Where u at in central? I'm over here visiting a ex in Trenton it ain't half bad.
Rent they said. It’s cheaper they said.
- Thread starter Sad Bunny
- Start date
Where u at in central? I'm over here visiting a ex in Trenton it ain't half bad.
It's understandable. If you don't understand the hidden costs associated with real estate, or don't understand opportunity cost as relates to a down payment, or don't understand how mortgage interest/property tax is "throwing money away" then you won't understand our mentality. Stay over there.
I pay $1100 for a 2 bed 1 bath rental. If I was to buy this property I'd probably be paying double that in mortgage+home ownership costs. Do I then extrapolate and say renting > owning? No, because I'm not a dumbass, and I understand the best decision depends on the math on ground. I also didn't flunk high school algebra.
Amerikan Melanin
Veteran
Pull up.
You don't need to get a mortgage to get equity. You can get equity by buying stocks, creating a business... If real estate excites you so much you can buy REITs: dividends from real estate without the headache of owning real estate.
Its nonsensical to ever think that rent would be cheaper than the loan servicing the property. People aren’t renting their property out to take a loss every month. That alone should help most people understand the position they are in when they rent. You’re paying someone’s mortgage.
It can very well be. Rent prices are not set by the mortgage. They are set by supply and demand in the rental market. If the standard price for a 2 Bed 2 Bath in your area is $2000, no one gives a fukk that your mortgage is $3000. Either you rent at the market price or have an empty listing.
Some landlords have to put extra on top of the rent to pay the mortgage.
It depends on your market. And more and more, America is becoming an owners market. We’re heading towards a full blown serfdom where renters will totally be at the mercy of landlords. Most landlords can afford their mortgage without having to rent. It will soon get to the point where renters have no choice.
California is basically there atp. Very few people can afford to rent or own without roommates. The prices don’t go down.
Yeah I think this a blanket statement, regarding America becoming an owners market, or most landlords being able to afford their mortgage. NY landlords bytch endlessly, despite charging the highest rents in the nation bar California.
No market is immune to the forces of supply and demand. Real estate included. Eventually what goes up will come down.
He can’t afford a place in either places so he’s mad you’re flexing your options
Why wouldn't I understand these things better than you do when I'm the homeowner and you're the renter? That doesn't make sense at all
Silver Surfer
Veteran
No....go get a crib
If the landlord is renting you a 1100 dollar home, how much do you think the mortgage is? He’s also paying home ownership costs ( property taxes) How would the cost of ownership be 2200 dollars if you are paying 1100? Is the landlord running a charity?
I'm getting close to having 20 percent to buy a condo in Bed-Stuy, but I work in FAANG, and that's after penny pinching.That down payment is no joke. First last and security is peanuts compared to a non-FHA mortgage in major cities
You only need 3% down for a conventional mortgage (the down payment). Ask the loan officer about home ready/home possible (conventional product) or if you’re a first time homebuyer then you can go normal conventional. If you’re close to 20% then you might already have enough for the down payment and closing cost. You just need to make sire you qualify with DTI (debt to income) and Fico.