One of the greatest quotes ive ever heard was from Robin Williams. " i used to think growing old alone was the worst thing to ever happen to me. Now i realize that growing old with people who make me feel alone is the worst thing to happen to me". I think about that quote every time i cut another person out of my life.
Yep. Im not sure how his marriage was in his final years. I know he had dementia and that is why he decided to exit the way he did. I miss his work. He was an amazing comedian.
Yes, that was Robin Williams home and that was where he committed suicide. And yes, in California you have to disclose if there was a death in the home within the last 3 years. This house backs up to the San Francisco Bay and it did take awhile to sell after Robin died. Robin was an avid cyclist, and good friends with Lance Armstrong, and the North Bay is a great place to ride so I think that's why he chose to live there rather than other affluent city's in the Bay area.
Robin was a real cool dude. He was friendly to people. He would go around town just like a regular guy and would say hi to people who said hi to him. My old roomate ran into him and did the Mork hand signal to him and said "Nanu nanu" to him and Robin said nanu nanu right back to him!
19:00 I'll break it down for you Michael. The reason why these cities are banning Airbnb is because criminals are using Airbnb for criminal activities such as human trafficking, drugs, loud parties, burglary, & package theft (especially in those cities you mentioned). Recent studies have also shown that the crime rate has increased substantially in neighborhoods with a moderate to high percentages of short term rentals.
I can confirm. I have been dealing with criminal STR investors who knowingly came into my area where STRs are banned. These investors rented the house with a pool to partyers who howled, yelled, screamed, etc, 12-14 hours a day, 7 days per week! That includes families with kids screaming and barking dogs. Neighbors did not sign up to have unpoliced nightmare hotel STRs next door. When I filled a complaint they sent someone to try to break into my house. They are criminal trash! STRs need to be banned in ALL US residential and these investors need to be barred from buying homes. Unless you (Michael) have been tormented by the hell of STRs, people have no idea how horrible this industry really is.
That’s crazy I showed my 7 year old daughter the jumanji movie with robin Williams few weeks ago, she loved it it’s her favorite movie rn. May he rest in peace I loved all his movies growing up
As a retired plumber and worked for home warranty for over 25 most homes I worked on were poorly maintained and people would get mad because home warranty does not pay for water damage which usually exceeded the repair.and it seems most young people dont have a clue for simple basic repairs
I can understand why many cities, not just NY are placing restrictions on short term vacay rentals. It's gotten out of control in many places. How would you feel if your lovely family neighborhood suddenly became overrun with vacay rentals - transient strangers constantly in & out of the houses that surround where your children live, play, walk to the bus stop, etc. Many communities & families are fighting it, trying to take their neighborhoods back. Not much of a neighborhood anymore when wealthy investors have bought up half the houses!. In Jacksonville a friend's landlord owned many rental homes. He turned them All into Airbnb's & kicked all his tenants out, which was awful for them. Vacay rentals are fine but they need to be managed so they don't impact neighborhoods negatively. Great video, as always, thanks!
I paid $14,000 in income taxes each year in California. My property taxes were $7000 annually for a 270k house. I sold the house and moved. I pay 382 in property taxes annually and $780 for mortgage now in a different state.
$6,500/ year is pocket change for people who are buying a five million dollar house in many neighborhoods in Los Angeles. The problem is the prices of the houses.Those $5,000,000 houses were $3,300,000 a few years ago with low low fixed interest rates.
Think this every time Michael has mentioned the property taxes for multimillion dollar homes. Those property taxes sound high to us commoners, but the annual property taxes are like one months mortgage (if they even have one) payment--if they can afford those houses, they can surely also afford the property taxes that go with it.
Mortgage rate buydowns is what got us into the 2008 crash. By year 3 the payment isn’t manageable and the home has lost market value putting everyone underwater when more homes enter the market. The bank either agrees on short selling or the seller brings money to closing. If the seller cannot sell or bring the money and defaults, then foreclosure happens. Creates many accidental landlords as well…or the “acquisition company” gets it as a rental. If the acquisition owners go broke, the government will likely end up with the homes. Catch 22.
I have lived in my current home for almost 4 years now. Home repairs consist of a broken hose bib and two sprinklers. I have owned sfhs since 1997 and IME, maintenance costs are way over blown by most renters. I have never replaced a roof, an ac unit or a heater, but I have replaced one water heater. I do believe in having maintenance and emergency funds, because big ticket items do happen at times. It is always possible. My current house is 61 years old and the big potential issue is the clay sewer needing to be replaced. It will collapse eventually, maybe tomorrow, maybe 50 years from now. No one knows. Costs about $9k, big deal. The house has gone from $400k to $700k, a 9k cost is well worth it. I might even do it anyway if we go into a recession and I can get a good deal with some starving construction outfit and then never worry about it again. Roof and AC was new when I bought the house, so that is a long way off. I am definitely expecting a water heater replacement in the next 3 years, that’s minor. It’s cheap compared to what you get back. Fixed low rate payments and equity increases. And if the absolute worst happens and I lose it all, which really won’t happen considering insurance coverage and land value, big deal. I am paying half what rent is. Just that benefit alone is huge and making an enormous increase in my quality of life.
How wonderful that your home has not cost you significantly in maintenance! I think he is trying to remind young/new homebuyers that it is a hidden cost they never had as a renter that can be significant. We bought our home while quite young and could only afford an old house. It has been expensive to maintain and upgrade. Thankfully we could pay our bills, but not everyone saves for home repairs. We went to replace old linoleum and had to have a contractor rebuild the subfloor when we discovered rot and no support beams under the toilet. Our single day, a few hundred dollar bathroom improvement jumped significantly in price and time. We opened some walls and found no insulation. The wiring was archaic and burned out several bulbs with uneven current until we got the wiring replaced. Our old pipes decayed so badly our water tasted like rust. It was a comedy of errors. We weathered it, but not all couples can, especially if they live on the margins. We, like you, now enjoy a significant asset. But, it cost much more than mortgage, insurance, and property tax to grow that asset. If a buyer doesn't plan accordingly, he or she could end up losing that asset to foreclosure or short sale.
You've only been in the house for 4 years!! That's nothing. Btw, do you clean the gutters and winterize the sprinklers yourself? It still costs thousands annually just for the regular maintenance, let alone actual repairs.
@@eurekahope5310Agree completely. If you actually just maintain the house properly, let alone need repairs any equity you might have goes down significantly.
@@zuzanazuscinova5209 my gutters don’t get any tree debris in them, just the usual granules, and I blow out my own sprinklers with my own air compressor. I use to pay for the sprinklers blowout, $50, but set myself up for air tools in the garage so don’t need to anymore. I pay for a mow/edge/blow guy, $30 a cut, and a house cleaner, $90 dollars a time, but these are optional. I use to do this myself, but have the money to pay people since my mortgage/taxes/insurance is half the cost of rent. No doubt there will be costs, but over the long run the fixed rate mortgage pays for it.
Don't forget about Utilities, I know a guy who bought a place and then found out that the water bill was like $300/mo. because of a special bond... Ouch.
Bought my 1985 walk out ranch for 375k last summer, put down 20%, also made 80 grand on the sale of my previous home. In the first year of ownership I had to cough up 6k for new gutter systems and 8k for a new chimney. Things pop up. If you cant afford to put away 1 to 2 grand a month, dont buy a house.
Honestly, it's refreshing to see a problem identified and legislation enacted to solve it effectively, even if that means I lose access to Airbnbs, which I have used for many trips overseas and love. I wish our national politicians would get in gear and start solving a few problems...
I am constantly hearing about how many requirements landlords are enforcing for long term rentals - I’m sick of it because I don’t think it was as common of a practice in the old days to rent property you own. You either need it, or you don’t, and if you didn’t - you would sell it. It’s the greed of the rich withholding properties from the poor. Investment properties need exponential taxes per-property!
I know landlords are quite jaded by the eviction moratorium and want to rent to top candidates to avoid straight losses that come from renters not paying their rent. A landlord must continue to pay maintenance, property tax, and their mortgage regardless of if a renter pays a bill. And the eviction process takes months, while those landlord bills mount. I have known landlords who paid their tenants to leave since the eviction process was months of non-payment while the landlord continues to have bills. As to greed, sure, their are Blackrocks and other investment groups who are in it simply for the money. But often landlords are people who inherited a single home when a loved one died and chose to rent rather than sell. We rented from one couple who were in that situation and wanted to help a family, allowing us a short lease. They wanted to honor the neighborhood of their loved ones by choosing a local, responsible tenant. But, yes, we had excellent credit, consistent income, and personal recommendations. Before you accuse someone of greed, put yourself in a typical landlords shoes. They have to fix the pipes whether or not a renter pays. The government will repossess if they do not pay taxes. They could lose that asset if they do not pay the mortgage. In the case of our landlords, they were middle class people who couldn't afford to have long-term deadbeat renters. Sadly, it is the government intervention that is causing landlords to be more selective. They can no longer afford to take a chance on people with a checkered past. If evictions were swift, this wouldn't be an issue as they could afford a month of non-payment if they could be renting again in a couple months. In my state, CA, the eviction process is said to take 3 to 4 months from the start of paperwork (which assumes at least a month of non-payment). That means a landlord will likely have 6 months of bills without 6 months of income if they have to wait out the process. And in 6 months, how will an entitled tenant leave the place? Will it be ready to rent out in a couple days or will the place need renovation?
My grandma used to rent out her basement in the 1940s and her garage which was a freestanding garage in Brooklyn. My grandfather fought in WWI and had bad PTSD and lost his job. So they needed the $ as they had 5 kids. I think they paid around $1,000 for their house, it was a very small 700 s.f. house in Bensonhurst. The train was also right behind it, down about 35 feet in an open air tunnel that went under the ground in some places. Very noisy. Hard to sleep over at grandma's house due to trains running day and night which would shake the house.
My repairs are roughly 12k for 2023 and we're not at EOY yet I've gotten to the point where I buy all the materials before the contractor shows up Contractors charging 150/hr doesnt help
Greater Boston Here..NO DEMOCRAT will go in the trades..they goto Harvard instead to get MBA so they can serve lattes at nearest Starbucks. Darn few contractors will do Electrical, Plumbing, Door-Mechanics or Paving Contractors
Robin was like that, a regular guy, very neighborly. We used to live around the corner from him and his family in Seacliff, San Franciso, in the mid 90's. We'd wave at him playing with his kids in his pool as we walked by his house on the sidewalk and he'd wave back.
Yeah well when you live in a secluded neighborhood where all your neighbors have 5 million dollar homes, ain’t no one going all the way there to go there to rob
Companies like AirBNB and Uber basically flaunted braking laws in cities around the country to get started. It's good to see at least AirBNB get what they deserve.
I live in between 2 nightmare airbnbs.....they are barely rented anymore, like most of the others in my neighborhood. HALLELUJAH!!! Uncle Biden's money printing days are numbered
For real--one of the comments Michael made even made it sound like they weren't cracking down wholly on AirBnBs vs insisting on being registered with the gov't: likely more interested in getting their cut, ensuring the property isn't excessively sitting vacant, and having certain legal standards met like hotels are required to. Tough to feel any pity for companies that have the competitive advantage of not heeding laws their competitors have to follow.
Those politicians should make laws to ban institutional investors like Blackstone, Zillow, etc to enter single family house market. I think they are the main drivers of the overvalued house price.
Very cool that you took us by Robin Williams former house. Funny that it has a putting green set up in the front left-hand side of the yard! Nice neighborhood, but unassuming and peaceful. Nothing grandiose, but more down-to-earth!
*Robin Williams' 1990s movie "Mrs Doubtfire" gave SF a nice vibe. Even older movies like "Vertigo" & TV shows like "Streets of SF" did the same thing. Decades later, the city across the bay from you is going through dark times. Vlogger Dan of I Allegedly pulls no punches about how LA is experiencing the same thing. Mike of the YT vlog German in Venice posted a vid yesterday showing a crime in Beverly Hills he was able to capture on camera. With all the dystopia throughout Ca, if its ridiculously inflated housing prices don't come way down as part of that, then the next several yrs will be really crooked*
People really need to understand how expensive repairs and maintenance are. I have a smaller condo and replacement windows were 50k. Plus people don’t check their systems (hvac/electrical/plumbing). I have seen in my neighborhood so many people who are neglecting their maintenance. It makes me nervous to be another house in the future because of unbelievable neglect. I have worked for years fixing and replacing components of my house but someday I want to move to a better neighborhood.
Replacement windows or inserts as they are sometimes called, are very easy to do yourself. There are plenty of youtube videos on how to do it. The only issue I've had in the past is for odd size windows, make sure you measure them before you leave the store and if they are wrong, do not take delivery. If you order 60.5" wide, do not accept anything different.
@litterbaux. I understand about the inserts but the frames at least at my house were very poor quality. I needed to rebuild all of the framing and the actual window frames. I wanted low e with argon windows and the high quality frames that are stronger than the vinyl garbage you get in home improvement stores.
Moral of this story m DO NOT BUY a house that has needed repairs , old roofs, old heating and air, needs updates, NOT worth it, buy new with a respectable builder, these things you will not need anytime soon, allows you time to set aside money
Older housing stock is usually in the better areas, closer to the city. Once a house starts aging and is around 50 years old you have to have inspections done to make sure it's not termite ridden and hasn't got a leaky roof, leaky basement, etc.
I'm watching you walk these streets from the UK. Very interesting indeed and lovely to see Robin's house. However - where are all the people? These streets are deserted! Is it a zombie apocalypse?!
This is the USA, people are busy working trying to pay for their expensive houses and cars plus the cost of accumulating a fortune takes up a lot of time. My neighborhood is also like a ghost town. It's called the American dream.
Nice neighbors, but the house is not for sale. Shutting families out of the market for travel convenience? Air b&b is not good. Air b&b didn't exist not too many years ago, and we traveled fine. We continue to stay at full service hotels, motels, and all inclusives. We would never do ab&b. There is no housing shortage, a lot of inventory locked up due to schemes like ab&b. A house was intended for a family to live in, not a fake asset class, creating unproductive debt and insane speculation. You are a great content creator. Thanks, and best wishes to you and your terrific wife.
I tried Air B&B last year for a brief visit on Kauai. 2 nights at $169 a night. With all the tacked on fees my 2 night say was over $600. I will never stay Air B&B again. Not to mention the owner was in Oregon . This is what is causing the problems with the shortage of long term rentals on the islands for most workers.
I'm closing on my brand new home in Florida next month. My builder offered buy down & a good portion of closing costs paid by builder. My rate is locked in at 5.75%, no pre-payment penalty, and a one-time recasting allowance. I can't wait to close and get in my new home.
Ill save you time....yes home depot and lowes offer 0% financing for 2 years. You can get almost any major repair or upgrades done with a lifetime warranty.
I am a contractor. Homes today are too large for diy repairand maintenance. In a large home even the garden, unless all you have is a lawn, you also need a crew to maintain it. Plus many of these homes also have a pool. So you do need a lot of money to maintain and keep a home in good condition. If you want to personalize your home then tens of thousands of dollars will beneeded for a renovation.
Yes.....maintenance costs have gone through the roof since 2020. We got quotes to clean our gutters and they came in at $300 to $500. We need to replace our fence, who knows how much that's going cost now. A quote for weekly lawn service was $245/mo. CRAZY!!!
We used to pay $35 a cut for years from 2000 - 2020 (once a week) for a 3/4 acre property with house on it. Then they raised the price to $40 then to $45 last year!!! Who knows what he's going to charge this year, we didn't get bill from the landscaper yet. We are in NJ. I'm afraid to see how much they're going to charge us. It would take my husband at least 3 hours on a small lawn tractor to cut the grass. It takes our landscapers 45 minutes to cut the grass, edge it and use the leaf blowers to blow the loose grass off the driveway, etc. They have 3 or 4 men who show up in a crew with all the equipment. They have giant lawnmowers that they use. They also do our fall cleanup and our spring clean up and we also use them to trim our shrubs. We have a large property so it adds up.
@jdenino6022 Maybe that’s what they mean when they say “You’ll Own Nothing and Be Happy”! It’ll be sooo expensive you’ll be happy NOT to have to pay for all of it? LOL 😝😜🤪😝🤪😜😝🤪😜
@@jdenino6022I have the same size property, it takes me an hour to cut and trim and have a ton of obstacles to deal with. Get a riding lawn mower and echo trimmer. easy.
For one acre lot in NY you will pay $80 - $100 per cut. The landscapers that will do it for less have no business insurance. That will put you at risk every time there on your property.
Maybe those entitled homebuyers should look at the houses they can afford. My first house was not in Miami, New York or LA. It was in a 35,000 people town where the world has still not gone crazy. I lived there for some 13 years until I had saved enough to live where I want. It is the instant gratification mentality that is the problem. Not the housing market.
Our first house was a single wide trailer. Today our house is in the historic district. The true American dream. Work hard spend less than you make simple as that….
People move to those areas for many reasons including jobs. Many move for that and climate. Small towns tend to have little opportunity compared to larger cities
We do not want city opportunities. Y’all’s opportunities come with: HOA City permits to work on your house required. Neighbors Parking fees Water fees Crime Traffic Crowded stores COVID masks Riots Bad ideology AirB neighbors Ice cream
AT this point I am so happy to be renting. Here in $eattle, my renewal notice just came in with a 10% rent rediuction. To all the fools who think the slow landslide in pricing is not here. Reality check. We are on the skids. Enjoy the ride down the razor blade of life. Bordenaro warned you.
My last house I didn't spend $6000 a year on repairs. Are people buying crap homes or something? The most I spent in the 4 years living in that house was buying a igniter for the heater which was $25. Otherwise there wasn't any repairs needed, and no it was not a new home.
We've had thousands of dailars in home maintence on our home we bought 3years ago but luckily we had funds for that. It is minor though compared to the 40 % appreciation we have on the home. Thanks Mike!
The exoense problem on major home repairs hits those the hardest who have lack equity or are now underwater on their mortgage They can not get a HELOC or home equity loan approval. A roof may have to be replaced or new AC system is needed. Ect....
@@MichaelBordenaro It's true. Look up what house in San Marino cost in 1980 and the property tax on a house in that area . We have prop 13 so if you or your parents bought a house in the best neighborhoods in 1980 ,your property taxes will be low today. Pex pipes last decades and so do roofs so repair costs aren't bad.
Always budget 3% of a homes value annually for maintenance, and understand this is different than money towards repairs and renovations. Hope this helps someone
@novadhd I have family that does that and it works fine for them. I think the video title "hidden cost" says it all, sadly many people don't see it coming until its to late and are never taught about true cost of ownership. And to make things more confusing, someone in a new construction home may not realize his cost will go up dramatically in 20 years, just like someone buying a fixer upper is only seeing repair and renovation cost and fails to understand the difference between this and maintenance. I used to be a have a fund and fix it when it breaks guy, until I got wrecked on a basement flood, main line replacement, ac failure, hot water tank replacement , a mold remediation and a replumb on 2 bathrooms and the kitchen. No joke all within close to a calander year. Now I ❤️ schedules and replace when the lifespan is up, even if it's still working. If it's a roof or a fridge, budget it and replace. Brings peace, and keeps trouble and unexpected bills away. Good luck and GOD bless you.
Palm Springs cracked down last year. The city voted in some crazy rules. My friend was new at it & just got fined $5000 & banned for life for not having a license from the city. They want their quarterly transient tax fee.
Michael, It it so important for 1st time home buyers to have their Realtor require the seller pay for a Home Protection Plan for the first year. I had for 3 years, then I added it back about 15 years later as my PUD Townhouse was getting up there. I had a slap leak, 2 wall leaks, microwave break, new water heater, 2 new garbage disposals, toilet issues, new water pressure regulator ($100) service fee - you can add multiple issues on one service call as long as it’s all like plumbing. So I saved $$$ having the insurance. Average costs $550-800. Pool extra
In CA, the home protection plan won’t work. We are facing bidding wars all the time and the seller has no desire to offer such plan. Highest bidder gets the house as is.
@@jlseagull2.060 I hear you, during the bidding wars people were afraid to ask. Now I think you’ll see more buyer’s agent requesting. In my opinion that is such a injustice not having it your first year. I was in lending 20 years & now I’m a signing agent since 2008. I see about half being paid on the estimated closing statement.
Michael, your videos are so good. I look forward to listening everyday. You are on the money when it comes to real estate. BTW, thank you for showing off my county of Marin.
I really enjoy your videos. You're giving people great advice. The bottom line is don't let the bank or real-estate tell you what you can afford. They will always try to convince you that you can afford more then you can.
declining house prices is fine if you are not moving, prices that go up too fast screw people that have no plans to move, there needs to be balance, my house is down this year from a high of 600,000 and now it's 555,000, my mortgage payment is going down this year because that drop, I will take it, I plan to live in my house for at least 20 more years, I live in Olympia WA
@@TheSuperdodgy lower property taxes , I overpaid escrow last year cause of the dropping value and my mortage company applied all to my principle and my mortage payment is now lower for the next year
Same here, and I used to go very often. Last time I went to both I told myself I would never come back. Felt very unsafe and both places were just junk.
@@inwiththenew I worked on a farm when I was young and I shoveled enough shit: cow, pig, chicken, goose, and several other kinds of shit. I don't want to walk in shit when I am walking on a sidewalk unless it is the occasional bird shit. If you like that with a nice assortment of needles and human trash you can go to those cities. I will never win a contest because I never enter a contest or play the lottery. So don't wait for any tickets.
We have to move because we're on a month to month and our landlord wants us out. If we move into another rental then we're going to be paying $1,900 to $2,200 a month for a 2 bed, 2 bath. I'm buying a condo for $216,500 with a loan amount of $203,000 .My payment is going to be around $1,600 which is what I'm paying now in rent.
declining house prices is fine if you are not moving, prices that go up too fast screw people that have no plans to move, there needs to be balance, my house is down this year from a high of 600,000 and now it's 555,000, my mortgage payment is going down this year because that drop, I will take it, I plan to live in my house for at least 20 more years, I live in Olympia WA
let me know your opinion again after the credit cycle recession u forgot history the bulk of the price decline comes AFTER the recession@@twostop6895 lets work thru the math of ownership vs 5% CD 5 yrs vs renting n traveling to Mexico, SE Asia...Japan (dollar is ungodly strong agst the Yen... China when yuan is devalued) then i come back n laugh at you when u r down 30-50% did i say SF is down 29% already (source Wolfstreet wolf lives in SF) like we say in the stock mkt u haven't made any money yet until u sell ... enjoy your trips to home depot
The situation Micheal doesn't like where the host is there is called "running a B&B". instead of a ghost hotel. Expect that to be the only legal short-term rental everywhere soon.
I'm fortunate to have an emergency fund for the condo that I'm purchasing. My dad passed away in September of 2023 and left me his mobile home and his 1979 El Camino. I sold the mobile home and am using the money from it to buy the condo.
I like houses that I own better than apartments since it's lika place where you can go back to year after year. And now I am no longer bankrupted by rent that I can't afford that is making the landlord rich even though it's substandard housing, I would rather own my own substandard housing.
USDA loan. I was approved, had to back out. I was told takes longer than the conventional loan process, okay, ninety days/property, no problem, I will give you ten months, try fifteen months, maybe. In ten months time a appraisal was not even done.
Another point to also add when purchasing a new home from builders is the condition of the home, failing inspection and taking advantage of home buyers. I reside in Arizona and I follow this guy on instagram who inspects these new homes and it’s sad how builders are not doing their due diligence on ensuring the new build meets standards.
Another great video! I was interested and following your discussion right up to the point when the cute lady with the toddler looked up and smiled at you…That’s when things went blank for a second. (Is that bad?)
Air BnB's must be putting a big dent in the hotel industry. So now lobbyist are probably pressuring lawmakers to change the laws relating to Air BnBs. JMO
AirBnB is out of control. This is why we having zoning laws. We need short term rental zoning so we can balance the benefits of AirBnB without wrecking neighborhoods and housing prices.
Enjoyed this video! Loved seeing one of Robin Williams’ homes. Was really surprised the house had not appreciated more than was revealed in the video. Thanks much for sharing. 💯💯💯💯💯💯✨
If California suffered a severe earthquake, it would take decades to repair the damage. Unlike 1907, there simply aren't enough construction workers to repair the vast number of properties that have been built since then.
That's why you learn how to do most of the basic house repairs/renovations yourself. Paying people for fixes/renovations is for the wealthy. I have done most of my home's repairs and renovations. Now I'm not saying learn how to replace your furnace, but learn how to switch out a light fixture, an outlet if it stops working, basic plumbing, basic carpentry, updating baseboards, fixing a crack in the drywall. Now if you are flipping homes, time is money, so paying people to do things you can do yourself makes sense in that situation. For the regular homeowner, you got this.
That’s why you get a new build with a builder warranty. That’s the route I went and the builder is very responsive if I need anything, or have repair issues.
It amazes me how many uninformed a large portion of home buyer's are with such a purchase as a home of course its the same with vehicles and never take long term cost into consideration
@@user-wg3rf6yg1l well first how do you know I'm a renter I'm not next with channels like this I'm very informed and finally why did you highlight your reply that's curious so when commenting know the facts first
@@chrismiller1818 You're a homewoner ? Sure you are. Because happy, wealthy real este owners are toootally the type of person that subscribes to real estate doomsday channels like this. 🙄
This topic really hits home. I bought a house in early 2022 and I’ve spent about $1800 on tree and yard overgrowth removal (the tree removal was prompted by a branch collapsing on my power line), and about $3000 on a new hot water heater and a chimney liner. It’s going to cost about $4000 to upgrade the electrical panel which I’m going to do next year, and there’s a good chance that I’m going to have to replace the HVAC unit fairly soon, and that’s expected to cost about $5000. So, these home maintenance costs really add up, and buyers haven’t really been in a position to bargain with sellers over paying these maintenance and repair costs since the start of the pandemic.
next time you've got to get a tree removed just find someone with a wood boiler, we're always looking for free trees we can cut down and take home to heat our home with.
I had old trees and in the last 8 years I've spent $15k. I still would have bought the place since it was a great deal but beware of old tree's they are expensive to cut and you can't do it yourself.
11:53 STOP Michael. You don't understand how buy downs really work and the benefits. And F.Y.I. they still have to qualify at the higher end term fixed rate. Don't confuse people and burst the bubble for those who can benefit. I'm retired now. But, I'm still in the loop and know all these products. They're nothing new. Just marketed differently. The guidelines are still tight. ✌️ ~ 🦋
@@dianecelento4974 Me Too Kid. U could Drive a pipe down 4ft and Hit Water 1980. He did that to water Lawn then a Crack in the BRICK stopped that.😝😝😝🤑🤑🤑🤑
$300k house with 20% down, closing, emergency repair fund and 6 month savings is about $120k. See cheaper than rent. It's easy, a $100k family saving 10% a year without fail or surprises it only takes 12 years to save that money.
I didn't buy my home to have neighbors coming and going every week. I'm not against air bnb but not in residential neighborhoods with small lot sizes. If it's in neighborhood with 2 acres or more lot size that different because I wouldn't have to deal with it. The noise and not knowing what's going on in those houses. Residential neighborhood and Porn is being shot next door on quarter acre lot and my kids peeping through the fence no thanks
3-5% of purchase price should be set aside every year for unexpected expenses. 500k home avg set aside should be 20k/year. If you dont need you are lucky.
due to housing unaffordability... they should get rid of nightly airbnb.... monthly perhaps allowed... even long term rentals allow month to month leases...
I'm a plumber, people who bought houses without inspections got fucked with all the shitty things wrong with the house. I wish I could shove all the stuff wrong with my house to someone else and also get 100,000 more than I bought it for but my interest rate Is 2 so I'm never selling maybe renting in the future instead haha
Credit Cards Being MAXED OUT And People Taking Personal Loans To Pay Them th-cam.com/video/RAFqHj3cV6w/w-d-xo.html
The next decade will bring many financial disasters. 36 months from now it will be historic.
I was up there when Robin Williams died. It was a very sad day. I was a big fan. Working in Rhonert Park.
14:17 note the broken window on the car. Lots of smash and grabs in that area. Homeless just steal stuff.
i used to max my card out back in 2016....
👍@@mikesrandomvideos
One of the greatest quotes ive ever heard was from Robin Williams. " i used to think growing old alone was the worst thing to ever happen to me. Now i realize that growing old with people who make me feel alone is the worst thing to happen to me". I think about that quote every time i cut another person out of my life.
Yep. Im not sure how his marriage was in his final years. I know he had dementia and that is why he decided to exit the way he did. I miss his work. He was an amazing comedian.
Robin said on video his X's Took Most So date ..😁😁
Wise words.
Best thing you can do for your mental health
Robin Williams was a great comedian and a person I admired. Thanks for showing us his house. That was cool.
I think he also owned another house in Marin county. Not sure where this video was taken.
Yes, that was Robin Williams home and that was where he committed suicide. And yes, in California you have to disclose if there was a death in the home within the last 3 years. This house backs up to the San Francisco Bay and it did take awhile to sell after Robin died. Robin was an avid cyclist, and good friends with Lance Armstrong, and the North Bay is a great place to ride so I think that's why he chose to live there rather than other affluent city's in the Bay area.
In HS he lived on Paradise Drive, facing Angel Island.
Robin was a real cool dude. He was friendly to people. He would go around town just like a regular guy and would say hi to people who said hi to him. My old roomate ran into him and did the Mork hand signal to him and said "Nanu nanu" to him and Robin said nanu nanu right back to him!
19:00 I'll break it down for you Michael. The reason why these cities are banning Airbnb is because criminals are using Airbnb for criminal activities such as human trafficking, drugs, loud parties, burglary, & package theft (especially in those cities you mentioned). Recent studies have also shown that the crime rate has increased substantially in neighborhoods with a moderate to high percentages of short term rentals.
Criminal activities make up 0.00001% of stays on airbnb.
I can confirm. I have been dealing with criminal STR investors who knowingly came into my area where STRs are banned. These investors rented the house with a pool to partyers who howled, yelled, screamed, etc, 12-14 hours a day, 7 days per week! That includes families with kids screaming and barking dogs. Neighbors did not sign up to have unpoliced nightmare hotel STRs next door. When I filled a complaint they sent someone to try to break into my house. They are criminal trash!
STRs need to be banned in ALL US residential and these investors need to be barred from buying homes. Unless you (Michael) have been tormented by the hell of STRs, people have no idea how horrible this industry really is.
@@findurcalling All of my STRs are in downtown commercial areas. I don't want one next to my home either.
NYC wants homeowners to open their homes to migrants by the room. Rooming houses are going to make a comeback and it’s not gonna be pretty.
that sounds like solid logic
That’s crazy I showed my 7 year old daughter the jumanji movie with robin Williams few weeks ago, she loved it it’s her favorite movie rn. May he rest in peace I loved all his movies growing up
Me too, one of my favorite actors
As a retired plumber and worked for home warranty for over 25 most homes I worked on were poorly maintained and people would get mad because home warranty does not pay for water damage which usually exceeded the repair.and it seems most young people dont have a clue for simple basic repairs
I been part of water damagd... destoyed my collection and more.
lost allot...
Who is The best I have CINCH $600 a year ??? Thanks
How can a plumber even retire? Plumbing service is so critical society can’t function without them. Seriously.
@@VuNguyen-mh4oo To Bad Find a migrant we get rich and Old too. V Bernie
@@jimshoe402 they all suck but AHS was the best
I can understand why many cities, not just NY are placing restrictions on short term vacay rentals. It's gotten out of control in many places. How would you feel if your lovely family neighborhood suddenly became overrun with vacay rentals - transient strangers constantly in & out of the houses that surround where your children live, play, walk to the bus stop, etc. Many communities & families are fighting it, trying to take their neighborhoods back. Not much of a neighborhood anymore when wealthy investors have bought up half the houses!. In Jacksonville a friend's landlord owned many rental homes. He turned them All into Airbnb's & kicked all his tenants out, which was awful for them. Vacay rentals are fine but they need to be managed so they don't impact neighborhoods negatively. Great video, as always, thanks!
Just wait, they probably will and everyone who is banking on this as a way to make money will get hurt
I'm with you on that!
Buy low, sell high. Right now, it's high. Thanks, Michael.
I paid $14,000 in income taxes each year in California. My property taxes were $7000 annually for a 270k house. I sold the house and moved. I pay 382 in property taxes annually and $780 for mortgage now in a different state.
Test
Please remember why you moved and vote accordingly. Red!
Your lieng... Impossible to pay 382 in taxes anywhere..and I just moved from San Diego my taxes were 5400 on a 600k home..lier lier pants on fire
@@michaelkelly7635 well that's what I pay now. You can hate all you want. Plus it's lying not lieing. Smh
My mortgage and escrow is 720/mo; property taxes are about 1200/year. 155k, and I'm lucky but I make a good income in this area.
$6,500/ year is pocket change for people who are buying a five million dollar house in many neighborhoods in Los Angeles.
The problem is the prices of the houses.Those $5,000,000 houses were $3,300,000 a few years ago with low low fixed interest rates.
It will cost way more than that to maintain a 5 mil home each year. But yeah, I would imagine anyone dropping that cash on a house isnt worried.
Think this every time Michael has mentioned the property taxes for multimillion dollar homes. Those property taxes sound high to us commoners, but the annual property taxes are like one months mortgage (if they even have one) payment--if they can afford those houses, they can surely also afford the property taxes that go with it.
Happy Labor Day weekend! 🥇
Mortgage rate buydowns is what got us into the 2008 crash. By year 3 the payment isn’t manageable and the home has lost market value putting everyone underwater when more homes enter the market. The bank either agrees on short selling or the seller brings money to closing. If the seller cannot sell or bring the money and defaults, then foreclosure happens. Creates many accidental landlords as well…or the “acquisition company” gets it as a rental. If the acquisition owners go broke, the government will likely end up with the homes. Catch 22.
I have lived in my current home for almost 4 years now. Home repairs consist of a broken hose bib and two sprinklers.
I have owned sfhs since 1997 and IME, maintenance costs are way over blown by most renters.
I have never replaced a roof, an ac unit or a heater, but I have replaced one water heater.
I do believe in having maintenance and emergency funds, because big ticket items do happen at times. It is always possible.
My current house is 61 years old and the big potential issue is the clay sewer needing to be replaced. It will collapse eventually, maybe tomorrow, maybe 50 years from now. No one knows.
Costs about $9k, big deal.
The house has gone from $400k to $700k, a 9k cost is well worth it.
I might even do it anyway if we go into a recession and I can get a good deal with some starving construction outfit and then never worry about it again.
Roof and AC was new when I bought the house, so that is a long way off. I am definitely expecting a water heater replacement in the next 3 years, that’s minor.
It’s cheap compared to what you get back. Fixed low rate payments and equity increases.
And if the absolute worst happens and I lose it all, which really won’t happen considering insurance coverage and land value, big deal. I am paying half what rent is. Just that benefit alone is huge and making an enormous increase in my quality of life.
How wonderful that your home has not cost you significantly in maintenance!
I think he is trying to remind young/new homebuyers that it is a hidden cost they never had as a renter that can be significant. We bought our home while quite young and could only afford an old house. It has been expensive to maintain and upgrade. Thankfully we could pay our bills, but not everyone saves for home repairs. We went to replace old linoleum and had to have a contractor rebuild the subfloor when we discovered rot and no support beams under the toilet. Our single day, a few hundred dollar bathroom improvement jumped significantly in price and time. We opened some walls and found no insulation. The wiring was archaic and burned out several bulbs with uneven current until we got the wiring replaced. Our old pipes decayed so badly our water tasted like rust. It was a comedy of errors. We weathered it, but not all couples can, especially if they live on the margins. We, like you, now enjoy a significant asset. But, it cost much more than mortgage, insurance, and property tax to grow that asset. If a buyer doesn't plan accordingly, he or she could end up losing that asset to foreclosure or short sale.
So essentially you lucked out and doesn't prove anything beyond that. Others who are not as lucky as you were number in the many thousands.
You've only been in the house for 4 years!! That's nothing. Btw, do you clean the gutters and winterize the sprinklers yourself? It still costs thousands annually just for the regular maintenance, let alone actual repairs.
@@eurekahope5310Agree completely. If you actually just maintain the house properly, let alone need repairs any equity you might have goes down significantly.
@@zuzanazuscinova5209 my gutters don’t get any tree debris in them, just the usual granules, and I blow out my own sprinklers with my own air compressor.
I use to pay for the sprinklers blowout, $50, but set myself up for air tools in the garage so don’t need to anymore.
I pay for a mow/edge/blow guy, $30 a cut, and a house cleaner, $90 dollars a time, but these are optional. I use to do this myself, but have the money to pay people since my mortgage/taxes/insurance is half the cost of rent.
No doubt there will be costs, but over the long run the fixed rate mortgage pays for it.
You’ve got to factor in HOA also.
Don't forget about Utilities, I know a guy who bought a place and then found out that the water bill was like $300/mo. because of a special bond... Ouch.
What's a special bond?
Bought my 1985 walk out ranch for 375k last summer, put down 20%, also made 80 grand on the sale of my previous home. In the first year of ownership I had to cough up 6k for new gutter systems and 8k for a new chimney. Things pop up. If you cant afford to put away 1 to 2 grand a month, dont buy a house.
In 2000 I bought in a new build neighborhood when many of these programs were in place. These people were out of their house in 2 years.
Repairs do add up.
What repairs?
Honestly, it's refreshing to see a problem identified and legislation enacted to solve it effectively, even if that means I lose access to Airbnbs, which I have used for many trips overseas and love. I wish our national politicians would get in gear and start solving a few problems...
THIS is why I love living in my HOA. Every property I own, is HOA. You can't do AirBnB's in an HOA.
That might be the only thing good about an HOA. But it depends on the HOA I guess.
I am constantly hearing about how many requirements landlords are enforcing for long term rentals - I’m sick of it because I don’t think it was as common of a practice in the old days to rent property you own. You either need it, or you don’t, and if you didn’t - you would sell it. It’s the greed of the rich withholding properties from the poor. Investment properties need exponential taxes per-property!
I know landlords are quite jaded by the eviction moratorium and want to rent to top candidates to avoid straight losses that come from renters not paying their rent. A landlord must continue to pay maintenance, property tax, and their mortgage regardless of if a renter pays a bill. And the eviction process takes months, while those landlord bills mount. I have known landlords who paid their tenants to leave since the eviction process was months of non-payment while the landlord continues to have bills. As to greed, sure, their are Blackrocks and other investment groups who are in it simply for the money. But often landlords are people who inherited a single home when a loved one died and chose to rent rather than sell. We rented from one couple who were in that situation and wanted to help a family, allowing us a short lease. They wanted to honor the neighborhood of their loved ones by choosing a local, responsible tenant. But, yes, we had excellent credit, consistent income, and personal recommendations. Before you accuse someone of greed, put yourself in a typical landlords shoes. They have to fix the pipes whether or not a renter pays. The government will repossess if they do not pay taxes. They could lose that asset if they do not pay the mortgage. In the case of our landlords, they were middle class people who couldn't afford to have long-term deadbeat renters.
Sadly, it is the government intervention that is causing landlords to be more selective. They can no longer afford to take a chance on people with a checkered past. If evictions were swift, this wouldn't be an issue as they could afford a month of non-payment if they could be renting again in a couple months. In my state, CA, the eviction process is said to take 3 to 4 months from the start of paperwork (which assumes at least a month of non-payment). That means a landlord will likely have 6 months of bills without 6 months of income if they have to wait out the process. And in 6 months, how will an entitled tenant leave the place? Will it be ready to rent out in a couple days or will the place need renovation?
They know the solution but self interest gets in the way
My grandma used to rent out her basement in the 1940s and her garage which was a freestanding garage in Brooklyn. My grandfather fought in WWI and had bad PTSD and lost his job. So they needed the $ as they had 5 kids. I think they paid around $1,000 for their house, it was a very small 700 s.f. house in Bensonhurst. The train was also right behind it, down about 35 feet in an open air tunnel that went under the ground in some places. Very noisy. Hard to sleep over at grandma's house due to trains running day and night which would shake the house.
..and in the old days the colony revolted over a 3 cent tea tax.... But now we turn over (some) north of 40% of our earnings. Times do change...
My repairs are roughly 12k for 2023 and we're not at EOY yet
I've gotten to the point where I buy all the materials before the contractor shows up
Contractors charging 150/hr doesnt help
Why do they charge more than a doctor?
@@Kpleaides Same answer as always: supply & demand. What're you gonna do, call up *another* contractor who's ALSO going to ask for $150/hour? Lol
Thanks for mentioning that here!
Greater Boston Here..NO DEMOCRAT will go in the trades..they goto Harvard instead to get MBA so they can serve lattes at nearest Starbucks.
Darn few contractors will do Electrical, Plumbing, Door-Mechanics or Paving Contractors
I can't believe Robin Willams would have a house with curb side parking for any random person.
Same thing I was thinking. Maybe he had a few homes.
Robin was like that, a regular guy, very neighborly. We used to live around the corner from him and his family in Seacliff, San Franciso, in the mid 90's. We'd wave at him playing with his kids in his pool as we walked by his house on the sidewalk and he'd wave back.
@@krisb7465 People are too crazy thesedays.
Thats so awesome!
Yeah well when you live in a secluded neighborhood where all your neighbors have 5 million dollar homes, ain’t no one going all the way there to go there to rob
Companies like AirBNB and Uber basically flaunted braking laws in cities around the country to get started. It's good to see at least AirBNB get what they deserve.
I love the airbnb concept but cannot stand the woke company.
I live in between 2 nightmare airbnbs.....they are barely rented anymore, like most of the others in my neighborhood. HALLELUJAH!!! Uncle Biden's money printing days are numbered
@@sasharadjenovic4230 , Now you’re blaming Biden for this? Good grief only Trumpers would come up with something like that
@@networth00 , Her to be woke in life than totally asleep
For real--one of the comments Michael made even made it sound like they weren't cracking down wholly on AirBnBs vs insisting on being registered with the gov't: likely more interested in getting their cut, ensuring the property isn't excessively sitting vacant, and having certain legal standards met like hotels are required to. Tough to feel any pity for companies that have the competitive advantage of not heeding laws their competitors have to follow.
Those politicians should make laws to ban institutional investors like Blackstone, Zillow, etc to enter single family house market. I think they are the main drivers of the overvalued house price.
Very cool that you took us by Robin Williams former house. Funny that it has a putting green set up in the front left-hand side of the yard! Nice neighborhood, but unassuming and peaceful. Nothing grandiose, but more down-to-earth!
Very down to earth home for such a big star!
@justthink5854 Costner really Bitchen too HaHa .. 😁😁😁
@justthink5854 Hope So but a Fool anyways..V Bernie
*Robin Williams' 1990s movie "Mrs Doubtfire" gave SF a nice vibe. Even older movies like "Vertigo" & TV shows like "Streets of SF" did the same thing. Decades later, the city across the bay from you is going through dark times. Vlogger Dan of I Allegedly pulls no punches about how LA is experiencing the same thing. Mike of the YT vlog German in Venice posted a vid yesterday showing a crime in Beverly Hills he was able to capture on camera. With all the dystopia throughout Ca, if its ridiculously inflated housing prices don't come way down as part of that, then the next several yrs will be really crooked*
Who voted for Newsome, TWICE!😮
Thank you for the video Michael. Thank you for showing Robin's place.❤❤
My pleasure!
People really need to understand how expensive repairs and maintenance are. I have a smaller condo and replacement windows were 50k. Plus people don’t check their systems (hvac/electrical/plumbing). I have seen in my neighborhood so many people who are neglecting their maintenance. It makes me nervous to be another house in the future because of unbelievable neglect. I have worked for years fixing and replacing components of my house but someday I want to move to a better neighborhood.
Replacement windows or inserts as they are sometimes called, are very easy to do yourself. There are plenty of youtube videos on how to do it. The only issue I've had in the past is for odd size windows, make sure you measure them before you leave the store and if they are wrong, do not take delivery. If you order 60.5" wide, do not accept anything different.
@@Litterbauxteam “I’ll watch a TH-cam video and do it myself” forever! 😂
@litterbaux. I understand about the inserts but the frames at least at my house were very poor quality. I needed to rebuild all of the framing and the actual window frames. I wanted low e with argon windows and the high quality frames that are stronger than the vinyl garbage you get in home improvement stores.
Moral of this story m DO NOT BUY a house that has needed repairs , old roofs, old heating and air, needs updates, NOT worth it, buy new with a respectable builder, these things you will not need anytime soon, allows you time to set aside money
Older housing stock is usually in the better areas, closer to the city. Once a house starts aging and is around 50 years old you have to have inspections done to make sure it's not termite ridden and hasn't got a leaky roof, leaky basement, etc.
I'm watching you walk these streets from the UK. Very interesting indeed and lovely to see Robin's house. However - where are all the people? These streets are deserted! Is it a zombie apocalypse?!
This is the USA, people are busy working trying to pay for their expensive houses and cars plus the cost of accumulating a fortune takes up a lot of time. My neighborhood is also like a ghost town. It's called the American dream.
@@rfink222 More like people like to drive everywhere.
No one in the suburbs really goes outside. Its all just sitting indoors watching tv.
If society is now choosing to put all trade, online, then we are indeed in a new, experimental, phase of capitalism. I predict a riot.@@rfink222
It always seems like that every time I walk through a "rich" neighborhood, no one around! I only saw a couple people.
Inflation is definitely a hidden tax. And it makes it impossible for one to stick to a well-planned budget.
R.I.P. Robin Williams 🐐🕊️
Nice neighbors, but the house is not for sale. Shutting families out of the market for travel convenience? Air b&b is not good. Air b&b didn't exist not too many years ago, and we traveled fine. We continue to stay at full service hotels, motels, and all inclusives. We would never do ab&b. There is no housing shortage, a lot of inventory locked up due to schemes like ab&b. A house was intended for a family to live in, not a fake asset class, creating unproductive debt and insane speculation. You are a great content creator. Thanks, and best wishes to you and your terrific wife.
I tried Air B&B last year for a brief visit on Kauai. 2 nights at $169 a night. With all the tacked on fees my 2 night say was over $600. I will never stay Air B&B again. Not to mention the owner was in Oregon . This is what is causing the problems with the shortage of long term rentals on the islands for most workers.
I can't put my finger on it, but I really enjoy listening to u Michael.
I'm closing on my brand new home in Florida next month. My builder offered buy down & a good portion of closing costs paid by builder. My rate is locked in at 5.75%, no pre-payment penalty, and a one-time recasting allowance. I can't wait to close and get in my new home.
Nice, we're looking into Ocala. What city is your home in if you don't mind me asking?
Ill save you time....yes home depot and lowes offer 0% financing for 2 years. You can get almost any major repair or upgrades done with a lifetime warranty.
And they don't charge for estimates anymore. I was pleasantly surprised.
I am a contractor. Homes today are too large for diy repairand maintenance. In a large home even the garden, unless all you have is a lawn, you also need a crew to maintain it. Plus many of these homes also have a pool. So you do need a lot of money to maintain and keep a home in good condition. If you want to personalize your home then tens of thousands of dollars will beneeded for a renovation.
Thanks for saying that! I saw a few people here saying that maintaining a house was cheap 🤷♂️
@@MichaelBordenaro Me a Carpenter in The Know BUT CHEAP Too..😁😁
@@MichaelBordenarothey clearly don't maintain it very well.
Yes.....maintenance costs have gone through the roof since 2020. We got quotes to clean our gutters and they came in at $300 to $500. We need to replace our fence, who knows how much that's going cost now. A quote for weekly lawn service was $245/mo. CRAZY!!!
We used to pay $35 a cut for years from 2000 - 2020 (once a week) for a 3/4 acre property with house on it. Then they raised the price to $40 then to $45 last year!!! Who knows what he's going to charge this year, we didn't get bill from the landscaper yet. We are in NJ. I'm afraid to see how much they're going to charge us. It would take my husband at least 3 hours on a small lawn tractor to cut the grass. It takes our landscapers 45 minutes to cut the grass, edge it and use the leaf blowers to blow the loose grass off the driveway, etc. They have 3 or 4 men who show up in a crew with all the equipment. They have giant lawnmowers that they use. They also do our fall cleanup and our spring clean up and we also use them to trim our shrubs. We have a large property so it adds up.
@jdenino6022 Maybe that’s what they mean when they say “You’ll Own Nothing and Be Happy”! It’ll be sooo expensive you’ll be happy NOT to have to pay for all of it? LOL 😝😜🤪😝🤪😜😝🤪😜
@@jdenino6022I have the same size property, it takes me an hour to cut and trim and have a ton of obstacles to deal with. Get a riding lawn mower and echo trimmer. easy.
@@jdenino6022maybe move to a smaller property?
For one acre lot in NY you will pay $80 - $100 per cut. The landscapers that will do it for less have no business insurance. That will put you at risk every time there on your property.
Maybe those entitled homebuyers should look at the houses they can afford.
My first house was not in Miami, New York or LA. It was in a 35,000 people town where the world has still not gone crazy. I lived there for some 13 years until I had saved enough to live where I want.
It is the instant gratification mentality that is the problem. Not the housing market.
Our first house was a single wide trailer. Today our house is in the historic district. The true American dream. Work hard spend less than you make simple as that….
I will be talking about that tomorrow a bit
People move to those areas for many reasons including jobs. Many move for that and climate. Small towns tend to have little opportunity compared to larger cities
We do not want city opportunities.
Y’all’s opportunities come with:
HOA
City permits to work on your house required.
Neighbors
Parking fees
Water fees
Crime
Traffic
Crowded stores
COVID masks
Riots
Bad ideology
AirB neighbors
Ice cream
That's ridiculous, they should be qualifying the buyer on the full rate, not the temporary teaser rate.
they do qualify on the full rate, but after a few years of having a lower payment, lifestyle inflation creeps in for folks.
AT this point I am so happy to be renting. Here in $eattle, my renewal notice just came in with a 10% rent rediuction. To all the fools who think the slow landslide in pricing is not here. Reality check. We are on the skids. Enjoy the ride down the razor blade of life. Bordenaro warned you.
Average homeowner net worth- 250k
Average renter net worth- 6300
Poverty is nothing to be bragging about.
Glad to hear that, I'm from LA and already know my management company is increasing the rent Jan 1st.
My last house I didn't spend $6000 a year on repairs. Are people buying crap homes or something? The most I spent in the 4 years living in that house was buying a igniter for the heater which was $25. Otherwise there wasn't any repairs needed, and no it was not a new home.
Depends Who u Are..😁😁
Nice area for today’s video. Loved your perspectives,per usual. Hoping you,& Lizzie have a blessed,& wonderful Labor Day!💯🇺🇸💜✝️🙏🏾🇺🇸
Thank you Glen!
Ya Robin Williams Offed himself in that house hence why it sold for so low!
Robin Williams had a house right in the Golden Gate park.
Look at that cutie @10:00. No ugly stare. Just a happy person.
Quality info with no fluff.
Most people forget about that incoming tax bill on that purchase price. Surprise!! Lol
Yep!
We've had thousands of dailars in home maintence on our home we bought 3years ago but luckily we had funds for that. It is minor though compared to the 40 % appreciation we have on the home. Thanks Mike!
The exoense problem on major home repairs hits those the hardest who have lack equity or are now underwater on their mortgage They can not get a HELOC or home equity loan approval. A roof may have to be replaced or new AC system is needed. Ect....
Just need to come up with cash.
I know lots of people living in $5,000,000 houses and paying only $500/mo property taxes because they or family members bought it decades ago.
That is just insane
@@MichaelBordenaro It's true. Look up what house in San Marino cost in 1980 and the property tax on a house in that area . We have prop 13 so if you or your parents bought a house in the best neighborhoods in 1980 ,your property taxes will be low today.
Pex pipes last decades and so do roofs so repair costs aren't bad.
Always budget 3% of a homes value annually for maintenance, and understand this is different than money towards repairs and renovations. Hope this helps someone
I think it's more like 5%. That's the number they use when I sold my rentals.
@redheart3014 lots of times on rentals the budget for maintenance is combined with repairs, so I believe you are right at 5% in that case.
it depends . We have a "house" fund and separate emergency fund
@novadhd I have family that does that and it works fine for them. I think the video title "hidden cost" says it all, sadly many people don't see it coming until its to late and are never taught about true cost of ownership. And to make things more confusing, someone in a new construction home may not realize his cost will go up dramatically in 20 years, just like someone buying a fixer upper is only seeing repair and renovation cost and fails to understand the difference between this and maintenance. I used to be a have a fund and fix it when it breaks guy, until I got wrecked on a basement flood, main line replacement, ac failure, hot water tank replacement , a mold remediation and a replumb on 2 bathrooms and the kitchen. No joke all within close to a calander year. Now I ❤️ schedules and replace when the lifespan is up, even if it's still working. If it's a roof or a fridge, budget it and replace. Brings peace, and keeps trouble and unexpected bills away. Good luck and GOD bless you.
Palm Springs cracked down last year. The city voted in some crazy rules. My friend was new at it & just got fined $5000 & banned for life for not having a license from the city. They want their quarterly transient tax fee.
Yep! Happening in many different places
Only repair that matters is roof
Beautiful neighborhood, beautiful properties.
Michael, It it so important for 1st time home buyers to have their Realtor require the seller pay for a Home Protection Plan for the first year. I had for 3 years, then I added it back about 15 years later as my PUD Townhouse was getting up there. I had a slap leak, 2 wall leaks, microwave break, new water heater, 2 new garbage disposals, toilet issues, new water pressure regulator ($100) service fee - you can add multiple issues on one service call as long as it’s all like plumbing. So I saved $$$ having the insurance.
Average costs $550-800. Pool extra
In CA, the home protection plan won’t work. We are facing bidding wars all the time and the seller has no desire to offer such plan. Highest bidder gets the house as is.
@@jlseagull2.060 I hear you, during the bidding wars people were afraid to ask. Now I think you’ll see more buyer’s agent requesting. In my opinion that is such a injustice not having it your first year. I was in lending 20 years & now I’m a signing agent since 2008. I see about half being paid on the estimated closing statement.
BT mine $600 -Sewer lines Too. They did a POOR Job on everything Here.Joke on ME !!😁😁😁
Michael, your videos are so good. I look forward to listening everyday. You are on the money when it comes to real estate. BTW, thank you for showing off my county of Marin.
Thank you!
I really enjoy your videos. You're giving people great advice. The bottom line is don't let the bank or real-estate tell you what you can afford. They will always try to convince you that you can afford more then you can.
Wow! Looks like a modest house.
Thank you Michael for sharing another great video today. Blessings, Carlos ✝️🙏❤️😊🇺🇸
Thanks Carlos! Appreciate you always being here!
declining house prices is fine if you are not moving, prices that go up too fast screw people that have no plans to move, there needs to be balance, my house is down this year from a high of 600,000 and now it's 555,000, my mortgage payment is going down this year because that drop, I will take it, I plan to live in my house for at least 20 more years, I live in Olympia WA
How is the value of your house dropping lowering your mortgage payment????
@@TheSuperdodgy lower property taxes , I overpaid escrow last year cause of the dropping value and my mortage company applied all to my principle and my mortage payment is now lower for the next year
I wouldn't visit NY or California even if my lodging and meals were free.
Same here, and I used to go very often. Last time I went to both I told myself I would never come back. Felt very unsafe and both places were just junk.
Missing out.
Fine, if you ever win a free trip all with all expenses paid, send me the ticket
@@inwiththenew I worked on a farm when I was young and I shoveled enough shit: cow, pig, chicken, goose, and several other kinds of shit. I don't want to walk in shit when I am walking on a sidewalk unless it is the occasional bird shit. If you like that with a nice assortment of needles and human trash you can go to those cities. I will never win a contest because I never enter a contest or play the lottery. So don't wait for any tickets.
@@inwiththenew You want to risk your life?
Home ownership loses a lot of it's luster when prices r declining... I love renting n traveling
We have to move because we're on a month to month and our landlord wants us out. If we move into another rental then we're going to be paying $1,900 to $2,200 a month for a 2 bed, 2 bath. I'm buying a condo for $216,500 with a loan amount of $203,000 .My payment is going to be around $1,600 which is what I'm paying now in rent.
declining house prices is fine if you are not moving, prices that go up too fast screw people that have no plans to move, there needs to be balance, my house is down this year from a high of 600,000 and now it's 555,000, my mortgage payment is going down this year because that drop, I will take it, I plan to live in my house for at least 20 more years, I live in Olympia WA
let me know your opinion again after the credit cycle recession u forgot history the bulk of the price decline comes AFTER the recession@@twostop6895
lets work thru the math of ownership vs 5% CD 5 yrs vs renting n traveling to Mexico, SE Asia...Japan (dollar is ungodly strong agst the Yen... China when yuan is devalued) then i come back n laugh at you when u r down 30-50% did i say SF is down 29% already (source Wolfstreet wolf lives in SF)
like we say in the stock mkt u haven't made any money yet until u sell ... enjoy your trips to home depot
@@njerseydavid lmao. In your dreams
@@njerseydavid silly boy go n try to sell your home LMAO pain is coming the School is the RE mkt cycle
The situation Micheal doesn't like where the host is there is called "running a B&B". instead of a ghost hotel. Expect that to be the only legal short-term rental everywhere soon.
I'm fortunate to have an emergency fund for the condo that I'm purchasing. My dad passed away in September of 2023 and left me his mobile home and his 1979 El Camino. I sold the mobile home and am using the money from it to buy the condo.
Keep that El Camino.
I like houses that I own better than apartments since it's lika place where you can go back to year after year. And now I am no longer bankrupted by rent that I can't afford that is making the landlord rich even though it's substandard housing, I would rather own my own substandard housing.
USDA loan. I was approved, had to back out. I was told takes longer than the conventional loan process, okay, ninety days/property, no problem, I will give you ten months, try fifteen months, maybe. In ten months time a appraisal was not even done.
But people are still spending!! borrowing on credit cards, home equity, loan sharks!!! People just can't stop spending what they don't have!!
I like all your videos but this one was especially helpful. Thanks.
Another point to also add when purchasing a new home from builders is the condition of the home, failing inspection and taking advantage of home buyers. I reside in Arizona and I follow this guy on instagram who inspects these new homes and it’s sad how builders are not doing their due diligence on ensuring the new build meets standards.
Another great video!
I was interested and following your discussion right up to the point when the cute lady with the toddler looked up and smiled at you…That’s when things went blank for a second. (Is that bad?)
I don't think its bad, more normal 😄
$450K is not the median first-time purchase. No one buys the average home.
Air BnB's must be putting a big dent in the hotel industry. So now lobbyist are probably pressuring lawmakers to change the laws relating to Air BnBs. JMO
AirBnB is out of control. This is why we having zoning laws. We need short term rental zoning so we can balance the benefits of AirBnB without wrecking neighborhoods and housing prices.
Enjoyed this video! Loved seeing one of Robin Williams’ homes. Was really surprised the house had not appreciated more than was revealed in the video. Thanks much for sharing. 💯💯💯💯💯💯✨
You're welcome!
If California suffered a severe earthquake, it would take decades to repair the damage. Unlike 1907, there simply aren't enough construction workers to repair the vast number of properties that have been built since then.
That's why you learn how to do most of the basic house repairs/renovations yourself. Paying people for fixes/renovations is for the wealthy. I have done most of my home's repairs and renovations. Now I'm not saying learn how to replace your furnace, but learn how to switch out a light fixture, an outlet if it stops working, basic plumbing, basic carpentry, updating baseboards, fixing a crack in the drywall. Now if you are flipping homes, time is money, so paying people to do things you can do yourself makes sense in that situation. For the regular homeowner, you got this.
That’s why you get a new build with a builder warranty. That’s the route I went and the builder is very responsive if I need anything, or have repair issues.
I wouldnt have purchased a home with that type of loan, they might have a variable loan rate, not good.
Thank you for the wisdom, knowledge, tips and advice man. Really appreciate this channel
So much valuable information in one video.
It amazes me how many uninformed a large portion of home buyer's are with such a purchase as a home of course its the same with vehicles and never take long term cost into consideration
And you believe that you , a renter, are more "informed" than people who are actially capable of purchasing a home ?
@@user-wg3rf6yg1l well first how do you know I'm a renter I'm not next with channels like this I'm very informed and finally why did you highlight your reply that's curious so when commenting know the facts first
@@chrismiller1818 You're a homewoner ? Sure you are. Because happy, wealthy real este owners are toootally the type of person that subscribes to real estate doomsday channels like this. 🙄
Stop living beyond your means , fact !
This topic really hits home. I bought a house in early 2022 and I’ve spent about $1800 on tree and yard overgrowth removal (the tree removal was prompted by a branch collapsing on my power line), and about $3000 on a new hot water heater and a chimney liner. It’s going to cost about $4000 to upgrade the electrical panel which I’m going to do next year, and there’s a good chance that I’m going to have to replace the HVAC unit fairly soon, and that’s expected to cost about $5000. So, these home maintenance costs really add up, and buyers haven’t really been in a position to bargain with sellers over paying these maintenance and repair costs since the start of the pandemic.
We had a tree go down in our front yard, and we had people contacting us for free removal because they wanted the wood. Saved us a bundle.
I think it will cost you more than $4k to upgrade the panel.
next time you've got to get a tree removed just find someone with a wood boiler, we're always looking for free trees we can cut down and take home to heat our home with.
I had old trees and in the last 8 years I've spent $15k. I still would have bought the place since it was a great deal but beware of old tree's they are expensive to cut and you can't do it yourself.
Landsea... terrible build quality here in AZ on new homes.
11:53 STOP Michael. You don't understand how buy downs really work and the benefits. And F.Y.I. they still have to qualify at the higher end term fixed rate. Don't confuse people and burst the bubble for those who can benefit. I'm retired now. But, I'm still in the loop and know all these products. They're nothing new. Just marketed differently. The guidelines are still tight. ✌️
~ 🦋
Great walk and talk again. Smart data thanks.
Thank you!!
For the people in Florida we have an increase of foundation repair companies popping up..
Sinking I Bet low water Table. My buddy had that SAND !!!😁😁
@@jimshoe402 Damn. We're looking into buying in Ocala and that scares me.
@@dianecelento4974 Me Too Kid. U could Drive a pipe down 4ft and Hit Water 1980. He did that to water Lawn then a Crack in the BRICK stopped that.😝😝😝🤑🤑🤑🤑
Thank you for realtor link Michael. I bookmarked it and I'll be using it when I'm ready to buy a small plot of land.
What do mean not great . $1.3 million appreciated? Thats a ton of money.
Over 15 years, its not that great for the area I don't think ,especially when you look at the maint cost of these expensive homes.
$300k house with 20% down, closing, emergency repair fund and 6 month savings is about $120k. See cheaper than rent.
It's easy, a $100k family saving 10% a year without fail or surprises it only takes 12 years to save that money.
Good channel 👍
Thank you 👍
I didn't buy my home to have neighbors coming and going every week. I'm not against air bnb but not in residential neighborhoods with small lot sizes. If it's in neighborhood with 2 acres or more lot size that different because I wouldn't have to deal with it. The noise and not knowing what's going on in those houses. Residential neighborhood and Porn is being shot next door on quarter acre lot and my kids peeping through the fence no thanks
3-5% of purchase price should be set aside every year for unexpected expenses. 500k home avg set aside should be 20k/year. If you dont need you are lucky.
May I know the name of this town? Very nice neighborhood.
Tiburon
Add in renovations and the temptation to borrow against your home equity...
due to housing unaffordability... they should get rid of nightly airbnb.... monthly perhaps allowed... even long term rentals allow month to month leases...
Yeah, that’s what we need more laws and government
I'm a plumber, people who bought houses without inspections got fucked with all the shitty things wrong with the house. I wish I could shove all the stuff wrong with my house to someone else and also get 100,000 more than I bought it for but my interest rate Is 2 so I'm never selling maybe renting in the future instead haha
Thats a great point!