Money Expert: "Don't buy a house"

[OneManGang]

But why do we keep assuming the only homes to buy are ones we can’t afford? I bought in a gentrifying area low and my value has 3-4x and my mortgage was cheaper than rent

There’s a lot of factors. For me, I bought as cheap as possible in an area I could still have a decent commute to work. Just so happens I live in a high demand/high property tax area. Also what year did you buy?

 

[Canada Goose]

Sightly off topic but I gotta pay for water and I'm a renter in a apartment in Florida



Is anybody else here a renter and pay for water? I've heard water bills really be hurting homeowners pockets. My yearly SS increase got wiped out by that Water bill bullshyt I was hot



What is the point of moving to FL from NYC if my pockets aren't gonna be fatter

 

[OneManGang]

Doesn't it depend on the city as well? in NYC average for a 3 bedroom is anywhere from $3,500 to $5,000. That's a mortgage and property taxes.

Grossly depends on the area. But ima call cap on a house in the city where mortgage and taxes is only 3500-5000 in 2026. With the rates what they are and the prices I will be shocked if that’s the case

 

[the artist known az]

Don't buy a house that you can't afford. Also look at something other than a detached house

 

[Raw Lyrics]

Grossly depends on the area. But ima call cap on a house in the city where mortgage and taxes is only 3500-5000 in 2026. With the rates what they are and the prices I will be shocked if that’s the case

For sure. I should have specified, you buy a house outside the boroughs and commute in. I know it's a pain but you have to pick your poison.

Either that or pay $3,500 to live in a shoebox.

 

[Apollo Creed]

There’s a lot of factors. For me, I bought as cheap as possible in an area I could still have a decent commute to work. Just so happens I live in a high demand/high property tax area.

Gotcha. People with kids I get but if you a single man I would suggest hugging it out if you can buy cheap in gentrifying neighbor hoods as we tend to be able to do more with less and can deal with the annoyances Of transitional neighborhoods better than women and children

 

[desjardins]

.....and what are you going to do after you retire and you still have to come up with rent from your fixed retirement income?

I can't even envision a 70 yr old going on multiple rental tours talking to landlords about first and last deposit coming from the social security check
who df want's to be dealing with the rental market at that stage of life. My primary residence will be paid off in full this decade and I'm no where near retirement age. That level of stability can not be beat

 

[OneManGang]

Gotcha. People with kids I get but if you a single man I would suggest hugging it out if you can buy cheap in gentrifying neighbor hoods as we tend to be able to do more with less and can deal with the annoyances Of transitional neighborhoods better than women and children

What year did you buy too? These interest rates plus the fukked up prices are destroying the market for buyers. The cheap houses are even unaffordable after mortgage and escrow and taxes

 

[Richard Glidewell]

People buy too much house.........they always give extreme advice instead of sound advice.........corporate powers needs there to be a hold off on buying until they can manage to gobble up more housing or before someone actuality grows some balls and regulates their bullshyt........buy your house, just dont buy too much house..........gonna be better than the feudal lord system they want you in in the near future

 

[Apollo Creed]

What year did you buy too? These interest rates plus the fukked up prices are destroying the market for buyers. The cheap houses are even unaffordable after mortgage and escrow and taxes

2014, paying off house this month.

 

[OneManGang]

For sure. I should have specified, you buy a house outside the boroughs and commute in. I know it's a pain but you have to pick your poison.

Either that or pay $3,500 to live in a shoebox.

I can’t speak on NYC real estate like that, but I will say NYC and tristate in general with the public transport infrastructure makes this plan a lot more feasible than most other major cities

 

[OneManGang]

2014, paying off house this month.

Ya my boy

You playing an entirely different game

2014 prices is not 2026 prices. Yall early buyers in an entirely different economy lol. Congrats though a paid off house is huge

 

[Apollo Creed]

Ya my boy

You playing an entirely different game

2014 prices is not 2026 prices. Yall early buyers in an entirely different economy lol. Congrats though a paid off house is huge

Oh nah I get it, at this point I’m never selling lol gonna just do an heloc and buy overseas property

 

[Raw Lyrics]

I can’t speak on NYC real estate like that, but I will say NYC and tristate in general with the public transport infrastructure makes this plan a lot more feasible than most other major cities

I'm from Brooklyn. Purchased a crib in staten island at 2.85% during pandemic. I did not want to move to SI but it was the only place out of the boroughs where I could get the most bang for my buck (backyard, driveway, garage). I currently pay 3850, that includes mortgage and property tax. Average rate is now what? low 5%? So I wonder how much my bill would be if I purchased today.

 

[Heafcliffe]

it really just depends on the math. the phrase is "marry the house, date the rate". this means if you can afford a home with rates at like 6.5% and it's not gonna break you, then go for it. cuz if worse come worse, if there's ever an opportunity to refinance, you will drop your housing expense.

the house I live in I bought in 2015, and it was only $240K. now this house is worth like 350K-400K.

also, when I bought this house, my mortgage rate was 4.125%. then I refinanced it down to 3% in 2021 (dropped payment about $300).

what I'm getting at is for me, it would actually cost more money to rent a nice 1BR apartment as opposed to mortgage the 5BR house I currently have.

I currently have enough money to pay off my current mortgage today if I chose to (yes, I would deplete the majority of my cash and investments), but I am HYPER focused on having it paid off within 5 years. in 2 years, I get a huge income increase cuz I won't be paying child support anymore, and I will split that excess between this mortgage and increasing my investing.

Our circumstances are very similar. Bought in 2014 at 4.75% on $280k. Covid hit and a breh got that down to 2.75% and the house is worth well over $500k. Maybe more given the location. The mortgage is considerably cheaper than many apartments in the District.

Wife and I consider ourselves lucky & believe this is it. No more moving.