming soon. Going to do an entire kitchen remodel (white cabinets, carrera marble countertops, recalimed barn door sliders, etc etc). Acre lot in Brookfield, WI which has homes from about $150k to a few Million. We got a bargain on ours at $255k. It's surrounded by $300-$400k houses.

Looking forward to getting the kids out of the white trash area we live in now.


Garage pics or GTFO :p

[exitspeed]

Garage pics or GTFO :p

With my boring ass Pathfinder in it? :2f2f:

[sw20>>s14]

So what does a professional or couple make that affords to live in a $3200 month apartment? I'm curious how it compares to wear I live and my income.

I can't answer that to a T, but what some of these techies make would definitely surprise you. I'm also in tech (e-commerce) and make a humble living, but some of these guys would blow your mind.

The median household income in SF is $73,802 (vs. $53,046 nationwide), but many people are still being displaced to neighboring cities (read: oakland) or counties. I make significantly more than the SF median household income by myself and can't even see myself living in some of the swanky neighborhoods in SF.

If you're not on section 8 housing or making at least $125k, SF isn't the place for you.

[rb25s13vert]

Im 34y/o and closing on my first house on the 8th of Oct. the way i look at it is this. To me buying a house is in essence like a savings account, your basically paying yourself, only you cant touch the money untill you sell your house. houses more so than cars are an investment. we all know this. i bought a 1900sf 3bd/2bt house for 156k it has an additional 600sf unfinshed attic that i plan on making into a kind of mother in law suite this will caost me around 3-5k as im handy and will do most of the work myself. i figure it should raise the value substantially. not to mention the area is typically going up about 2% annually anyways. and it sits in a golf community with the community pool about one block away. anyways, if your renting your basically just throwing money in the trash. thats my outlook on it.

[dac2828]

Assuming you're doing a 30 year fixed mortgage your mortgage plus your property taxes and insurance will maybe be around $800/mo or so. So after 2 years you'll have $19,200 in those payments plus your down payment and say you want to sell for whatever reason. If you pay a realtor to sell you pay a x% to the realtor... I don't think you'll see any of that back and chances are you'll get a check for less than your down payment back when you sell. I'm not saying buying a house is bad and it sounds like you bought in an in demand area but in my opinion buying a house is a major risk... especially since your $20k or so in payments probably only paid your note down a couple grand in those first two years. That doesn't matter as you'll start paying more towards principle as time goes on but buying a house in my opinion is really a bet on weather wall street will stick or not... and I'm sure it will... even if there's another crash. Just my $.02. I remember my first mortgage payment and I'm like what... $50 towards principle and $xxxx to interest! Now lending to people who buy houses who have good credit and buy into the system... that's low risk even with this super low interest rates on mortgages... because they're not really that low. How much of your first years mortgage payments will go to principle and how much will go to interest. Buying a house is a long term play. You bought good it sounds like and chances are if you get in trouble financially or the market crashes you can easily rent it out and possibly be cash flow positive.

Im 34y/o and closing on my first house on the 8th of Oct. the way i look at it is this. To me buying a house is in essence like a savings account, your basically paying yourself, only you cant touch the money untill you sell your house. houses more so than cars are an investment. we all know this. i bought a 1900sf 3bd/2bt house for 156k it has an additional 600sf unfinshed attic that i plan on making into a kind of mother in law suite this will caost me around 3-5k as im handy and will do most of the work myself. i figure it should raise the value substantially. not to mention the area is typically going up about 2% annually anyways. and it sits in a golf community with the community pool about one block away. anyways, if your renting your basically just throwing money in the trash. thats my outlook on it.

[rb25s13vert]

But how much would you have lost in rent over the same period? Plus you should never invest in a house for anything less than 3-4 years if your looking to make any sort of profitaside from flipping which im not even going into. But you are correct in that if you are looking to sell before the 4 year mark you very well may only break even, but that to me is still better than paying off someone elses mortgage, i dont think paying rent on time is reported to credit agencies. i mean really look at monthly mortgage rates compared to what you will typically charge someone for rent to live in the same house. i know around these parts, your monthly mortage might average 1000 but people are routinly renting those places out for 14-1500 monthly. granted there maintaining the property. but who is going to make out in the long run on this in a perfect world? im sure there are reasons to rent over buying a home, i really cant think of one other than if you move alot. i would say not having to maintain your yard, but unless you live in an apartment that doent always apply, ive even seen scenarios were someone was renting a house and it came with a washer and dryer, however it became unoperable, but because it wasnt on the lease they had to replace it, but they were allowed to keep it upon there lease ending. i would say that anyone who purchases a home on a whim with no reserach being done is a fool, and a fool and his money are easily parted. but i would chose buying a home over renting almost every day of the week.

As for the interest and principle your right, your first several years payments will primarily go towards interest. and most investemts are risky. but what are things that people will always need. land and shelter will always be on that list. And i certianly wouldnt want to buy a house at the top of the market. but its still low right now and on the upswing, so now is a good time to get in if your asking me. i got my loan (VA) 0 down, with a 3.62% with 1 point. its not the best, but it certianly isnt the worst. fingers crossed on it being the right move.

[dac2828]

Over the same period I'd guess you'd loose about 5% more by renting than buying, maybe 10% over 5 years. 10-15 years is when you can walk away with a check bigger than your down payment and sometimes hit if the market does change upwards or you just made a good buy, or found the right buyer etc. But, if the market goes down again you could be writing a check for more than your down payment to get out of it... unless you want to ruin your relationship with Experian, Equifax, and Transunion and short sale. I believe there are still ways around this thou buy buying the house in an entities name etc. My worry is that housing prices will be the same in 20-30 years and renting will then be cheaper than buying. Labor rates are skyrocketing in China, they're bustin' their ass and half our country is high on welfare. I think the Carolinas are a great place to buy thou... a lot of people will want to go there to retire in the near future I think because of the lower cost of land but still being near a coast. My point is more that buying in my opinion is about the same as renting financially and the risk is pretty high to buy and there is little risk in renting. With renting you can get out a lot easier and with buying I think generally in most markets you need to have your place for sale for a good 6 months for it to sell. I think so many people invest in real estate(their home) because everyone needs one, financing is easy to get, and it's a sort of cool thing to do in society. As far as investing goes, I think there are way better things to invest in. Now if you're raising a family and have children that's a totally different ball game and a stable home in more ways than one is invaluable... if I'm saying that right. Then we get in to school areas and so on and so on. I think you made a good buy under $150k for a home is awesome and if you ever need to move or you loose your income or whatever you should be able to get out without an unexpected big expense or ruining your credit... although renters can be a full time job sometimes but that all depends. I think in your case it's a good move... now buying land and building... that's even better if you're able to manage people well. I think people say the rule is you should have at least a year and a half of mortgage payments in savings and your mortgage and other home expenses should be around 40% of your income. That sounds about right I think.

But how much would you have lost in rent over the same period? Plus you should never invest in a house for anything less than 3-4 years if your looking to make any sort of profitaside from flipping which im not even going into. But you are correct in that if you are looking to sell before the 4 year mark you very well may only break even, but that to me is still better than paying off someone elses mortgage, i dont think paying rent on time is reported to credit agencies. i mean really look at monthly mortgage rates compared to what you will typically charge someone for rent to live in the same house. i know around these parts, your monthly mortage might average 1000 but people are routinly renting those places out for 14-1500 monthly. granted there maintaining the property. but who is going to make out in the long run on this in a perfect world? im sure there are reasons to rent over buying a home, i really cant think of one other than if you move alot. i would say not having to maintain your yard, but unless you live in an apartment that doent always apply, ive even seen scenarios were someone was renting a house and it came with a washer and dryer, however it became unoperable, but because it wasnt on the lease they had to replace it, but they were allowed to keep it upon there lease ending. i would say that anyone who purchases a home on a whim with no reserach being done is a fool, and a fool and his money are easily parted. but i would chose buying a home over renting almost every day of the week. Sorry for the horrible grammor and super huge paragraph.

As for the interest and principle your right, your first several years payments will primarily go towards interest. and most investemts are risky. but what are things that people will always need. land and shelter will always be on that list. And i certianly wouldnt want to buy a house at the top of the market. but its still low right now and on the upswing, so now is a good time to get in if your asking me. i got my loan (VA) 0 down, with a 3.62% with 1 point. its not the best, but it certianly isnt the worst. fingers crossed on it being the right move.

[exitspeed]

The new house. Closed on Sept 30th. Acre lot. Brookfield, WI.

Some pics of how it's coming along so far.

https://lh3.googleusercontent.com/-rnB7m6VLLF0/VDmtdlkLauI/AAAAAAAAGXM/1RMAjc94swE/w485-h857-no/IMAG0721.jpg
View of the "lake".
https://lh6.googleusercontent.com/-rxur3lrIM7I/VCsYEkPUWUI/AAAAAAAAGQA/8PT4cMxEKdw/w1516-h857-no/IMAG0689.jpg

The day after we closed. Gutting the kitchen, lower bath and laundry area. Relocating everything o make a bigger kitchen.
https://lh5.googleusercontent.com/-qXOg8cy2ZsA/VCxlgIMIB7I/AAAAAAAAGRo/Q9zwNu2IrCA/w1516-h857-no/IMAG0697.jpg
https://lh6.googleusercontent.com/-88Zxhz7PZuI/VCzL8GrflZI/AAAAAAAAGSI/-JnHovYofWA/w1516-h857-no/IMAG0699.jpg

Fuck this tile.
https://lh5.googleusercontent.com/-5hwpqWXJURY/VCzMAIMgFPI/AAAAAAAAGSU/aNVxJLJvVzc/w485-h857-no/IMAG0700.jpg

Fuck those walls.
https://lh6.googleusercontent.com/-fTi4Rc-ycyk/VC9p2tuG6PI/AAAAAAAAGS8/gdHGRO8sWac/w1516-h857-no/IMAG0703.jpg

Now the contractors got to work. New floor, walls reframed.
https://lh4.googleusercontent.com/-eDjc28_kAZc/VDvo7bDdZAI/AAAAAAAAGbU/8NGtjARqLjA/w1516-h857-no/IMAG0749.jpg

hard to get what is happening but...
https://lh6.googleusercontent.com/-KG5On3BLutQ/VDvofqeCOTI/AAAAAAAAGaw/L-5UKc3HzQA/w1516-h857-no/IMAG0752.jpg

Doing white cabinets, white/gray Quarts (looks like Carrera Marble butt doesn't suck, floors will be almost black, etc etc.

[AFSil80]

^ Dammit man...you got a lot of work to do! But if you got vision, that's what matters.

We're scheduled to close on Nov 10th...full brick, 2 car garage on more than a half acre with a 3-4 acre pond out back.

[simmode1]

Damn... Started ripping the place apart before the ink even dried. I love it! Can't wait to see the fininshed product.

[BOROSUN]

nice, but...where's the bunker for the ebola zombie apocalypse?

maybe that tree looks strong enough? for a tree house bunker!

call the treehouse masters guy.

[exitspeed]

^ Dammit man...you got a lot of work to do! But if you got vision, that's what matters.

We're scheduled to close on Nov 10th...full brick, 2 car garage on more than a half acre with a 3-4 acre pond out back.

We hired a contractor we know to do most of the work. We just did the demo, did the knockdown texture, painting, and refinishing the hard wood floors.

Good luck on yours!

nice, but...where's the bunker for the ebola zombie apocalypse?

maybe that tree looks strong enough? for a tree house bunker!

call the treehouse masters guy.

We have one in the upper part of the garage! Lol

[CrimsonRockett]

Congrats Mel!

The next house I move onto will definitely have a bigger lot. One of my clients at work bought the house next door to him, had it demolished, custom built home with a ridiculously massive two story garage in the back with 3 garage doors. One of them being a large RV garage door.

Ground floor will be for the cars of course. Second floor can be a complete man cave.

:)

[exitspeed]

Congrats Mel!

The next house I move onto will definitely have a bigger lot. One of my clients at work bought the house next door to him, had it demolished, custom built home with a ridiculously massive two story garage in the back with 3 garage doors. One of them being a large RV garage door.

Ground floor will be for the cars of course. Second floor can be a complete man cave.

:)

Yeah the space is nice. We thought about building and got as far as basically specing the house the way we wanted it but couldn't swallow the $420k price tag.


Our plan is to live in this house til the kids graduate HS...soooooo like 20 years. lol. :picardfp:

[Tony_240sx]

You can get quite a bit for your money in my area, Southern Indiana. I like it. You have the country and 30 miles away you have the city. Here's an example of a house I'd like to buy. Maybe in a few years if I can get a down payment saved?!?!

http://www.zillow.com/homedetails/2210-Molly-Brown-Dr-NW-Corydon-IN-47112/85301099_zpid/

Is 20% the normal down payment? I'd like 0-5% and just pay a higher mortgage. I've rented for close to 8 years. I am 27 years old. Traveled/lived in other states, ready to make someplace home, and this is where I grew up and my family is located.

[lewisfk]

Do to my wife wanting to live in a swank up scale neighborhood, I had to give up my dream house for hers! I couldn't argue since im stationed in New Orleans. If you have the opportunity by some land and build. I'm buying land next year for storage of my RV that I currently live in, and to dear hunt on. 10-15 acres will do.

With regards to a certain amount for a down payment, I can't help you because I used the VA Loan. 30.year fixed rate of 4%. Once I closed, we had the option to buy down our rate which we did. 3%

[Tony_240sx]

With regards to a certain amount for a down payment, I can't help you because I used the VA Loan. 30.year fixed rate of 4%. Once I closed, we had the option to buy down our rate which we did. 3%

I'll have to look into VA loans some more, I was a combat engineer for 6 years.

[lewisfk]

^^ Go to the VA website if you served honorable your entitled. You need to have a ok credit score and a stable income. You need at least $6500 for the fees. example, house inspection $600, title/ deed fee 400-800 depends on state, down payment 5-10% for a VA Loan without being active duty.

[AFSil80]

^^ Go to the VA website if you served honorable your entitled. You need to have a ok credit score and a stable income. You need at least $6500 for the fees. example, house inspection $600, title/ deed fee 400-800 depends on state, down payment 5-10% for a VA Loan without being active duty.

What he said.

And usually you can get the seller to cover closing costs. That's what we're doing and I think we're only going to need under $300 at closing. VA loan through Veterans United landed me a 30 yr loan at 3.75% with 0% down. It's def. worth checking into, Tony.

[tricky_ab]

Man I've said it before, but I'd LOVE to have more lot space. The lot sizes in my area are small, and the house prices are high! We're still looking for our "forever home" and it looks like we will be paying out of the ass for it :(

The new house. Closed on Sept 30th. Acre lot. Brookfield, WI.


Whoa! I can't wait to see the finished product!

I'm also curious to see other people's houses/layouts. I'll take a few snaps as well.

[Tony_240sx]

^^ Go to the VA website if you served honorable your entitled. You need to have a ok credit score and a stable income. You need at least $6500 for the fees. example, house inspection $600, title/ deed fee 400-800 depends on state, down payment 5-10% for a VA Loan without being active duty.

What he said.

And usually you can get the seller to cover closing costs. That's what we're doing and I think we're only going to need under $300 at closing. VA loan through Veterans United landed me a 30 yr loan at 3.75% with 0% down. It's def. worth checking into, Tony.

Good info guys! I'll definitely be checking that out!

[Flicktitty]

Curious question that maybe someone on here can help with.... How do open house's work? can you just show up and walk around the house? Or do you need to have an appointment, or do you have to have been previously approved for a house? Me and my fiance just want to start going to some to see what we like, what we don't like, what we need and stuff we can live without, Just didn't know how to go about it.

[simmode1]

Typically, whenever you see a house you're interested, an agent's info is attached to it. You can call them to arrange a time to show you that house & any number of other houses you're interested in. Most people's schedules don't really allow for them to show up at the seller's leisure for an open house. Use an agent to schedule things for you, since it's free to you.

[PMG 705]

Open House, is just that open. You can show up without notice. You'll likely need to sign in and the sellers agent will be present during the duration of the OH.

[exitspeed]

Curious question that maybe someone on here can help with.... How do open house's work? can you just show up and walk around the house? Or do you need to have an appointment, or do you have to have been previously approved for a house? Me and my fiance just want to start going to some to see what we like, what we don't like, what we need and stuff we can live without, Just didn't know how to go about it.

So my wife was a top WI realtor for 10 years. Now she works in corporate rel estate dealing with hundreds of millions of dollars.

It does work that way. You want to see a house, you just show up to it. It can be as simple as that. You don't have to give them a name if you don't want, but if you do it can change some things. Say you find out a really good friend of yours is a realtor or you decide to have a realtor start helping out find a house. You really like your realtor. Well say you end up buying a house you looked at by yourself and you didn't tell the Open House realtor you were working with a realtor. Well your buddy/realtor will get screwed.

Here's the thing. It costs you NOTHING to work with a realtor to help you find a house until you buy one. They are experts though (usually). Let them help you. They can answer questions They can give you advice. They can tell you about the process so you aren't counting on advice from a bunch of car guys.

I can give you a really good referal if you want one. I know a lot off realtors that ARE experts.

[AFSil80]

Yeah, I was gonna say that having a realtor helps, but having a GREAT realtor is a huge boost in your favor. I came to my realtor after being referred by a coworker, and she has done a perfect job. I close on Thursday (the 6th) and the sellers had accepted our offer on Oct 5th, after we looked at the house on Oct 2nd. Just a hair over 30 days from start to closing, I didn't even think it was possible, but our realtor is no joke.

[tricky_ab]

Guys...

... I am now in the double car garage club! We found a all brick detached house, on a wide (for the area) lot, in a quiet area, with the best school in town. The catch? Oh it needs a new kitchen... It's awful! Once we live in it for a bit, we can go over the likes and dislikes of the space, then drop the big bucks.

So we put in a offer and after a bit of back and forth, the price was finalized.

It feels good :) Looks like I'll be putting off that next fun car purchase for a bit, but it was totally worth it!

[AFSil80]

^ Good deal, man! Having a two car garage is always a great thing. Post pics when you get a chance!

[Flicktitty]

So my wife was a top WI realtor for 10 years. Now she works in corporate rel estate dealing with hundreds of millions of dollars.

It does work that way. You want to see a house, you just show up to it. It can be as simple as that. You don't have to give them a name if you don't want, but if you do it can change some things. Say you find out a really good friend of yours is a realtor or you decide to have a realtor start helping out find a house. You really like your realtor. Well say you end up buying a house you looked at by yourself and you didn't tell the Open House realtor you were working with a realtor. Well your buddy/realtor will get screwed.

Here's the thing. It costs you NOTHING to work with a realtor to help you find a house until you buy one. They are experts though (usually). Let them help you. They can answer questions They can give you advice. They can tell you about the process so you aren't counting on advice from a bunch of car guys.

I can give you a really good referal if you want one. I know a lot off realtors that ARE experts.

Thanks Mel, i might have to get in contact with you we have been throwing out the idea of moving out of state too, so once we decide if we are staying or going i'll let you know.

[Super_OK_S13]

My wife and I were fortunate to inherit/purchase our property from my great uncles estate even though we settled on a price 3 days before he passed away. It just took extra long with the lending company to sort out the kinks. Our total mortgage was about $73,000 with all the fees/taxes from the lending company we gave my pap (it was in a living trust) $67,000 and he gave us $17,000 in return to put into the house and pay off debts...

The house is a 2 Unit house. Outside entrance to the upstairs and we rent to my sister as of now and we live on the bottom floor. It has a detached 25×40 pole building, and the 25×50×2 stories + attached 3 car garage block building which is getting attention now to be fixed and eventually turned into an upstairs RC Drift circuit and storage/wood shop/flower shop for my wife on the bottom.

http://i257.photobucket.com/albums/hh202/tek18b_jimmy/20141105_162506_zps06kigeyy.jpg (http://s257.photobucket.com/user/tek18b_jimmy/media/20141105_162506_zps06kigeyy.jpg.html)

http://i257.photobucket.com/albums/hh202/tek18b_jimmy/20141105_162434_zpsohxosiub.jpg (http://s257.photobucket.com/user/tek18b_jimmy/media/20141105_162434_zpsohxosiub.jpg.html)

http://i257.photobucket.com/albums/hh202/tek18b_jimmy/20141105_162618_zps0ys6zhiz.jpg (http://s257.photobucket.com/user/tek18b_jimmy/media/20141105_162618_zps0ys6zhiz.jpg.html)

http://i257.photobucket.com/albums/hh202/tek18b_jimmy/20141105_162354_zpsrwofjid7.jpg (http://s257.photobucket.com/user/tek18b_jimmy/media/20141105_162354_zpsrwofjid7.jpg.html)

http://i257.photobucket.com/albums/hh202/tek18b_jimmy/20141105_162319_zpsdiftmezj.jpg (http://s257.photobucket.com/user/tek18b_jimmy/media/20141105_162319_zpsdiftmezj.jpg.html)

http://i257.photobucket.com/albums/hh202/tek18b_jimmy/20141105_162244_zpsgpg44m3g.jpg (http://s257.photobucket.com/user/tek18b_jimmy/media/20141105_162244_zpsgpg44m3g.jpg.html)

[simmode1]

^^^ Speaking of 2 unit homes, who's in the income property game? I've gotten hooked on the hgtv Income Property show, so now the wife & I are considering a duplex for our first home, while we lease out the other unit. Thoughts? What have you guys experienced?

[nathanong87]

If you don't have kids/major fiscal responsibilities, it isn't too hard to get approved for a loan that large. My buddy just bought a house for $450k and that is with a 65k/yr salary, no wife/kids and we are both 2 years out of school and make the same income.

really? cuz the numbers in my mind dont workout. Either ALL income in going to mortgage (even with a reasonably low rate) or as corbic said, he/she is going into debt. From a quick eval i cannot figure out the 450k house loan on a 65k/yr salary.

[Corbic]

really? cuz the numbers in my mind dont workout. Either ALL income in going to mortgage (even with a reasonably low rate) or as corbic said, he/she is going into debt. From a quick eval i cannot figure out the 450k house loan on a 65k/yr salary.


Exactly.

450k at 4% for 30 years is $2,617 a month with a .5% PMI and 1.25% tax rate.

He still needs home owners insurance.

After taxes and typical 401k + HC deductions your friend is making at most $3,500 a month.

So....he has $900 a month to pay all of life's expensive. He'll be house poor for 30 years.

[Corbic]

^^^ Speaking of 2 unit homes, who's in the income property game? I've gotten hooked on the hgtv Income Property show, so now the wife & I are considering a duplex for our first home, while we lease out the other unit. Thoughts? What have you guys experienced?


Bwa ha ha ha....


*20 minutes layer*


....ha ha ha ha

So you want to rent and have your moronic tenants as neighbors?

HGTV is as real as Jersey Shore and Keeping up with Kim. My advice is find some local renters and ask them about how awesome it is.

It's serious work and you will deal with some serious losers.

[simmode1]

^^^ Exactly why I'm asking here. That show makes living in your income property seem too good to be true.

[ZenkiKid]

Here's the thing. It costs you NOTHING to work with a realtor to help you find a house until you buy one. They are experts though (usually). Let them help you. They can answer questions They can give you advice. They can tell you about the process so you aren't counting on advice from a bunch of car guys.




1000000%. Realtors dont get paid by you, they get paid by the seller. Dont be afraid to seek a realtor because its free for us potential home buyers.

[Corbic]

1000000%. Realtors dont get paid by you, they get paid by the seller. Dont be afraid to seek a realtor because its free for us potential home buyers.


To help you realtors will want you to sign a 6 month agreement.

Also, they are worse then use car salesman. They just want you to buy something fast so they get their 6% and move on.

[tricky_ab]

Seeing this thread at the top of the page reminded me... I totally forgot to post up a few shots of my current house.

http://i50.photobucket.com/albums/f327/trickyab/Me%20me%20me%20pics/IMG_2887_zps97cc1e7b.jpg

http://i1022.photobucket.com/albums/af342/trickyab83/Home/IMG_2563_zps4bf41e59.jpg

http://i1022.photobucket.com/albums/af342/trickyab83/Home/IMG_2802_zps4ccd2635.jpg

http://i1022.photobucket.com/albums/af342/trickyab83/Home/IMG_2807_zps09896c68.jpg

[exitspeed]

^

Nice. Like the colors.

To help you realtors will want you to sign a 6 month agreement.

Also, they are worse then use car salesman. They just want you to buy something fast so they get their 6% and move on.

I speak from more experience than probably anyone regular poster on this forum. Not true or the realtors you've met suck/know. Most realtors won't REQUIRE you to sign a Buyers Agent agreement. If they ask and you aren't comfortable doing so you can tell them that and they should be fine with not having one if you are pre-approved and serious. And contract doesn't do jack shit other than guarantee that if you buy a house, you buy a house through them during that contract. People are fucking assholes sometimes. They will run an agent around showing them dozens of homes over weeks and weeks and months and then turn around and buy a house from some realtor they just met for whatever reason. Also, if you are in a contract with an agent and you decide you don't like them they will most likely let you out. It also still doesn't mean you have to pay them jack. Its just to protect them from getting burned by people not really looking or not really qualified. If you blame the Realtor for that you are probably the asshole. lol. Also, if you have a Realtor pressuring you to buy a house, find a new one. Finally, they can never MAKE you buy a house. Even if you have an offer on a house. I heard my wife say "You can't MAKE a buyer buy a house, but you can make a seller sell a house.".

So in closing, find a good agent that you like sign or don't sign a Buyers Agent and go out and buy a house through them.

Update on my house. Just a quick preview. The kitchen is close to being done but because of the change in temperature we won't be able to finish the sliding "barn" doors until spring. So I'll wait to post full pics.

The deer pillow is just for irony. We don't hunt and are't country ass people, but it fits in with WI. lol
https://fbcdn-sphotos-e-a.akamaihd.net/hphotos-ak-xpa1/v/t1.0-9/10847836_10203264418796975_7954546986839064655_n.j pg?oh=bbab86866ed26cc13b7d9d7eb95ee6dc&oe=5508F8DD&__gda__=1427587787_da6d521d521e4d9f11e7f23d541f0c0 1

[ZenkiKid]

me and the soon to be wife will begin our piggy bank for our downpayment next year. (Were looking at doing a 30 year FHA) and will seek pre approval in January just to see where we currently stand.

A friend of mine is now a realtor and she told us point blank that seeking pre approval wont hurt us since were still starting out in life. The pre-approval sum will only get higher overtime due to income increases and etc.

I was also told that if youre dead serious about buying a house that search engines like Zillow are completely useless except for window shopping. Apparently realtors have a more thorough and up to date search engine for properties that they themselves only have access to.

[exitspeed]

me and the soon to be wife will begin our piggy bank for our downpayment next year. (Were looking at doing a 30 year FHA) and will seek pre approval in January just to see where we currently stand.

A friend of mine is now a realtor and she told us point blank that seeking pre approval wont hurt us since were still starting out in life. The pre-approval sum will only get higher overtime due to income increases and etc.

Definitely get pre-approved. You need to see what you can afford and what you'll get approved for (approx). There's no point in looking at houses until you know how much you can afford. Looking at a home $100k more than you will get approved for or vise versa is a waste of yours and the realtor's time.

[ZenkiKid]

Definitely get pre-approved. You need to see what you can afford and what you'll get approved for (approx). There's no point in looking at houses until you know how much you can afford. Looking at a home $100k more than you will get approved for or vise versa is a waste of yours and the realtor's time.


Yeah I will in january after my final paycheck for the year comes through. At least ill have a clearer picture of what I made last year before I go in there and seek pre-approval.

[exitspeed]

Yeah I will in january after my final paycheck for the year comes through. At least ill have a clearer picture of what I made last year before I go in there and seek pre-approval.

Yeah, you'll need all that for sure. Our loan was a PITA because I'm self employed but only technically had a year and a half of income on my own. If we would have waited until I had 2 years we could have gotten approved for a lot more but we were comfortable with what we were approved for.

[Corbic]

Yeah, you'll need all that for sure. Our loan was a PITA because I'm self employed but only technically had a year and a half of income on my own. If we would have waited until I had 2 years we could have gotten approved for a lot more but we were comfortable with what we were approved for.


That's another thing, Just because your approved for an amount doesn't mean you should spend that much. They take into no consideration your life style or ability to save.

So "Pre-Approved" /= "can afford"

[exitspeed]

That's another thing, Just because your approved for an amount doesn't mean you should spend that much. They take into no consideration your life style or ability to save.

So "Pre-Approved" /= "can afford"

Correct. Don't over buy. That's why we just stuck with our initial approval.

[simmode1]

Yeah, Zillow & Trulia are jokes to real estate agents. 80% the time you look on there, the house has already been sold/off the market for months. Maybe even years. Agents use a far more up to date system.

My wife is a real estate agent & ohhh boy.... There is no shortage of ppl trying to waste her damn time. Not only do I recommend getting a preapproval, but I also encourage you to attend a first time home buyers workshop. This way you know what to expect from your agent & the current market.

[tricky_ab]

^

Nice. Like the colors.



Thanks!

That's another thing, Just because your approved for an amount doesn't mean you should spend that much. They take into no consideration your life style or ability to save.

So "Pre-Approved" /= "can afford"

THIS! Seriously, when we were looking, we were pre approved for something like $150K more then what we ended up spending on a house.

They don't factor in real world costs, only repayment, taxes, and gas/hydro (well in my province anyways).

[gbaby2089]

Seeing this thread at the top of the page reminded me... I totally forgot to post up a few shots of my current house.


Looks excellent! I wouldn't change a thing (outside of replacing that England stuff with Spain stuff :keke:)

The deer pillow is just for irony. We don't hunt and are't country ass people, but it fits in with WI. lol

I love WI, always will; but good gosh do I hate the country bumpkins in this state...or the city kids who think they're country bumpkins.

[exitspeed]

Looks excellent! I wouldn't change a thing (outside of replacing that England stuff with Spain stuff :keke:)



I love WI, always will; but good gosh do I hate the country bumpkins in this state...or the city kids who think they're country bumpkins.

Yeah half my friends and family are more rural folks and the other half are city folks. I like the variation in culture honestly.

[ZenkiKid]

My wife is a real estate agent & ohhh boy.... There is no shortage of ppl trying to waste her damn time. Not only do I recommend getting a preapproval, but I also encourage you to attend a first time home buyers workshop. This way you know what to expect from your agent & the current market.

I attended one of these..

Besides pre approval and recommending taking out an additional amount for home improvement, it was alot of shit I already knew and alot of smoke being blown up my ass.

[simmode1]

^^^ Well, good that you were more informed than the average buyer. But most are completely clueless how the process works or how little time you get to make a decisive choice.

[exitspeed]

How funny is it that I don't even come on Zilvia for car discussions any more but rather home discussions? lol Old Folks Crew.

[Corbic]

How funny is it that I don't even come on Zilvia fr car discussions any more but rather home discussions? lol Old Folks Crew.


Ironically I'm the same.

[sw20>>s14]

I was also told that if youre dead serious about buying a house that search engines like Zillow are completely useless except for window shopping. Apparently realtors have a more thorough and up to date search engine for properties that they themselves only have access to.

The MLS is any realtor's first stop from my understanding.

[exitspeed]

Correct. The MLS is what is used.

[tricky_ab]

While looking for our place, our realtor sent us listings that met our criteria daily. It saved us a bunch of time, and really helped us get the drop on others if we want to see a place.

Honestly, having a great realtor will make or break the process for you. If they don't make the process comfortable and seamless for you, then switch it up.

How funny is it that I don't even come on Zilvia for car discussions any more but rather home discussions? lol Old Folks Crew.

HAHA Pretty much...

I actually look forward to this thread whenever I see it at the top of the page.

Looks excellent! I wouldn't change a thing (outside of replacing that England stuff with Spain stuff :keke:)


BOOOOOOOOOOOOOOOOOOOOOOOO!

Oh and thank you ;)

[dbeiler]

Do people really take on 30 year mortgages? F that. Do the math on amount of interest you'll be paying for half your lifetime. Seems much smarter to buy a more affordable, subpar house on a 15 year mortgage. Eventually sell the house and use it for a down payment on the dream house. This means more of the monthly mortgage payment will be going towards the principal instead of disappearing as interest.

Guess 30 year mortgages are part of the American dream. Get something spectacular now..... spend the rest of your life paying for it...... trap yourselves into a crappy, hated job because now you NEED the money.

[JohnnyDrfiter22]

Or you could buy a house using a 30 yr mortgage, than after 4-5yrs of paying switch to a 15yr fixed loan. BAM



Do people really take on 30 year mortgages? F that. Do the math on amount of interest you'll be paying for half your lifetime. Seems much smarter to buy a more affordable, subpar house on a 15 year mortgage. Eventually sell the house and use it for a down payment on the dream house. This means more of the monthly mortgage payment will be going towards the principal instead of disappearing as interest.

Guess 30 year mortgages are part of the American dream. Get something spectacular now..... spend the rest of your life paying for it...... trap yourselves into a crappy, hated job because now you NEED the money.

[Corbic]

Or you could buy a house using a 30 yr mortgage, than after 4-5yrs of paying switch to a 15yr fixed loan. BAM


So 20 year mortgage? Or 5 years renting then 15 years paying off?

That 4-5 years is likely barely enough to pay the interest. Then you have to refinance and pay all those bank fees all over again.

[CrimsonRockett]

Do people really take on 30 year mortgages? F that. Do the math on amount of interest you'll be paying for half your lifetime. Seems much smarter to buy a more affordable, subpar house on a 15 year mortgage. Eventually sell the house and use it for a down payment on the dream house. This means more of the monthly mortgage payment will be going towards the principal instead of disappearing as interest.

Guess 30 year mortgages are part of the American dream. Get something spectacular now..... spend the rest of your life paying for it...... trap yourselves into a crappy, hated job because now you NEED the money.

It's easier said than done.

It has more to do with the cost of houses out here in CA. People want more, but want that low payment. The only way you get to the low payment is by extending the term. I cringe at the thought of a 40 year mortgage.

Being in the car business, I see it happen all day long. People financing cars for 6-7 years now because they want a certain payment.

We personally went with a 30 year mortgage, but to have that cushion. Thanks to our extremely low payment, we've made a ton of principal only payments, we were able to fully remodel comfortably, and put more money toward savings. If we stay on track, we'll have this house paid off by 2023. This is by no means limiting ourselves to an extreme.

The nice part is, the going rate for a rental of our size and condition is actually double what our monthly payment is. We have approximately $220k in equity at the moment. Our plan is to save up enough money for another down payment and get ourselves that second house in a more favorable location. With a baby on the way, schools are top on my list.

My one suggestion to people looking to start off in real estate, never bite off more than you can chew. I worked with enough people over the years to have learned to be prepared for the unexpected. Just because a bank approved you for a large loan doesn't mean you should go for it. Always have that worst case scenario in mind. What will you do if you lose your job, injure yourself and can't work, etc.

Then, there are those who take out a second mortgage for personal or investment purposes. If done right, it can definitely put you in a better position financially, but I've met too many people who have lost it all. I'd rather wait another year or two of saving up before I borrow from my own house.

[lewisfk]

I got a 30 year mortgage due to the fact I don't live in my house because of military obligations. I make my monthly payment, and 1/2 payment towards the principle. 30 year mortgage is not bad, it gives you flexibility.

[tricky_ab]

I cringe at the thought of a 40 year mortgage.


Holy crap! You can get such a long borrowing term in the States?

Here in Canada, they changed the longest period from 35, to 30 (without CMHC fees if you put down the 20%). Mine is/was 25 years when it started. I also have accelerated payments (I pay bi-weekly), and I usually add the added extra 10% a year that you can directly apply to the principal amount.

I want this damn thing paid off sooner then later.

[joeapple8]

I want to live in a luxury hut close to the beach in south east asia. 10K should do it. Slanging scooter and motorcycle parts in these parts of the world would get me by at least.

[CrimsonRockett]

Holy crap! You can get such a long borrowing term in the States?

Here in Canada, they changed the longest period from 35, to 30 (without CMHC fees if you put down the 20%). Mine is/was 25 years when it started. I also have accelerated payments (I pay bi-weekly), and I usually add the added extra 10% a year that you can directly apply to the principal amount.

I want this damn thing paid off sooner then later.

Yep. People are crazy.

As someone mentioned earlier, getting stuck in a 30 year mortgage will be a drag knowing you'll spend more than a quarter of your life working to pay it off (if you get stuck in a high payment situation).

Having purchased a home at such a young age definitely made me feel good, but I much preferred my lifestyle prior to having a mortgage. My other bills have always been there (cell, tv/internet, utilities), but eliminating my mortgage would put a nice chunk of change back into my savings. Or better yet, I'd finish building one of my damn cars.

Can't wait for the day I make my last payment.

[exitspeed]

Eh, its the cost of living. I have 3 children and their education and safety are my main concerns. The house we just bought is in the school district with the #2 ranked HS school in the state and there's virtually no crime. Sure I could have bought a house for $100 less and paid the thing off in probably 5 years if I wanted but kids come first and as a parent you make sacrifices.

[exitspeed]

Worked on this all day Saturday. Still need to put crown below the mantle. Oh and get a new fucking TV. That 32" looked fine on the wall in my last kitchen. Now it looks like a postage stamp.

https://lh4.googleusercontent.com/-p_LtbXz454E/VIzbGclQ_VI/AAAAAAAAHSc/m3gnWN6ChRo/w485-h857-no/IMG_20141213_183423.jpg

https://lh5.googleusercontent.com/-hKK4GU861Ac/VI3IRJUPA8I/AAAAAAAAHUs/g6At97im5ms/w485-h857-no/IMG_20141214_112615.jpg

One of my favorite things about the house so far. I can grill and watch the game!

(kinda hard to see the TV through the window reflections)
https://lh5.googleusercontent.com/-ZKb3Nm_bN40/VI3cG6MMi9I/AAAAAAAAHVM/rPcdYQH97MM/w485-h857-no/IMG_20141214_125100.jpg

Oh and had a new address plaque made.
https://lh5.googleusercontent.com/-z-UxfiVhCWk/VI4jWTYZNbI/AAAAAAAAHg8/hI4qqZTcFRg/w485-h857-no/IMG_20141214_175443.jpg

[JohnnyDrfiter22]

Exitspeed, I think with a room that large it would have been awesome to update the mantle with a modern look of stone and extend to the ceiling. It be a great focal point for that room and the rest of the room looks modern already.

[BOROSUN]

cover up that brick with faux thin slab stones in light greyish neutral colors. contras from the darker wall and flooring.

or go all the way up. like this...
http://www.google.com/url?sa=i&source=images&cd=&ved=0CAUQjBw&url=http%3A%2F%2Fuscountryproperties.com%2Fwp-content%2Fuploads%2F2014%2F09%2Funcategorized-faux-stone-fireplace-viewing-gallery-enchanting-stone-fireplaces-photographs-design-inspirations-stone-fireplaces-stone-fireplaces-pictures-stone-fireplaces-pinterest-stone.jpg&ei=to6PVLPyGIu2ogTz_oLwBw&psig=AFQjCNFla8akZEhznnu8fyeYpWJfmGY7CQ&ust=1418780726472103

[Agamemnon]

Any home owners here know of any home decor/improvement forums they like to go to?

[l adam l]

Can't stand having my TV up that high. Can't do fireplacr...although it's a good use of space.

I have 30 year mortgage. If you pay an extra payment a year you knock like 7 years off... 100k loan...700 a month... 700 extra towards principle per year times 23 years is 16,100. It's amazing what you pay in taxes at first.

i paid 96k for my hud home...needed work. Still needs some, but the home is 2200 square feet and the average home around my neighborhood is 150k and 1500 square feet. I've put about 10 ggrand into it and should be able to sell it for 180kish, theoretically 220k but I doubt it...lose so much money renting.

[JohnnyDrfiter22]

Any home owners here know of any home decor/improvement forums they like to go to?


Houzz.com HGTV.com and DIYnetwork.com

[exitspeed]

cover up that brick with faux thin slab stones in light greyish neutral colors. contras from the darker wall and flooring.

or go all the way up. like this...
http://www.google.com/url?sa=i&source=images&cd=&ved=0CAUQjBw&url=http%3A%2F%2Fuscountryproperties.com%2Fwp-content%2Fuploads%2F2014%2F09%2Funcategorized-faux-stone-fireplace-viewing-gallery-enchanting-stone-fireplaces-photographs-design-inspirations-stone-fireplaces-stone-fireplaces-pictures-stone-fireplaces-pinterest-stone.jpg&ei=to6PVLPyGIu2ogTz_oLwBw&psig=AFQjCNFla8akZEhznnu8fyeYpWJfmGY7CQ&ust=1418780726472103

Exitspeed, I think with a room that large it would have been awesome to update the mantle with a modern look of stone and extend to the ceiling. It be a great focal point for that room and the rest of the room looks modern already.

We might do something else with it down the road. The majority of our budget went to the kitchen/bath/powder room remodel. So the fireplace thing was just sort if a temporary thing. That cost all of $75 to do.

[Driftwire]

Well shit Im 25, I dont even know how the fuck to afford a home. Not even a small ass home. Time to get some advice or help locally.

#UneducatedOnThis

[simmode1]

Well shit Im 25, I dont even know how the fuck to afford a home. Not even a small ass home. Time to get some advice or help locally.

#UneducatedOnThis
You are the type of person I was thinking of when I said: seek out a first time home buyers seminar. You'll get valuable info there. You'll be surprised at how much assistance is out there to help you with down payments & closing costs. Thanks, Obama! Lol

But for some generalities, search online for a mortgage calculator, plug your info in & it will tell you a ballpark figure about how much of a mortgage you might be able to afford based on your current income & debt.

Once you know that dollar amount, browse around zillow & trulia to get an idea of how far that dollar amount goes & what kind of home it might be able to afford.

You have to set realistic expectations. If you're living ok in a 1 bedroom apartment, try looking at condos that match your current specifications. In most cases, the monthly mortgage cost to own that space will be lower than if you were renting that space. Even after you add in the taxes & insurances that you're gonna need, typically, its still cheaper than renting, if you spread the mortgage out over 30 years. Just be disciplined enough to pay it off early.

Or take a similar approach with a two bedroom condo, get a roommate and charge them the rental rate....hehehe...

The more info you gather on the subject, the more strategies you'll be able to make so that you come out on top.

The fun part starts when you begin considering location & how much the home might increase in value because of stuff going on around it.

[DrtyRat]

Well shit Im 25, I dont even know how the fuck to afford a home. Not even a small ass home. Time to get some advice or help locally.

#UneducatedOnThis




Once you know that dollar amount, browse around zillow & trulia to get an idea of how far that dollar amount goes & what kind of home it might be able to afford.

Even after you add in the taxes & insurances that you're gonna need, typically, its still cheaper than renting, if you spread the mortgage out over 30 years.



Be very mindful of you taxes & insurances living in Florida. When we bought our house and they gave us an estimated payment, we thought it sounded too low, but the lady usured us that it should be close to that because she was using the highest insurance estimates. However when the insurance/tax quotes came back she was floored at how high they are here.

[Driftwire]

Hmm well i make shit ass money so as soon as I can make some extra money or if i land this new job I should be able to afford a decent spot for now. Finish school in August.

[Otto347]

This is how you afford shit...........

http://www.betacuts.com/wp-content/uploads/2013/10/IMG_0793-e1386881619900.jpg

[imotion s14]

Most people can't. It's a cultural phenomenon of the mid 20th century that is reversing. Tying yourself down to a local economy in a global age seems pretty stupid.

The majority of people can't afford the trust cost of home ownership. Like my $6000 sewer line repair.

I could have invested that in equity and got better returns in 30 years

But hey at least you can turn up your home theater system!

[midnight zenki]

This is how you afford shit...........

http://www.betacuts.com/wp-content/uploads/2013/10/IMG_0793-e1386881619900.jpg

This is how it's done. Got make that dual income, then the kids creep in and you subtract a bag of your cash and then another kid pops up and the cash is all gone.

Exitspeed hit the nail on the head though, make the sacrifice for a house that meets all those necessities about saftey, schools etc and its worth the payement if you have children. I am in the same exact boat:kiss:

[tricky_ab]

Most people can't. It's a cultural phenomenon of the mid 20th century that is reversing. Tying yourself down to a local economy in a global age seems pretty stupid.

The majority of people can't afford the trust cost of home ownership. Like my $6000 sewer line repair.

I could have invested that in equity and got better returns in 30 years

But hey at least you can turn up your home theater system!

I've got a proper contingency fund that I put money into monthly. I won't be caught with my pants down if something bad happens out of the blue. I'd file that under the cost of living. Stuff like that shouldn't be a second thought if you own a house.

And I LOVE to turn my HT up proper for movie night :)

[exitspeed]

Thought about the brick around the fireplace. Think we're going to do some natural ledger stone tile over the brick.

[lewisfk]

You can pay for a home warranty program that covers the cost of major repairs. Your only responsible for the lines under the house until it ties into the city lines. Do you live outside city limits, and use a septic tank? My home warranty is through Old Republic.

[Ramonesfreak2010]

I hate the fact that I live in an area where houses are $500k+.

[K_style]

Is anybody from Capital Region in NY?

Need local advise... most house here seem pretty old.. not sure if it make sense to buy old ass house with land so I can build up my own? or buy something decent so I can do some upgrades...
Worst part here is, no one seem to have a large sized garage..

Seriously need to buy house ASAP!!! I am done with paying RENT!!!

[soundboy]

Build it.

It always ends up better.

[Corbic]

Build it.

It always ends up better.


...and over budget

[dbeiler]

For those of you who haven't yet bothered doing the math on 30yr vs 15yr mortgages:

Median U.S. home price is roughly $200,000. Dude A and Dude B each save up enough cash to cover 20% down and closing costs.

Dude A chooses a 30yr mortgage for the remaining $160,000 with (today's average) interest rate of 4%. His monthly mortgage payment is $764.

Dude B chooses a 15yr mortgage for the remaining $160,000 with (today's average) interest rate of 3.3%. His monthly mortgage payment is $1128.

After the first 5 years:
Dude A has paid
$15,284 towards his principle
$30,556 in interest
He still has 25 years of payments and a remaining balance of $144,716.

Dude B has paid
$44,825 towards his principle
$22,855 in interest
He still has 10 years of payments and a remaining balance of $115,175.

Over the course of their respective mortgage payoffs:
Dude A will pay a whopping total of $114,991 in interest alone!
Dude B will pay a total of $43,069 in interest.

Dude B buys a brand new Corvette with the $70K he saved on his mortgage.
He lives happily ever after. The end.

*all numbers courtesy of www.creditkarma.com

[MADE]

I think a lot of people don't put the 20% down.

[Corbic]

^ it's true. Interest payments are murder.

My idiot Sister and Her douche husband just bought a house for 190k on a 30.

Dumb fucks still have not figured out the $800 payment does not include PMI, Insurance and Taxes.

I looked up Colorado Springs tax rate and it's going to be like $4,500 a year....

[Corbic]

I think a lot of people don't put the 20% down.


Few can, hence PMI.

It's hard saving up $20-50k cash in a reasonable amount of time while living in a reasonable rental or apartment.

They type of guy that can stack $40k in a year is also likely looking at million dollar homes, so making more doesn't help.

[lewisfk]

^^ I understand what your saying, but I want my corvette now! Not when I'm in my late 40 to mid 50 age range. I chose a 30 year mortgage due to the lower cost monthly, because I wanted to do major upgrades like solar, tankless water heater, and heat my pool.

Just hit one year as a homeowner. My credit jumped up as well.

[MADE]

^^ I understand what your saying, but I want my corvette now! Not when I'm in my late 40 to mid 50 age range. I chose a 30 year mortgage due to the lower cost monthly, because I wanted to do major upgrades like solar, tankless water heater, and heat my pool.

Just hit one year as a homeowner. My credit jumped up as well.

Tankless water heater is the ish. Instant hot water, its common everywhere except here. Now if I can only get a heated tub, and a heated toiler seat like the Japanese Id be set.

My next $$ upgrade is a Generac standby generator. If I retire here and get a real job I plan to double up my payments and do that.

This MD is the first place I could realistically afford a home, so I decided to buy my first house. Its not a bad price, considering the amount of land and sq ft I got. When I watch HGTV I cringe for those prices I'd never by a home.

[simmode1]

When I watch HGTV I cringe for those prices I'd never by a home.

I'm glad it's not just me.

[Silverbullet]

For those of you who haven't yet bothered doing the math on 30yr vs 15yr mortgages:

Median U.S. home price is roughly $200,000. Dude A and Dude B each save up enough cash to cover 20% down and closing costs.

Dude A chooses a 30yr mortgage for the remaining $160,000 with (today's average) interest rate of 4%. His monthly mortgage payment is $764.

Dude B chooses a 15yr mortgage for the remaining $160,000 with (today's average) interest rate of 3.3%. His monthly mortgage payment is $1128.

After the first 5 years:
Dude A has paid
$15,284 towards his principle
$30,556 in interest
He still has 25 years of payments and a remaining balance of $144,716.

Dude B has paid
$44,825 towards his principle
$22,855 in interest
He still has 10 years of payments and a remaining balance of $115,175.

Over the course of their respective mortgage payoffs:
Dude A will pay a whopping total of $114,991 in interest alone!
Dude B will pay a total of $43,069 in interest.

Dude B buys a brand new Corvette with the $70K he saved on his mortgage.
He lives happily ever after. The end.

*all numbers courtesy of www.creditkarma.com

There is no right or wrong choice when it comes to your financing, they are just simply options for different goals, but when it comes to 15 yr financing, i think its just plain silly. Having money TODAY is more powerful. Leverage as much as you can. This is what the wealthy does.

Your simulation is not wrong in numbers, however let me add an extra variable. The $250 Dude A saved, can be invested in the market. Putting in $250 a month into a balanced portfolio will easily pay off all of the interest paid over the whole mortgage. Sure, not everyone is going to do this, but having that extra spending cash gives Dude A more options in terms of buying power.

Also, I know i said your simulation is not wrong, but it is. You're comparing the total amount of interest paid in two scenarios. One of them is 15 years later than the other. We can assume a 2% inflation each year. Compounding inflation. See where I am going with this?

[dbeiler]

There is no right or wrong choice when it comes to your financing, they are just simply options for different goals, but when it comes to 15 yr financing, i think its just plain silly. Having money TODAY is more powerful. Leverage as much as you can. This is what the wealthy does.

Not really sure what you mean by this. Care to elaborate with some calculations?

Your simulation is not wrong in numbers, however let me add an extra variable. The $250 Dude A saved, can be invested in the market. Putting in $250 a month into a balanced portfolio will easily pay off all of the interest paid over the whole mortgage. Sure, not everyone is going to do this, but having that extra spending cash gives Dude A more options in terms of buying power.

I'm afraid that's a huge miscalculation. Keep in mind, Dude B saves $70K IN INTEREST ALONE. There is no way investing $250 a month can gain you $70K IN INTEREST ALONE in 15 years. That would average out to a gain of $388 a month in interest. Impossabru!

Also, I know i said your simulation is not wrong, but it is. You're comparing the total amount of interest paid in two scenarios. One of them is 15 years later than the other. We can assume a 2% inflation each year. Compounding inflation. See where I am going with this?

You are correct, my calculations don't reflect inflation.

[Silverbullet]

Putting $350 into investments, sorry not $250. $350 monthly into the market after about 15 years will project $148k in today's value, $80k from interest and dividends in today's value.

That $70k saved in interest is and always will be $70k reguardless what year it is in the future.

I'm using a portfolio calculator on my phone, but I'm sure you can find a well rounded compounding calculator on the internet.

When i said having the money today is more powerful because it can be leveraged, i mean that money you have now can be used to purchase something now. You can leverage it by using that money as a down payment for another loan for another house, or like i mentioned before, a market portfolio. Its how you turn $20k into $500k+




Like i said, there is no right or wrong choice. Not everyone has the interest of making more with their money, some people just want a simple life and not deal with having a loan under their name. I was treating the model as an investment house. When it comes to buying a house as a home, there is more emotional elements in play.

[Flicktitty]

figured i would bump this up again, Just closed on our first house a couple weeks ago, so far i'm loving it, lot's of plans for both the house and the garage!

https://40.media.tumblr.com/f1cdefa456a789ca57cfe0c4888f8be9/tumblr_nxvxd0IcgM1qe4bgjo1_1280.jpg
https://41.media.tumblr.com/30c9ca9af4f80c019311b457cc90e428/tumblr_nxvxd0IcgM1qe4bgjo2_1280.jpg

[CrimsonRockett]

That's a nice looking house.

Congrats!

[DertyDan]

yeah, awesome house! super fast and furious style. i wish this thread was more active! i got approved to buy a house once.... then i decided to go to final bout :p

[exitspeed]

figured i would bump this up again, Just closed on our first house a couple weeks ago, so far i'm loving it, lot's of plans for both the house and the garage!



Nice place. Where are you about?


Update on the house we bought last year. Stuck about $50k into it so far. So much work. Changed the entire floor plan on the first floor (moved the bathroom, laundry, kitchen, garage door entrance, etc), replaced every piece trim and floor board in the house, replaced stair rails and posts, did landscaping, and on and on.

Part of the kitchen.
https://lh3.googleusercontent.com/xXTJm1oAQ1DXZT6dtnWaUTDtugqqoZEFnpJr1Le-ZdJsDYoTwTpsKeDObyqO7M7iZC7EIhTg39HFz_I_uFD316Roao AzAB1rvtoMCMRXKmqoVvX7J2hl-I7ow26bHkQuushsXtgEjFZ2UKonI4wnBRPooN63fAGyL-OevuHQsbwdwYdYFTR4necjTHo5wjwouiM3MB06ieV3Ip5Smacx 4w3lC4Oo6ZZmH4WfksUWbunUMTBeS9UkZQsWCbPgbCoySazZ9r VThqaDnhRqVDduRzRsSt1hyYjubqRTcxkSjKSEFCJn5W3chJ1z CN30o9B5cIpxTE4MwrmNza4oj6S46gGkgMne4ZQBh8v7t3hhhC i8HpPb9JBFBLnTjlDplYzWHmr2qrGw6ByX7f-IXS88odGdeEBQEgIK_-ptNMyeWpGYhsl21JlH-I_qrs-kZCubCA-nMGg1T002WXYoKAv8r8jFFCQ1uqTlNTUAaWjGwGEcv1zIcG_JG SHvIj6U3oe-1nfBTuU94kjIjzIRpGl-3d2fvfEFLI7j0-Sp0FJntAU=w1672-h945-no

https://lh3.googleusercontent.com/G07Zd1wYyVXa_m7oVM2ciXHwjgnw2V8fmVPL86PmhhM9JTgpO5 NixRgutvodOulaR20ToTeYzq_HCidb7hwKS_VAooyPRgU5X4l4 1DA37DZnHPlPJYQZbAHi_3m5hb1qdDVv6JdmssjQY-EewHGgZG0K1bxf3C4CRUMp9ng3qfTH54N-_YinXfUisr2_2lqXZR7gMxk5uK22ecFr8NuYt0QE3KvQiU53mW P8Yhhbx4-e_yawEA4t9_60rxpBwy2arse0IKnY0_7QuEOaKicdS3yb7DA3F-Z3wVzLrp7ZRvIe5l4FNIlBWwU8kBM5_Dublwx1Tx6CO6R8McxF vYzopnyDvZizGUsXCEvo0zbGWzEMPQQGi6ffbslZgo3TclqNrG 22XPzcHMvpYYSTekj_9fGjCAhKbrElN_Fi_VPv-pJqcsg-yIOuMtjGf3xG4LkGeskibHRh3u5NUbLBnETx5CL2YRSHNq-qAOSXzbLKHWX3oGKuQKZFYcvvXMEfxNvPpCW9JGs4MsHnCwFtK AJTzHedzaQjbPFagTenCf7lNwk=w709-h945-no

The neighbors call our tree the tree of the neighborhood.

https://lh3.googleusercontent.com/KMUiqqrJbHsDgCRoE1TI5kEHn6pFTOe7UluJ6pt7ptIeLvsdOi CGcNWCBsNtlIBXQNFXSQqtWs-XBDzHStrqRXfNGtRaZdRYLyArSZEwBZArVqGn5Ndrpe4RS0M-R3CZFNvwe3viYB69QVYdjJA2qlFCWJt8hA-RzlIdm9idvHmu1psVgWuUXiHmOQ7eiifQC2BUHW3lMDDqBuQln wBGOBJk_zBMv2ZAE0zZQ1lubw01Jr3rMNziPKh2xNaupajCLbI 2EocrJr7A5BvnXg_ataJglfQi_R3xnxpxi_1V8qEnuuJHzBJKr o2SI1KzEpq0hlyuuzjCUqfd7Dd7m-2dFoig-SzhpNvUr4Y5JBPFVP_AKhYagTazJNAqgenW1xwDRaphWt4H1WH N_zLPMe7eyv6Sww3vVPFJoj7s8Dpn_SL6NZDpNTZ0loKb49sRx NFSCEftFQ4vfCo5jJENKK285-M3J2Av7UncKlKuGwTZl7VXkbKi0rk4M6ejQ1bNFWzkSknxx23B bHliOFD0ykTaJyWkeSo2t5IpvtZ3t9K0ZQU=w1418-h945-no

My back yard. 1 Acre. I built that table out of barn beams and white oak. It weighs about 500lbs.
https://lh3.googleusercontent.com/1KqDKpOPwoN4Nex_z17SggpzPB0lzLxHWvaow3nTbZTuB0NGM8 7YhJ-2i95kU3peKR1wY4WNNn-y4zEffZzTLpriJk4xR8m9C0lmx43GKbowiv63jlq-o47xxNp0NW4zIvH0fbUu9tMZyzpSPuw1cd1AiPAYAkA4d0v6iq HFGaU4NkcEODa6O3m3H1IoOA8YwFatvWfstpp8vpRTjwoA6foP HsjDujJpJiF6cJPoyVM0OqQ2xl4WERg3HKTZi55IjFmiAyDTW6 p32abJB1L9B1CdDlGt4HTM-noeX9x0faNzWAvhKYsGCL8J6wzGmsV_JKqRPfaWtqgUX_aJhgJ gDvxLpepiWvJy-9gSx-iiTmvBYxJ2kM-ml5HjB-U7AcahcxfMCiTzckYe3yx24VW3H-CIUMx9dgnli9SboBfmF11LDist8mE4_DYWprmNYFXtn0UkgKMw lo46B0RRyKthMmjBNE41dQV5UUQcqYJMJ5QqVwXEcbdmrbC5wB bfnLXmVlW6R5K9iLNlSJwmmWBnVhH8DRCf3L9RZ7Cr1Ms0MQQ= w1260-h945-no

I'll post some more up another time.

[Lees_Garage]

Exitspeed, love the house and the tree!

[JesusFreakDrifter]

Fuck! You fellas are going in. I absolutely love figures. This makes me anxious now to get started in the home buying process

[tricky_ab]

Hey exitspeed, I'd love to comment on how much I like your house, but the pictures are not showing up for me :(

[exitspeed]

Hey exitspeed, I'd love to comment on how much I like your house, but the pictures are not showing up for me :(

Huh weird. They're on my google photos. That might be why.

[gbaby2089]

Yup, I can't see your photos either exitspeed.

@flicktitty, looks super nice!

[Silverbullet]

that is a fantastic garage!

[ZenkiKid]

Thread bump.

Fiancee and I are gonna get pre-approval next week (or the week after) to see where we stand regarding our goal of entering the market to buy this time next year.

Scared of the results but I am hoping that our only issue is our down payment. We both have very good credit scores and pretty low debt so my fingers are crossed.

[exitspeed]

Finally got around to posting pics people can see. We gutted the entire kitchen, first floor bath, laundry and moved the whole kitchen around. We had to change the location of the inside garage door too. Nothing was untouched (except the upstairs bathroom which is next). We painted every room, removed and replaced every piece of baseboard, window and door trim, outlet and light fixture in the house. Its never ending. We bought the house for $225k stuck about $50k into it so far. Just appraised for $325k. There's an acre lot, with a side woods and a lake about 100 yards away.

When we bought it. Looking from the living room to the kitchen.
https://farm8.staticflickr.com/7242/26976142926_a3ddbb72e6_c.jpg

The little kitchen and laundry room. There's also a bathroom there.
https://farm8.staticflickr.com/7012/26403847104_52abb767f7_c.jpg

Work.
https://farm8.staticflickr.com/7724/26385953283_9364f8d16c_c.jpg

Work.
https://farm8.staticflickr.com/7663/26956153326_1ae2f1ec2b_c.jpg

Work.
https://farm8.staticflickr.com/7367/26990134585_c3cc0ccc0b_c.jpg

https://farm8.staticflickr.com/7622/26384688994_7557ea48c7_c.jpg

Cabinets in and new oak floors stained.
https://farm8.staticflickr.com/7695/26956147056_7a4dfa0eab_c.jpg

Kitchen mostly done. We were still waiting for the rest of the island trim (you can see a couple of the edges of the trim aren't finished).
https://farm8.staticflickr.com/7691/26915606932_f0781bb1ae_c.jpg

Here are the sliding doors. Pics below on the work on those.
https://farm8.staticflickr.com/7339/26990686485_928cc4813c_c.jpg

The barn wood I used for the chalk board frame.
https://farm8.staticflickr.com/7548/26715836480_e464d3b957_c.jpg

This was the dining room.
https://farm8.staticflickr.com/7360/26384218704_666671468f_c.jpg

Built this playhouse for the kids for Christmas.
https://farm8.staticflickr.com/7485/26384219524_1dd701b286_c.jpg

100 year old doors. 9' TALL!
https://farm8.staticflickr.com/7375/26957309556_83aacb5a53_c.jpg

Cut them down to standard door height, changed the glass to be horizontal and refinished the,
https://farm8.staticflickr.com/7662/26716427310_7e0f1317a0_c.jpg

Old stair rails and spindles.
https://farm8.staticflickr.com/7590/26716895950_12b23f634c_c.jpg

New posts, rails, spindles.
https://farm8.staticflickr.com/7538/26385231844_393e9b3262_c.jpg

Living room when we bought it.
https://farm8.staticflickr.com/7329/26403847034_b2dd375d34_c.jpg

Now. From the other way looking towards the front of the house.
https://farm8.staticflickr.com/7234/26405456053_de28f387e3_c.jpg

We put in new fans throughout the house. But thought they were sorta boring.
https://farm8.staticflickr.com/7563/26386608553_9613fe8f21_c.jpg

I bought new glass bowls, drilled holes, painted the parts underneath and put in Edison bulbs. Boom, custom one-of-a-kind modern fans.
https://farm8.staticflickr.com/7786/26922067151_7b6884cf0a_c.jpg

Fireplace as of right now. Doing a barn beam mantle soon.
https://farm8.staticflickr.com/7243/26940886241_0d355818f6_c.jpg

Backyard. I built that outdoor dining table so we could eat outside.
https://farm8.staticflickr.com/7537/26716468260_edc8cc2377_c.jpg

And the money shot. "The Tree of the Neighborhood"as the neighbors call it, in all its Fall glory.
https://farm8.staticflickr.com/7005/26715879880_f476c295c1_c.jpg

[lunchmeat]

Damn that's nice

[MightyMouse13]

My wife and I have asked this question many times. We're not completely broke, but not rich either. When we began our house search we set the budget at $100k and found almost nothing. Cost of living here is low too. it definitely is an eye opener watching those hgtv shows.


Sent from my iPhone using Tapatalk

[simmode1]

Great job on the reno! I like what I'm seeing so far... especially the budget numbers.


My wife and I have asked this question many times. We're not completely broke, but not rich either. When we began our house search we set the budget at $100k and found almost nothing. Cost of living here is low too. it definitely is an eye opener watching those hgtv shows.


Sent from my iPhone using Tapatalk
Yeah, you gotta take HGTV with a grain of salt. That stuff is for entertainment. I think did a quick and simple search in Tallahassee and found tons of houses under between $40 & $120k. You have to so really strategic with the criteria you're searching for or you come up empty handed. Not sure exactly what you're looking for, but good luck on your search. My wife and I are in the same boat. Exploring the NACA program now to see if that gives us any advantages.

[silverarrow27]

^Renovation definitely looks good. You're talented to do all that work yourselves.

Same here, been spending the last month looking at homes and all I find are really crappy 50s, 60s, and 70s homes that needs LOTS of updating for $250k. The 80s and 90s homes for the $250k range just have some weird ass plans, don't know what the hell the designers/architects were thinking of back then.

[exitspeed]

^Renovation definitely looks good. You're talented to do all that work yourselves.

Same here, been spending the last month looking at homes and all I find are really crappy 50s, 60s, and 70s homes that needs LOTS of updating for $250k. The 80s and 90s homes for the $250k range just have some weird ass plans, don't know what the hell the designers/architects were thinking of back then.

We actually hired a contractor to do the kitchen since we moved the kitchen, bathroom and Landry room around. Too much electrical asked plumbing to do it myself. But the rest of there house I did.

The homes from there 90's are shitty quality most of the time too.

[hobbs]

Ugh...all of these nice houses in this thread. I can't wait to get to the point in my life to where I'm able to settle down and buy a house.

[tricky_ab]

Great looking house exitspeed! I love the kitchen the most...

We actually hired a contractor to do the kitchen since we moved the kitchen, bathroom and Landry room around. Too much electrical asked plumbing to do it myself. But the rest of there house I did.

The homes from there 90's are shitty quality most of the time too.

Yeah, I can attest to the quality dropping in the 1990+ houses... My current house is a new build (3 years old) and there's some legit head scratching moments I've come across.

Last one was when I was mounting a TV and the studs were spaced out differently. It's laughable till you realize that we are talking about a house that's worth $569K...

[gbaby2089]

^Ouch. My wife & I are looking for something small, built between 1900 and 1960 and with a fair amount of land.

Not a chance we find it.

[CrimsonRockett]

My wife and I have asked this question many times. We're not completely broke, but not rich either. When we began our house search we set the budget at $100k and found almost nothing. Cost of living here is low too. it definitely is an eye opener watching those hgtv shows.



Great job on the reno! I like what I'm seeing so far... especially the budget numbers.

Yeah, you gotta take HGTV with a grain of salt. That stuff is for entertainment. I think did a quick and simple search in Tallahassee and found tons of houses under between $40 & $120k. You have to so really strategic with the criteria you're searching for or you come up empty handed. Not sure exactly what you're looking for, but good luck on your search. My wife and I are in the same boat. Exploring the NACA program now to see if that gives us any advantages.

I wish houses in CA were $120k.

HGTV throws numbers around for reno's that are laughable at times. Maybe it's the city/state they're remodeling in, but there's no way in hell you would get as much as they get done here in CA.

Currently shopping for our second house with a max purchase price of around $600k.

[exitspeed]

I wish houses in CA were $120k.

HGTV throws numbers around for reno's that are laughable at times. Maybe it's the city/state they're remodeling in, but there's no way in hell you would get as much as they get done here in CA.

Currently shopping for our second house with a max purchase price of around $600k.

I've said for a decade that the costs on those shows isn't accurate because they have sponsors (Wayfair, etc). So they get all the accessories that would cost you and I $5k. Same with building materials and everything else.

[Corbic]

I've said for a decade that the costs on those shows isn't accurate because they have sponsors (Wayfair, etc). So they get all the accessories that would cost you and I $5k. Same with building materials and everything else.



Hit or miss. Some of the costs they are spending blows my mind. Buy house for 700k, spend 160k renovation, list for 900k.

The pro flippers obviously have a ton of industry connections and are not shopping at Home Depot. It's just like car parts. Most shops/retailers are getting parts for 30-40% under retail.

[ZenkiKid]

Fiancee and I got pre-approved and now were just honestly window shopping.

Nothing is currently out there that we want, especially for the price.

[exitspeed]

Found a better shot of the tree in fall I took last fall.

https://farm8.staticflickr.com/7517/26936373132_80d279e3c3_c.jpg

Oh and look at this fucking score! Free. Going in our entryway after I refinish. It happens to be 60" wide which is exactly the size of the opening of the closet area. Shit is going to look bad ass. Thinking of some chalk paint on the top for names and shit.

https://farm8.staticflickr.com/7341/26427528933_4c9a67773b_c.jpg

[simmode1]

^^^That is a sweet score. Looking forward to seeing what you do with it.

[[240sx]]

Wait, wait, wait.... so is this a home buying/mortgage cost conversation turned build thread? Lol.

[Corbic]

Well pump died. Need new well, $4,500.


Fuck


My


Life

[exitspeed]

;6064199']Wait, wait, wait.... so is this a home buying/mortgage cost conversation turned build thread? Lol.

Nail on the head (pun intended).

Well pump died. Need new well, $4,500.


Fuck


My


Life

Isn't owning a home fuuuuuun?!

[KiLLeR2001]

Just curious if anyone here is single and owns a home?

exitspeed, I've now convinced myself I can't own a home unless it has an awesome tree planted in the front yard. What type of tree is that?

[Corbic]

Just curious if anyone here is single and owns a home?



Yes. Worst decisions of my life.

[lunchmeat]

I bought my first house when I was 24 and single. ..12 years ago. 1500 sq ft zero lot house, 3 bed, 2 bath, and 2 car garage for $85k. Lived there by myself till 2008, sold the place in 2012 for $86k.
Even now that I'm married, I still pay the mortgage and utilities myself.

[exitspeed]

Just curious if anyone here is single and owns a home?

exitspeed, I've now convinced myself I can't own a home unless it has an awesome tree planted in the front yard. What type of tree is that?

I've been married for 10 years. We bought our first home before we got married. So no for me.

It's a maple. That tree was probably 25% of the reason I loved the house. I didn't realize it was a big deal until I started talking to the neighbors and they started referring to it as "the tree of the neighborhood".

[Agamemnon]

Just curious if anyone here is single and owns a home?

*Raises hand