Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
It's not the people who live paycheck to paycheck that are bidding prices up, it's actually those with savings doing it.
If you don't have savings, you cannot bid more for a home than its appraisal value, in other words, you can't drive the market higher than it already was, because the lender will reject it.
Exactly. And those paying 100% cash can afford to bid higher simply because they do not need to worry about an appraisal if they want a property.
My 48 year old friend has never owned or rented... he is single... went into the military and lived on ships or on base his entire 30 years...
He did save a bundle and has a pension and healthcare... he is retired at 48.
If you choose a career path with medical and room and board and live a frugal lifestyle who is to say you can't buy a first home at retirement in 2016?
He is from Nebraska and said homes where he grew up with a little land are so cheap... more so if they need a little fixin...
He does like San Diego but wants to buy a property with a little land and that is not going to happen in San Diego.
Hm, no mention of you actually being pro-active and doing something about your situation. You want others to do it for you.
Homeowners want others to make their homes more valuable (by bidding up property values) without paying property taxes on their increased valuation (Prop 13). Homeowners in most states want others to pay higher property taxes so they can pay less (split roll property taxes). Homeowners want others to di it for them.
What is the hazard in renting a room near work and walking, as opposed to owning a house and car and thus spending 3 times the amount of money? I'd run out of money in a year instead of continuing to save every month.
Wouldn't it be better to wait until my income can support the lifestyle before I leap into it?
As I personally discovered when the angry drunk was fighting with his girlfriend three times a week and both getting hauled off to jail for domestic violence, you could find yourself in a combat zone.
Or the drunk could get up on the wrong side of the bed one morning and decide to kick you out. (He kept everyone strung along month-to-month to make it easier for him to get rid of people.)
Or the rent could necessarily skyrocket and you run out of rooms you can afford to rent.
As I personally discovered when the angry drunk was fighting with his girlfriend three times a week and both getting hauled off to jail for domestic violence, you could find yourself in a combat zone.
Or the drunk could get up on the wrong side of the bed one morning and decide to kick you out. (He kept everyone strung along month-to-month to make it easier for him to get rid of people.)
Or the rent could necessarily skyrocket and you run out of rooms you can afford to rent.
Even if the rent goes up 25% and I have to pay rent in two places for a few months I come out ahead. Even the taxes, heating and cooling alone on an SFH in my area cost more than my rent for a room.
Homeowners want others to make their homes more valuable (by bidding up property values) without paying property taxes on their increased valuation (Prop 13). Homeowners in most states want others to pay higher property taxes so they can pay less (split roll property taxes). Homeowners want others to di it for them.
Most homeowners I know simply want to be left in peace to enjoy the fruit of their labors... most of my neighbors built their homes in the early 1960's...
It is where they live... it is a home first and not an investment.
Appreciation isn't the cake... it is the frosting.
If you guys are single like me or living only with your girlfriend(not married with kids)there is no need to pay so much.
I love cheap houses!!!
If you make it then you can get your dream place.
No need to put that much money very early in life.
Depends on how long you intend to remain childless. If you buy the cheap house for only a short period it may actually be more expensive once you factor in RE commissions and moving costs.
Of course if you're willing to massively renovate, you might be able to get around this issue.
Finally, if it's in a bad school district, you can't exactly renovate that problem away...
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
