The new administration is already exerting negative influence over markets before they actually get into office. Did you hear him talk about a 25% tariff against Canada and Mexico. Go look what happened to those currencies versus the dollar over the last hour or two of this post. Seriously, if you trade currencies look up the USD/CAD and USD/MXN. Now imagine what he'll do on a global scale when in office. He's already looking to go after Europe.
i have been saying for decades that it has always been cheaper to rent a place to live than to buy a place to live . even back in the 1970s when u could buy a house in LA for 25 k that was considered alot of money back then for most people and u could rent that same house or one like it back then for 300 per month with little or no deposit . I remember back in the 80s when alot of rentals had no deposits required at all or if they did it was like 100 bucks .
We sold our house to downsize but are renting for a year in the meantime hoping prices go down a little. We absolutely hate renting. There is nothing better than owning your own home in my opinion. I love being able to do whatever I want to MY home.
I’d rather live in a tent than rent an apartment again. The noise, management and maintenance turnover, smokers on their patios above or next to you, noise, smelly foods, package theft, parking spot battles, renters in some cultures that sign and acknowledge only one family or whatever per unit but they have aunts, uncles, adult brothers and sisters all piled in, trash heaped up in dumpsters or spilling all over. No way- never again.
I’ve never understood how houses “appreciate” so much when the materials they’re made out of don’t get better they deteriorate. I thought that’s why cars don’t appreciate. 🧐
Because so many people overpaid for homes even while loan rates were low, I believe there will be a housing catastrophe because these people are in debt. If housing costs continue to drop and, for whatever reason, they can no longer afford the property and it goes into foreclosure, they have no equity since, even if they try to sell, they will not make any money. I believe that many individuals will experience this, especially given the impending mass layoffs and rapidly rising living expenses.
I advise you to invest in stocks to balance out your real estate, Even the worst recessions offer wonderful buying opportunities in the markets if you're cautious. Volatility can also result in excellent short-term buy and sell opportunities. This is not financial advice, but buy now because cash is definitely not king right now!
You’re absolutely right! With guidance from an investment coach, I was able to diversify my 450K portfolio across different markets and grow it to over 830K in net profit through high dividend stocks, ETFs, and bonds..
My portfolio has been in the gutter for the entire year, so I started researching new ways to profit in the market, but everything I tried just seemed to miss the mark. Please let us know the name of your financial advisor.
Certainly, there are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with Jennafer Beaver Turner for about five years now, and her performance has been consistently impressive. She's quite known in her field, look-her up.
I just copied and pasted Jennafer’s whole name into my browser, and her website appeared right away. You've saved me several hours of arduous research, therefore I appreciate it.
We paid our house off. It's like a giant weight being lifted off our shoulders. Sure we have to pay taxes and insurance, but its nothing compared to renting.
Sold mine, bought a slip and a boat. My biggest bill for HOA, electric, Water cable and wifi was $240. My insurance including contents was $600. I don't work. 60 years old.
@@Kevin-fn1rn Unless you live in a bunker, you are only kidding yourself. Even living in a bunker is no guarantee. Just look what happened in North Carolina and Tennessee
Get yourself a nice pension and a set mortgage with a low interest rate. Invest in dividend ETF's and rake in guaranteed returns so that your capital gains/dividends pay for the property taxes and repairs. Never spend more than 30% of your NET income on a mortgage. Violla! Problem solved.
I retired "in place" here in the Great Lakes Region...love it. Love the snow & 4 seasons. Never saw the attraction of Florida. Oh, I retired 20 years ago. At 80, my "hut" is long ago paid for.
The best home in my opinion is a small comfortable home on acreage with a commanding view or waterfront away from people. Small is easy to take care of and affordable. It gives you the freedom to travel and enjoy life. A small home is easy and very inexpensive to build if you decide to DIY.
Property isn’t all that cheap either. Then think of what it costs for excavating the property for building prep. Bringing in a drive way, well, septic, cost of materials and labor etc. It would cost me more to downsize then it would to stay. Although I love the country the best.
its not the house itself that holds most of the value , its the LAND its on and the location and all the water and power and sewage system connected to the land that gives most homes their value . if u build a really nice house on land in the middle of nowhere with no water and power and sewage system going to that piece of land then the house will not be worth anything .
No, houses have increased over the last 30 years well above the inflation rate. If you bought in a place that becomes more attractive to live in as time goes by, then more people want to move there and the amount others will pay to buy your house increases faster than inflation. Houses are worth more than in 1985, if you adjust for inflation. There are inflation calculators on the internet and you can plug in different values in different years to see the difference.
Okay listen to this guy and never buy a house ever. He pisses on every issue there is. I just depends on your personal situation financially. Research and common sense goes a long way.
@@jimshoe402 Wow! I retired early also. You beat me though. My house n condo that gives me additional monthly income are paid off. In addition to my work I flipped houses and condos over the past twenty plus years. Not touching social security yet either. Retired debt free. He gives people no hope for ever owning a home and I disagree. He gives people no hope about anything. Congratulations on your success and retirement. Respect.
A solution: the federal government institutes a 2 percent property tax and a 2 percent homestead exemption. the situation with all these empty houses sitting around with prices that are too high will change.
Its not like that. Invitation homes, whom I was about to sue until they actually paid what they owed, actually manage more than buy I believe. Managing removes all risk from the corp and their large dominance insures a monopolistic hegemony. They influence prices greatly by both managing and buying. Its really mom and pop corps that are strangling the markets.
One of the reasons that price of the houses are high is because of investors are buying single family homes as if Stock Market is not enough for their greed , there should be a law to prevent investors from purchasing homes so that owner occupiers must have the priority to own it .
Houses are being built in our neighborhood for renting. Right next door to my 25 year old House a new one is going up and it wont be for sale, its just a rental. I also happen to live in an HOA and they allow for it.
I actually think it's the greatest generation and baby boomers dying off and their children are squandering all that wealth they just inherited. They act like lotto winners. It's like poor old dad just left me 500k, Instead of buying that 300k home lets buy a 400k home and 100k truck. It's the easy come easy go attitude.
@@MultiAnne36 25 years old (1999) isnt an old neighborhood in many areas where this matters. You moved into an undeveloped tract neighborhood with an HOA, one that didn't fill or establish, so expect newer trends such as rental homes. Be glad you're still growing.
These prices are delusional. The only thing that makes sense to me here is that the owners are using "unrented" status as a either a tax loss write off or as a mechanism for money laundering.
If a house is taxed at the purchase price +2% per year the tax bill isn't that much. Outside of FL and CA insurance is cheap by shopping around. If there is no note on the home, and the price inflated 25% in the past 3 years you have alot of tax bills and lots of insurance payments that can be put in to support a 25k gain on each 100k of property. A lot of owners are holding out for 10% more return that might happen this decade or may not. The problem with these videos is the prices are insane, the tax bills are insane, the monthly HOA costs are insane, before even talking insurance.
Nah, Miami is an international market. 23% of the sales volume in Miami are foreign buyers. The average for the USA is 2% of sales volume being foreign buyers. Consider you were a very wealthy business owner in Latin America (specifically Venezuela or Argentina). You don't want to keep your wealth in those currencies, you want to put your wealth somewhere safe where it will be protected from inflation and from Latin Ameircan governments... what do you do to protect yourself? MIAMI REAL ESTATE You take your money in Argentina out and buy a $7 million chunk of newly built real estate in Miami. For a normal working class American, it doesn't make any sense to buy a super expensive piece of real estate in Miami, but for anyone with a concentration of wealth in Latin America... expensive Miami real estate is their best option to protect their money.
@@tropicaljays Ah, this is why the US should pass a law that some countries have figured out to protect their citizens: you should have to be a permanent resident of the United States to buy property in the United States.
@@7thlady if they did that, there would have been no boom like this. It is immigrants who are buying at higher prices. They are bringing down payments from their countries by selling some assets there. 2% interest rate made 1 million loan for 150000 income possible. at 6%, they would have 500000 house only. I hope they all locked the rates for 30 years. Else, many homes will be coming into market as we reach 2025.
I'll tell you why it's scary to be a renter: Even in states with decent renter protections like CA, no matter how long you've lived in a home and integrated into your community etc, your landlord can tell you that you have 2 months to get out, and they can do that even when there is a housing crisis and rental rates are sky high. Maybe you'll get thrown out into a market where rents are 1.5-2x what you pay now -- that happened in the past couple of years. I've seen that happen to numerous older people when we used to live in San Diego, and they ended up having to move hundreds of miles and inland, away from everything they ever knew. Have a good landlord? Hope they never pass away, experience life changes, need to move away and sell, etc. Hope the market doesn't go up too much and they want to cash out. You never know. None of it is in your control, and that's the game you play. It's easier to play until you have a family. Also, when you get old if you own your home at least you have an asset you can sell and become a renter with something in the bank if you really need to. If you get old and you're a renter you might have much less cushion, vs. someone with similar liquidity/income.
Exactly this. I was a CA renter for 18 years. I finally put together enough money for a down payment on a home and bought one this month. My mortgage is almost double what I’m paying now for rent, but to me it’s worth the extra cost because I can retire in this home with peace of mind, and not depend on a volatile landlord.
Well...yes, but if you plan to stick with ownership, you can eventually pay off the bank. At least you could until a few years ago, now, yes, you may be right. Just be ready to jump in if rates ever get down to around 4% or less again. When I came to America in 1981, we bought a house at about 15% and lost it within a year - just couldn't afford it. But things changed and in 2000 we got our house for 3.5% and paid it off 20 years later. These things tend to be cyclical - don't give up.@@NeveauRock
Houses are money pits. Always something hot water heater, HVAC, and a new roof will cost thousands. Now in Florida the taxes and insurance are crazy. Even if no mortgage the monthly taxes and insurance are insane. Yes it’s nice to own your own home but Florida is insane.
You must be buying big crappy homes and didn't plan for home ownership. If I had to change my HVAC,water heater,and roof tomorrow it would cost around $40k. I have the cash. My $260k condo in Oklahoma is paid off and I have over 4 million net worth. Just paid my $1650/yr. property tax. Savings,investments,401k,IRAs,annuity,etc.. Have around $600k cash currently earning between 2.6% and 5.2% in HYSA,credit union savings,and laddered CDs. Also a $250k emergency fund that's grows and never been used. No issues. Also a condo in Florida with no issues at all. Too new to have any.
My parents bought a house in 1997 for $300k and now it’s worth $3 million. What a money pit 😂. I bought a house in 2014 for $400, now it’s worth $1.1m. What a money pit. Upgrading the furnace and water heater for $8k total was such a waste 😂😂😂😂😂
@@itshadouken"Worth" means higher taxes. "Worth" means what someone is willing to buy it for. Your home's "worth" is determined by corrupt property tax and insurance systems so they can extract as much money as possible from you. So, while you get robbed, do you always do the happy dance while you're getting screwed while they laugh at you?
@@itshadoukensell it and buy another one with the money. See...your newfound wealth was just an illusion. You are basically even minus home upkeep expenses and taxes.😂😂😂😂😂
I bought my first house at age 21. Forty years later, I haven't regretted it for one second. I paid rent for one month. Even at a young age, rent felt like flushing money down the toilet.
I agree. The prices always go up eventually. Look at the Great Recession from 2008. Would you be better renting or buying even if you bought in 2007? Rent gets you nothing.
I worry for folks in the south. I think that whole area becomes uninhabitable in no more than 10 years due to multiple cat 3 or bigger hurricanes coming through every year.
My first mortgage when I was 21, under the Carter administration, was 21.75%. 30 year mortgage. I put a $100 downpayment. I rented out half of the single family house to a single guy. I paid my payment every month plus the same amount towards the principal, plus each tax return and bonus went to the principal. I paid it off in 7 years. 😢
The American Dream of homeownership has become The Nightmare on Elm Street. Owning a Home or condo is an Endless Liability. While Homeowners insurance, real estate taxes, water bills, sewerage bills, maintenance and upkeep costs, trash bills go up each and every year there are No Guarantees and nothing in place to prevent property values from dropping like a rock.
@@valsomeone2180 Invest all your money in dividend stocks and you will mostly keep up with rent increases. Obviously, it depends how much you have. In US, I would say you need at least $2M to be on the safe side.
We paid our house off last year. We now only pay $300 per month for taxes and insurance. Yes, it will increase year by year, but so will eveeyones rent. I like my margin between my cost and what rent would be.
Actually, no body ever "owns" a home. At 80, I know I can't take it with me. House is "paid off". But soon I give it away. My end is near. I'm happy, as I know it all goes "poof" soon.
Just got a notice of non renewal for my home insurance. Nationwide is saying my agent no longer has a contract. Already found some insurance companies cheaper than what I was paying.
Back in 1998 I bought 9 acres in the back of San Diego for 80k. I went to Home Depot every week buying what I needed to build my home once I had the slab poured. I built a 2850 sf home for about 60k in materials. I sold the place in 2006 for 950k.
My grandparents built their house that way,then their brothers, who'd helped them build it, got the same help from them in building their own houses. Back in the 1920's FL.
Who the heck would pay $13,000 a month rent? Boy what a way to just take your dollars and just light a match to it and burn it. That’s ridiculous.🧐🧐😳🤷♀️
I would prefer owning over renting. Renting you are under another person authority. I have seen too many people get kicked out because the owner wants to us the property for something else.
@williamrogers4917 -- I would be afraid to rent from a homeowner for those very reasons. You never know when the homeowner will want to sell, move a relative in (and give you notice), or even default on his mortgage. Sure, the renter supposedly pays the homeowner's mortgage, but what it the homeowner DOESN'T USE that money to pay the mortgage? I'll stick with a rental community,
There are a multitude of problems with renting. One of them is if you have pets. I have a German Shepherd and 3 cats. If I do a search several hundred houses pop up, and then when I apply the pet filter only a handful show up.
I've owned 2 homes as a single woman and honestly, it was a pain in the ass and SO much more expensive. Glad you pointed it out that you never really own anything. Either the bank or the city does. It's such a bummer.
Yes you own your house and you can change things inside it etc. Renters can't do that and can be asked to move out any year. You have so much more freedom when you own. You don't worry about your damage deposit. You learn how to do the easy repairs. I have never rented but from what I hear, it is not that great.
Too high by what measure? If you can't afford to buy anything, then they're simply outside of your budget. But there are also people who can buy, but in their mind it's unattainable. They hang on to that notion without even doing any research and missing out on opportunities. The one evil in housing statistics is the median price of houses for a given market and they're usually misleading to individuals. They don't really mean anything to buyers and sellers unless those numbers happen to be in an individual's price range. I don't even know why they're published so prominently. Banks and government entities are the only ones who need to keep track of them. A typical example is my area. The median house price here is ~$300K depending on who you believe. BUT, the actual real price range is from
@@pojack9979 oh how i wish what u just wrote was true , but sadly its not , no sellers or landlords will lower their prices , they just find excuses as to why their high price is justified .
In my neighborhood, sellers lower the price if it doesn't sell. In Florida, they raise them? When we bought, our mortgage and escrow were $1,300/month. Rents were about $1,000/month We paid off the mortgage in 12 years so just payments for property taxes, utilities and condo fees. Rents are probably around $2,100 - $2,400 but I don't know of any renters here now. Some of the pain of being a renter is the annual negotiation. You have to be prepared to find a new place and to move all of your stuff from one place to another. You have the stability of your kids and their friends or you and your neighbors. You can modify your property as an owner where you may not be able to as a renter - and you can't take your investment with you when you move. That $8 million house wouldn't sell well in my area. There are very few ultramodern designs. It's more traditional New England homes. The exception is condos and apartments. Those modern designs do let in a lot more light and you have more rooms to view things from but it seems like you have less privacy. I buy day-old bread at my grocery store and make my own sandwiches. If they buy my supermarket chain, then I am in trouble. Maybe. My wife would probably just bake it herself. The hedge fund playbook is to buy a company, extract the value, load it up with debt, pay themselves fees, and then spin it off into a company that they goes bankrupt and leaves the bondholders with nothing. The latest example of this is the Steward Healthcare bankrupcty.
I have been a renter for 13 years. There is a new roof, new exterior paint, new water heater, new stove, new refrigerator, new furnace, new washer/dryer. I did not have to pay for any of it. I don’t pay property taxes. I am a senior citizen now. No reason to own a home. Landlord helps me out because I take good care of his place and he does not want 3 families living here trashing his home. Go setup for all involved.
Michael! I’m millennial who is looking for a first home but decided to rent because of your videos. Luckily I was able to find an apartment to rent for $1350! That was a steal! Im from california btw! The rest of my income are going to the stock market.
California Apartment Dweller. I also found a good deal 7 years ago and have not experienced any rent increase during a time span that rents have gone up 30%. I just stay put and save/invest the rest of my money. The cost of buying a home is well into scam territory. Looking forward to the melt down where the bag holders that created this mess get their asses handed to them.
10 years ago I got divorced. I negotiated to take 100 % of all my pensions and she would take the home, equity, and take over the mortgage . I moved to a rent controlled apartment. After 10 years, I am much better off financially and am 3 years from collecting 100 % of all my pensions. Expenses, such as insurance, taxes, utilities, and repair expenses took a huge toll on her budget.
My spouse and I have owned our home for over 20 years We do not have home insurance Our taxes are super low And all repairs are done by us We have saved over two hundred thousand dollars, By owning our 2 bedroom townhome Our last electric bill was 104.67 cents
I buy insurance but I minimize and increase the deductible to the max. I do all my own repairs, I fixed my dishwasher, stove, all the plumbing, change toilets and do all the electrical and add new circuits in my house when I want. I fixed my washing machine that had a blown rubber coupler and my dryer had an open element and I just tied it. I changed my gas hot water tank for $200. I fix everything on all my cars and even changed the head gasket on one. I fixed my furnace that had a blown relay on a circuit board and I fixed the computer in my car by flashing the memory chip in the power control module. I bought the electronics to do the flashing from China and got extra computers from the scrap yard to flash. Now youtube shows you how to fix everything. I just fixed a Roland Piano that had some caps that were bad. I refinished my deck last summer and put up an aluminum railing with tinted glass. I built an attached garage ,4 cars, to my house with a room above the garage with a bathroom and kitchenette and all wood came from Home Depot Canada. I picked all the straightest boards instead of having a pallet delivered with crappy wood and then I laid down my stone driveway and cut all the stones myself. About 800 sq feet. I designed everything myself using computer programs to get the best looking facade for the house. I did all the tile work in my house, floors bathrooms, showers , jacuzzi room. This year I plan on putting up some solar panels but make them removable and not connect them to the grid. Put in automatic transfer switches so that when the sun goes down and the battery is depleted , the components in my house will switch seamlessly to the grid. I am only going to power the most energy hungry items, like the fridges and freezers and computers and TV's. They use 90% of the power. Just the A/C in the summer won't be on solar. I literally have zero repair bills and I also fix all my kids stuff and cars because I am retired now. So I change all the oil in all the cars. Changing the oil is so easy and it costs $35 for synthetic with the filter. You pay $80 at Canadian Tire. I repaired my daughters car, brakes, tie rods and other stuff for $500 and Canadian Tire wanted $2500. So I saved $2000.
@@madelineveggie3931 We do not live in fear Insurance is too expensive And the deductible for a named storm is way to much I checked last year Our home is 45 years old 6 blocks to the ocean in South Carolina There are a lot of homes and mobile homes over 50 years old just blocks from the ocean Yes anything can happen But we decided years ago to not pay the corrupt insurance companies
Michael What about quality of life? I dont want to work all day and come home to an apartment complex and have to take my kids to the park to enjoy a yard. Never mind living like a sardine and worried about my security. Ill take homeownership and the costs. I cant write off apartment payments but I can mortgage interest.
Im a homeowner. I fix everything myself. In the end, homeowner is better than renter. BUT, theres a big but, this no longer hold true in today's market. If you buy today your cost on housing is much more than renting. What im trying to day is the gravy train is over. If you bought 20+ yrs ago, you are golden. My mortgage cost less than a one bedroom apt. If i buy today for the same house, my mortgage would tripled..
You’re lucky you could do the work yourself. I now have to get five quotes on any project because the ripping off is amazing. Some contractors are literally overcharging by 100% because they don’t want to do the work and they want you to go away, but at the same time they want to see if you’re stupid enough to pay them that money. Since Covid, contractor work is like $150 an hour with a minimum required two hours.
@latsnojokelee6434 There's honest contractors out there who don't always take advantage of HOs. You just gotta find them. I'm extremely grateful (not bragging), that I'm very handy. From automotive, plumbing, AC, electrical, flooring, drywall, to remodeling, I do it all. I haven't hired a contractor or paid a shop to fix my home and my car since God knows when. Except for costco when I need new tires. 😆
Just 10 years ago where I live - if you were paying 1200 in rent for a place, you knew the mortgage on it was probably 800. Now people are buying homes that rent for 1500 tops - and their mortgage is 1900. lol
@@ColetteSpencer-k5o And let me guess... you're not allowed to pay cash, so you have to pay a transaction fee, to which they get kick backs on? Isn't it awesome!
Renting is an issue because rent goes up every year or two, whereas income does not for everyone. In my area a one bedroom apartment is 1700$/month or more. In 5 years it will be over 2k$. This is why a mortgage is a good idea if you can get it cheap. USDA loans offer 4.375% interest
I'm in Michigan, and the housing market here over the past 7-8 years has been unprecedented. Houses that were purchased for $130K in 2015 are now going for $590K. These are tiny, poorly constructed 950-square-foot homes in quiet, mediocre neighborhoods. Meanwhile, nicer, average-sized homes in better neighborhoods that were over $300K a decade ago are now selling for $750K+. It's wild.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advice but get buying, cash isn’t king at all in this time!
I've been in touch with a financial advisor ever since I started my business. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders.
bravo! I appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor, mind sharing info of this person guiding you please?
The decision on when to pick an Adviser is a very personal one. I take guidance from ‘’Stacy Lynn Staples’’ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
A bad thing about having a top rising while everyone else is sinking - is that people who rent out for their income have a ceiling on what the working class in their area can afford, while there seems to be no ceiling on home costs.
Absolutely ridiculous. Always appreciate your common sense approach, Michael. Very validating. What a mess we have gotten ourselves into. What remains to be seen, is how the heck we will get out of this mess.
Absolutely would not buy a house. I’d rather house hack a 4 unit multi family and then work my way up to 400 doors and beyond. Grant was absolutely correct. Love your channel Bro
Depends on individual. Some are fine with renting. Many have savings and investments growing from many years ago. Already gotten their money back thousands of times still reinvesting,compounding,etc. working for them and paying their rent with ease. And this is without including pensions,SS,annuities,401k,etc.. This has also been a great home price and market run since 2009 and a lot of renters I know are debt free millionaires living off dividends and interest.
You are assume the value of your property will just keep increasing and there will be an economy in your community that provides livable wages to a big population of potential home buyers. Look at the Midwest.... Detroit, for example. It doesn't always work out as you described.
@NeveauRock incorrect my assumption was its value stayed the same, I would have said the owner would have profited on a sale had I made that assumption.
Most undocumented immigrants don’t own houses, they rent apartments. Wait till landlords raise the apartment rents on whoever is left when half the tenants are forced to leave. 😮
Most illegal immigrants aren’t living in these million dollar homes you’re hoping will be available. They’re living in homes most wouldn’t even consider renting and working jobs (paying taxes they will never have access to) that very few Americans are clammering to take. I think it’s going to be a big disappointment for those expecting deportations to have a positive effect on the economy or housing crisis.
We have a lot of recent immigrants in our town and where they live is really sad. Disreputable people chop up their homes into rabbit warrens- Turning one bedroom into three tiny bedrooms- And then rent out each tiny little space to different people. Nothing is up to code, makeshift showers appear in the basement. It’s really awful. And if you do want to buy one of these homes, now you have All sorts of code violations to deal with.
Owning a house is not all that bad as long as you are confortable paying. Long term you are better of owning if you pay it of in 15 years or less. After that no metter the taxes, insurance, and repairs you are paying less than renting. Right now my house hass been paid for 4 years in GA. Since I dont have a mortgage I pay roughly $800 including the saving for any repairs for a 4 bedroom 3 bath house. I have also finished the basement with two bedrooms which I rent for $1500 a month. So pretty much I live for free. I continue to repeat this process to help myself in retirement.
If someone cannot afford more than 20% down for a mortgage, then renting might be the best option. However, there are few cases where buying a home for cash does not beat renting.
property taxes up BIG - the local govs are flush and they will never reduce the taxes - the real estate/public education industrial complex is bad for the country
I sold my home one and a half years ago. It was paid for, but the cost of maintaining it was a huge burden for me as a widow. I didn’t want to be one of those ladies whose house is falling down around her ears because she can’t maintain it. I am a happy camper renting a one bedroom apartment. Let someone else worry about repairs. Now I have money to travel and enjoy my life instead of freaking out every time a hailstorm hits.
I used to rent and now own my home. I can honestly say it is far cheaper to own a home, even with insurance and taxes than it is to rent. Rent constantly goes up and you have no control over it. I now have my home paid for and my insurance and taxes are less than 5,000 a year. Maintenance is minimal because I totally remodeled six years ago and replaced the roof, heat and air, and other expensive items over time. My equity has increased 50% since I purchased the home while including the remodel. I can retire knowing that unless things go really south, I will be able to afford my home until my death. Pick a place that isn't exorbitant to live yet still has a good quality of life.
Random issues to cover in a renter video: potential that building owner will not be able or willing to pay for upkeep and repairs; jump in rent and need to possibly uproot family from neighborhood and schools; access to private outdoor space; noise. For home owners: option to rent rooms in home to offset costs at a later point (e.g. aging owner); option to learn to do some repairs to offset costs; if district allows - creating a basement apartment for rental - this is done a lot in Canada as we have full basements.
I got mine post 2008 crash when prices were what I'd consider normal again to buy. If I was looking to buy now, I'd just wait it out. Same scenario gonna eventually play out again.
I agree with you regarding stressing out for paying for these houses it’s ridiculous specially, in Miami. The HOA mafia is never ending and Orlando did a video today about a $21 million assessment on properties particularly apartment properties. Good job brother I know sometimes and critical but I enjoy your videos.
Very true. But it depends where you are in life. If you can't borrow because you have a part time job or are single, it is better to rent, and use the rest of your money to save or invest. Buying a house is so expensive now. I am looking into € 350.000 houses and with all expenses and taxes included it will be € 450.000. At least I have an inheritance...
Great point about the "carrying costs" of high end real estate. It is considerable and with home prices dropping the offsetting price appreciation isn't there anymore. It is now a lose/lose equation in some areas.
There is not a supply problem in most markets. The builders already overbuilt .... they are carrying a huge shadow inventory. Wait until people figure that out.
I own a small 1925 house with 2.5 acres free and clear… over the last few years they have been building mansions on “estate lots” (2acres) all around me and selling them for 500k to a million each! And these homes aren’t built half as well as my little 100 year old farmhouse! Yet people are buying them…smh
'Owning' doesn't pay off if you're just renting money from the bank for it. But if your CAPEX and maintenance is paid up and done, even December heating costs won't approach what you'd pay in rent.
Yeah people laughed at me for years saying I was foolish paying my condo off 21 years early in 2008 talking about "good debt" and whatnot. I think they understand now. With no mortgage my total household living expenses (including property tax,insurance,HOA,food,etc.) is less than $1400/mo. which is pretty good for an upper middle class area on secure gated private property. Everyone around me are paying $1800 to over $4k a month just for mortgage alone.
At 73, and in hindsight; renting or owning is as relative, plus or minus, as people and variables weigh in. If you like to do the improvement work, and can, and like stability of location...do it cos you build equity...worked for us repeatedly. And we raised youngins, which didn't mind relocating ....much.
House --> Rent --> Car --> Tent --> Cardboard Box. You can always save money by decreasing your home convenience or security. Look at how much renting an apartment costs versus a cardboard box...
Problem in the area that I live in is that both rent and owning a home is expensive. It’s too expensive to own but rent is so expensive that it makes it almost impossible to save up for a significant down payment. People that bought their house before 2020 have mortgages that cost half of what my rent was for a dump of a house. It’s ridiculous. House prices need to drop by at least 50% in my area to make the median home price affordable for the person making the medium income here.
Of course one reason insurance costs go up is that the limits go up due to inflation in repair costs. Now if prices go down the replacement costs do not.
There’s no way if someone has paid off their house…is going to be paying more in carrying costs than someone else paying rent….and think about that rent in ten years…it’s going to be so much more than right now 😮
No doubt a 50 basis point rate cut is in order, inflation is a killer for the middle and lower class. Monetary policy decisions should prioritize economic stability for the working class, not cater to wall street’s big boys and politics.
My concern is where we will begin to see the effect of these cuts, is housing going to follow suit? I missed out on my dream home during the pandemic, I am now all eyes and ears for a further decline in mortgage rates.
Further decline? This is the reason I had wanted to refinance in the 1st quarter according to our budget but my spouse likes the space and the pool. If I go ahead with the plan, I will have over 200k to put in a HYSA as I had initially intended, seeing stocks are very volatile these days and the bond market (10Y) is pricing in the effect of rate cuts by ticking upwards, is it a good time for an average joe to get into the financial markets?
Consider consulting a financial advisor to protect your retirement savings from inflation. I personally saw my portfolio grow from $750,000 to $1.2 million in 3 years, saving $23,000 in taxes and earning $45,000 in dividends, despite 2.5% annual inflation. A financial advisor can help you rebalance your portfolio, optimize retirement income, and develop a tax-efficient strategy to safeguard your future.
Actually Michael 20% down on a $2.4 Million Dollar Home is not "$250,000." It is more like $480,000 Down (20% of $2,400,000). So basically you would have to put Half a Million Dollars Down for this home at 20% to qualify for the $15,000 Month Mortgage. I'm assuming that does not include any HOA, Property Tax, Insurance, etc. You could easily be paying close to $20,000/month to buy that home. No Thank You.
If you refi, the mortgage reverts from a nonrecourse to a recourse loan. (Depending on state laws.) A recourse loan is a very bad thing if the mortgage ever goes “underwater”. If you were evicted via foreclosure, you would still owe the bank the rest of your life. After they resold the house for less than you had owed, they could garnish your wages, take your wife’s jewelry, your savings etc. for the difference.
I agree with your take on why renters are so opposed to renting over owning. You're right; you don't really ever "own" your home. If you're a homeowner in a swanky neighborhood, you are going to pay through the nose in property taxes and insurance, and most likely a hefty HOA fee.
To each their own! I would take a conservative run California any day of the week over Florida... Have live and visited thoroughly in both... Florida is only good during November - February and though nice weather for only those 4 months, still doesn't have mountains, deserts, oceans, Redwoods, etc and that perfect coastal climate year round...
You do not want to still be paying rent or a mortgage when you reach retirement age. You want to own outright a smaller home that is in good condition and near all the services a retiree will need. And you never want to be paying too large a portion of your income on housing no matter your age. If housing prices are too high where you live, move to a different part of the country where costs are lower. If you have a portable job, relocate. If you have skills that are in high demand (nursing, teaching...) some states may even pay your relocation costs if you move there.
My son and his wife rent a 2 bedroom condo in Plantation FL for $2600 a month. The same condo would cost him $4000 a month to purchase with $80k down payment, all the fees, and mortgage. He’s saving $16,800 a year renting
Wrong! 😂. How about you calculate how much equity he’s NOT building renting? He’s not saving anything just paying his landlords mortgage and building the landlords’ equity.
People are often surprised that owning a house isn’t necessarily as profitable as they think. When I sold my townhome and I calculated my equity, but I also calculated how much money I spent in repairs over nine years, there wasn’t a huge difference between the two. It’s conceivable that had I just put that money into the stock market. I would’ve done almost as well, but with no hassles like waiting for contractors to show up.
@ So over the duration of a 30 year mortgage and saving $16,800 a year that comes to $504,000.00 savings. If he puts that into an average S&P account that averages 8% interest he will have over 1.7 million in the account even if the rent goes up 5% every year!
Mike, being a renter you will have “no” sovereignty. Owning a home you maintain “some semblance” of sovereignty. As a renter, one will always be subject to fluctuations with no control whatsoever. My mortgage payment will never change because I refuse to escrow. I’ll take my chances with the property taxes and the homeowner’s insurance directly without the mortgage company’s grubby little hands in the mix.
@ That is something to fear. I’ve thought of that. Vote out the control freaks that would allow such a thing or vote for those that would be willing to pass a law against compulsory escrow.
Canada is currently trying to do a grab on people's homes. It's frightening. U S really got a break on this next four years, but it gives me pause in purchasing a home, if future leaders, do what Canada's doing, right now.
The prices must be come down lowering the interest rates will only encourage increasing house prices. The agents and mortgage brokers are in the business of selling debt. Higher debt is not the way to go
Trump Tariffs Explained: The 10% Tax on ALL Imports th-cam.com/video/3nm8A8OLPb0/w-d-xo.html
Thanks for EXPLAINING!
The new administration is already exerting negative influence over markets before they actually get into office. Did you hear him talk about a 25% tariff against Canada and Mexico. Go look what happened to those currencies versus the dollar over the last hour or two of this post. Seriously, if you trade currencies look up the USD/CAD and USD/MXN.
Now imagine what he'll do on a global scale when in office. He's already looking to go after Europe.
My wife and I enjoy buying 2 or 3 houses...we are both retired...
i have been saying for decades that it has always been cheaper to rent a place to live than to buy a place to live . even back in the 1970s when u could buy a house in LA for 25 k that was considered alot of money back then for most people and u could rent that same house or one like it back then for 300 per month with little or no deposit . I remember back in the 80s when alot of rentals had no deposits required at all or if they did it was like 100 bucks .
''You will own nothing'' WEF 2030 plan, make us renters of everything,
that somebody will own, hmm, I wonder who that will be🤔
We sold our house to downsize but are renting for a year in the meantime hoping prices go down a little. We absolutely hate renting. There is nothing better than owning your own home in my opinion. I love being able to do whatever I want to MY home.
I’d rather live in a tent than rent an apartment again. The noise, management and maintenance turnover, smokers on their patios above or next to you, noise, smelly foods, package theft, parking spot battles, renters in some cultures that sign and acknowledge only one family or whatever per unit but they have aunts, uncles, adult brothers and sisters all piled in, trash heaped up in dumpsters or spilling all over. No way- never again.
So, want to explain how you really feel about apartment living? Lol. I agree with you. I hope never to go back to that.
If you live in a tent. How do you secure your things when you cop a squat or get food to eat. Or a dog craps next to your tent?
You take your tent with you.
Yep nothing worst than noisy neighbors. Annoying and nerve racking. Silence is golden
It sounds like you rented at Lancelot Court in Salem, NH. LOL
20k to go on my house at 3% interest, I’m staying put for a while. Live within your means and don’t buy stupid things
7159 Well stated !
"You will own nothing and be happy" getting closer every day.
Why is anyone that is attempting this along with their families still breathing air
Getting closer to bug burgers too. Meat is becoming unaffordable.
Is that meant to be an attack on socialism?
@@Tater-Skinz😂😂😂😂😂
@@Tater-Skinz Solient green, yum.
I’ve never understood how houses “appreciate” so much when the materials they’re made out of don’t get better they deteriorate. I thought that’s why cars don’t appreciate. 🧐
Riiiight, this is why YOU dont own a 1963 Ferrari 250 GTO $70M. It wasnt 70mill in 63! 🤡💩👉
Location location location
The difference is cars can keep rolling off an assembly line - houses can't.
Some things definately do get better. Look at the construction of showers for instance it's day and night what it used to be.
@ and then make that auto inventory disappear either by exporting or in some farmers field. yeah, that happens 😂
Because so many people overpaid for homes even while loan rates were low, I believe there will be a housing catastrophe because these people are in debt. If housing costs continue to drop and, for whatever reason, they can no longer afford the property and it goes into foreclosure, they have no equity since, even if they try to sell, they will not make any money. I believe that many individuals will experience this, especially given the impending mass layoffs and rapidly rising living expenses.
I advise you to invest in stocks to balance out your real estate, Even the worst recessions offer wonderful buying opportunities in the markets if you're cautious. Volatility can also result in excellent short-term buy and sell opportunities. This is not financial advice, but buy now because cash is definitely not king right now!
You’re absolutely right! With guidance from an investment coach, I was able to diversify my 450K portfolio across different markets and grow it to over 830K in net profit through high dividend stocks, ETFs, and bonds..
My portfolio has been in the gutter for the entire year, so I started researching new ways to profit in the market, but everything I tried just seemed to miss the mark. Please let us know the name of your financial advisor.
Certainly, there are a handful of experts in the field.
I've experimented with a few over the past years, but I've stuck with Jennafer Beaver Turner for about five years now, and her performance has been consistently impressive. She's quite known in her field, look-her up.
I just copied and pasted Jennafer’s whole name into my browser, and her website appeared right away. You've saved me several hours of arduous research, therefore I appreciate it.
We paid our house off. It's like a giant weight being lifted off our shoulders. Sure we have to pay taxes and insurance, but its nothing compared to renting.
My wife and I feel the same way
Bless you child , that must be a nice feeling
Sold mine, bought a slip and a boat. My biggest bill for HOA, electric, Water cable and wifi was $240. My insurance including contents was $600. I don't work. 60 years old.
Don't have to pay insurance anymore.
We are all one event away from homelessness
Speak for yourself
@Kevin-fn1rn sorry friend but that does include you
@@Kevin-fn1rn Unless you live in a bunker, you are only kidding yourself. Even living in a bunker is no guarantee. Just look what happened in North Carolina and Tennessee
Get yourself a nice pension and a set mortgage with a low interest rate. Invest in dividend ETF's and rake in guaranteed returns so that your capital gains/dividends pay for the property taxes and repairs. Never spend more than 30% of your NET income on a mortgage. Violla! Problem solved.
Not me.
I retired "in place" here in the Great Lakes Region...love it. Love the snow & 4 seasons.
Never saw the attraction of Florida.
Oh, I retired 20 years ago. At 80, my "hut" is long ago paid for.
We WANT a video on renting versus buying!!! We are on our 60s and tired of upkeep
The best home in my opinion is a small comfortable home on acreage with a commanding view or waterfront away from people. Small is easy to take care of and affordable. It gives you the freedom to travel and enjoy life. A small home is easy and very inexpensive to build if you decide to DIY.
Yea, great if you are young and can take care of the property.
Property isn’t all that cheap either. Then think of what it costs for excavating the property for building prep. Bringing in a drive way, well, septic, cost of materials and labor etc. It would cost me more to downsize then it would to stay. Although I love the country the best.
Your house is not made out of wine, it doesn't really appreciate in value. What you are seeing is dollar devaluation.
Nobody is stopping you from renting.
You go ahead & rent & I will stay in my mortgage free house.
@@jackwilson3121You do that, Boomer.
its not the house itself that holds most of the value , its the LAND its on and the location and all the water and power and sewage system connected to the land that gives most homes their value . if u build a really nice house on land in the middle of nowhere with no water and power and sewage system going to that piece of land then the house will not be worth anything .
No, houses have increased over the last 30 years well above the inflation rate. If you bought in a place that becomes more attractive to live in as time goes by, then more people want to move there and the amount others will pay to buy your house increases faster than inflation. Houses are worth more than in 1985, if you adjust for inflation. There are inflation calculators on the internet and you can plug in different values in different years to see the difference.
I’m not a homeowner, but I discovered your channel maybe a month ago and I am fascinated by it. I really appreciate the information that you provide.
Okay listen to this guy and never buy a house ever. He pisses on every issue there is. I just depends on your personal situation financially. Research and common sense goes a long way.
@@surfboard396 I retired at 51 and I like him..😁😁😁
@@jimshoe402 Wow! I retired early also. You beat me though. My house n condo that gives me additional monthly income are paid off. In addition to my work I flipped houses and condos over the past twenty plus years. Not touching social security yet either. Retired debt free. He gives people no hope for ever owning a home and I disagree. He gives people no hope about anything. Congratulations on your success and retirement. Respect.
When corporations buy single family units, prices go through the roof!
BLACKSTONE IS SELLING NUMEROUS HOMES/DEVELOPMENTS AT SERIOUS LOSSES IN FLORIDA!!!!!
A solution: the federal government institutes a 2 percent property tax and a 2 percent homestead exemption. the situation with all these empty houses sitting around with prices that are too high will change.
Let me know when they buy them then....
And when buildong codes restrict our ability to build more houses because some boomer doesn't want working class people living near them.
Its not like that. Invitation homes, whom I was about to sue until they actually paid what they owed, actually manage more than buy I believe. Managing removes all risk from the corp and their large dominance insures a monopolistic hegemony. They influence prices greatly by both managing and buying. Its really mom and pop corps that are strangling the markets.
One of the reasons that price of the houses are high is because of investors are buying single family homes as if Stock Market is not enough for their greed , there should be a law to prevent investors from purchasing homes so that owner occupiers must have the priority to own it .
Owner occupiers do have priority, in many cases.
Houses are being built in our neighborhood for renting. Right next door to my 25 year old House a new one is going up and it wont be for sale, its just a rental. I also happen to live in an HOA and they allow for it.
I actually think it's the greatest generation and baby boomers dying off and their children are squandering all that wealth they just inherited. They act like lotto winners. It's like poor old dad just left me 500k, Instead of buying that 300k home lets buy a 400k home and 100k truck. It's the easy come easy go attitude.
@@MultiAnne36 25 years old (1999) isnt an old neighborhood in many areas where this matters. You moved into an undeveloped tract neighborhood with an HOA, one that didn't fill or establish, so expect newer trends such as rental homes. Be glad you're still growing.
These prices are delusional. The only thing that makes sense to me here is that the owners are using "unrented" status as a either a tax loss write off or as a mechanism for money laundering.
If a house is taxed at the purchase price +2% per year the tax bill isn't that much. Outside of FL and CA insurance is cheap by shopping around. If there is no note on the home, and the price inflated 25% in the past 3 years you have alot of tax bills and lots of insurance payments that can be put in to support a 25k gain on each 100k of property. A lot of owners are holding out for 10% more return that might happen this decade or may not. The problem with these videos is the prices are insane, the tax bills are insane, the monthly HOA costs are insane, before even talking insurance.
Nah, Miami is an international market. 23% of the sales volume in Miami are foreign buyers. The average for the USA is 2% of sales volume being foreign buyers. Consider you were a very wealthy business owner in Latin America (specifically Venezuela or Argentina). You don't want to keep your wealth in those currencies, you want to put your wealth somewhere safe where it will be protected from inflation and from Latin Ameircan governments... what do you do to protect yourself? MIAMI REAL ESTATE
You take your money in Argentina out and buy a $7 million chunk of newly built real estate in Miami. For a normal working class American, it doesn't make any sense to buy a super expensive piece of real estate in Miami, but for anyone with a concentration of wealth in Latin America... expensive Miami real estate is their best option to protect their money.
@@tropicaljays Ah, this is why the US should pass a law that some countries have figured out to protect their citizens: you should have to be a permanent resident of the United States to buy property in the United States.
@@7thlady if they did that, there would have been no boom like this. It is immigrants who are buying at higher prices. They are bringing down payments from their countries by selling some assets there. 2% interest rate made 1 million loan for 150000 income possible. at 6%, they would have 500000 house only. I hope they all locked the rates for 30 years. Else, many homes will be coming into market as we reach 2025.
I'll tell you why it's scary to be a renter: Even in states with decent renter protections like CA, no matter how long you've lived in a home and integrated into your community etc, your landlord can tell you that you have 2 months to get out, and they can do that even when there is a housing crisis and rental rates are sky high. Maybe you'll get thrown out into a market where rents are 1.5-2x what you pay now -- that happened in the past couple of years. I've seen that happen to numerous older people when we used to live in San Diego, and they ended up having to move hundreds of miles and inland, away from everything they ever knew. Have a good landlord? Hope they never pass away, experience life changes, need to move away and sell, etc. Hope the market doesn't go up too much and they want to cash out. You never know. None of it is in your control, and that's the game you play. It's easier to play until you have a family. Also, when you get old if you own your home at least you have an asset you can sell and become a renter with something in the bank if you really need to. If you get old and you're a renter you might have much less cushion, vs. someone with similar liquidity/income.
Exactly this. I was a CA renter for 18 years. I finally put together enough money for a down payment on a home and bought one this month. My mortgage is almost double what I’m paying now for rent, but to me it’s worth the extra cost because I can retire in this home with peace of mind, and not depend on a volatile landlord.
Exactly, and if the mortgage is a bit too high, rent out a room.
Replace "landlord" with "bank"
Risk. Most understand it. Except TH-cam calculators ...
Well...yes, but if you plan to stick with ownership, you can eventually pay off the bank. At least you could until a few years ago, now, yes, you may be right. Just be ready to jump in if rates ever get down to around 4% or less again. When I came to America in 1981, we bought a house at about 15% and lost it within a year - just couldn't afford it. But things changed and in 2000 we got our house for 3.5% and paid it off 20 years later. These things tend to be cyclical - don't give up.@@NeveauRock
Houses are money pits. Always something hot water heater, HVAC, and a new roof will cost thousands.
Now in Florida the taxes and insurance are crazy. Even if no mortgage the monthly taxes and insurance are insane. Yes it’s nice to own your own home but Florida is insane.
You must be buying big crappy homes and didn't plan for home ownership.
If I had to change my HVAC,water heater,and roof tomorrow it would cost around $40k. I have the cash.
My $260k condo in Oklahoma is paid off and I have over 4 million net worth.
Just paid my $1650/yr. property tax.
Savings,investments,401k,IRAs,annuity,etc..
Have around $600k cash currently earning between 2.6% and 5.2% in HYSA,credit union savings,and laddered CDs.
Also a $250k emergency fund that's grows and never been used.
No issues.
Also a condo in Florida with no issues at all. Too new to have any.
My parents bought a house in 1997 for $300k and now it’s worth $3 million. What a money pit 😂. I bought a house in 2014 for $400, now it’s worth $1.1m. What a money pit. Upgrading the furnace and water heater for $8k total was such a waste 😂😂😂😂😂
My heater just broke today… yeah it’s not cheap
@@itshadouken"Worth" means higher taxes. "Worth" means what someone is willing to buy it for. Your home's "worth" is determined by corrupt property tax and insurance systems so they can extract as much money as possible from you. So, while you get robbed, do you always do the happy dance while you're getting screwed while they laugh at you?
@@itshadoukensell it and buy another one with the money. See...your newfound wealth was just an illusion. You are basically even minus home upkeep expenses and taxes.😂😂😂😂😂
I bought my first house at age 21. Forty years later, I haven't regretted it for one second. I paid rent for one month. Even at a young age, rent felt like flushing money down the toilet.
I agree. The prices always go up eventually. Look at the Great Recession from 2008. Would you be better renting or buying even if you bought in 2007? Rent gets you nothing.
You didn't buy in 08 😂 it's good you didn't regret it.
@charlesjones5900 you'd be underwater and homeless 😅
what year and by urself? carry and debt ratios need u making 150k
Key phrase: : " 40 years later". Get a clue. Listen to what he is saying.
Someone paid $6.2M for a banana taped to a wall. Still way too much money in people’s pockets.
Peak insanity. We are very close.
i heard they get a weekly banana shipped to them
More money than brains
I heard that wasn't a banana under the yellow skin ?
Not everyone is in that particular banana boat
If you buy a small house (not in Florida), everything is cheaper. My house is 950 sq ft. It works for me.
I worry for folks in the south. I think that whole area becomes uninhabitable in no more than 10 years due to multiple cat 3 or bigger hurricanes coming through every year.
My first mortgage when I was 21, under the Carter administration, was 21.75%. 30 year mortgage. I put a $100 downpayment. I rented out half of the single family house to a single guy. I paid my payment every month plus the same amount towards the principal, plus each tax return and bonus went to the principal. I paid it off in 7 years. 😢
Holy shit, imagine paying a mortgage with the interest rate of a credit card 😳
Holy shit, imagine paying a mortgage with the interest rate of a credit card 😳
Mine 1918 house at 21 $38K paid off in 5 years in 1982..Very Hard time as a carpenter BUT did it.Take care TRAVEL..😁😁😁😁
The American Dream of homeownership has become The Nightmare on Elm Street. Owning a Home or condo is an Endless Liability.
While Homeowners insurance, real estate taxes, water bills, sewerage bills, maintenance and upkeep costs, trash bills go up each and every year there are No Guarantees and nothing in place to prevent property values from dropping like a rock.
The nightmare you describe is the way its always been, so take your pick, pay your own mortgage or rent and pay your landlord’s mortgage.
We sold our house two years ago. FREEDOM! That money can be used elsewhere.
I don't know about that. Now you are paying someone rent that will be going up every year. I would rather be a home owner.
@@valsomeone2180the best choice is to buy pay off and own a home outweighs high rent by far, money in the bank not the landlord....
@@valsomeone2180 Invest all your money in dividend stocks and you will mostly keep up with rent increases. Obviously, it depends how much you have. In US, I would say you need at least $2M to be on the safe side.
@@Scion2112 but is less than 20,000 stupid dollars every year or more for rent, don't you get it??
We paid our house off last year. We now only pay $300 per month for taxes and insurance. Yes, it will increase year by year, but so will eveeyones rent. I like my margin between my cost and what rent would be.
Actually, no body ever "owns" a home. At 80, I know I can't take it with me. House is "paid off". But soon I give it away. My end is near. I'm happy, as I know it all goes "poof" soon.
No doubt 😊
Respect. See you on the other side!
God bless ✝🕊
Just got a notice of non renewal for my home insurance. Nationwide is saying my agent no longer has a contract. Already found some insurance companies cheaper than what I was paying.
Back in 1998 I bought 9 acres in the back of San Diego for 80k. I went to Home Depot every week buying what I needed to build my home once I had the slab poured. I built a 2850 sf home for about 60k in materials. I sold the place in 2006 for 950k.
Good for you! Excellent skills to have. I knew a guy who built his own home and only had a few little pieces of wood leftover. Great planning.
I can't imagine what it's worth today....millions im sure
No house in the 4th world California can cost over $100k.
yeah i remember here in LA county in the valley suburbs in 1998 u could still buy a 3 bedroom house with a swimming pool for 160 k .
My grandparents built their house that way,then their brothers, who'd helped them build it, got the same help from them in building their own houses. Back in the 1920's FL.
Who the heck would pay $13,000 a month rent? Boy what a way to just take your dollars and just light a match to it and burn it. That’s ridiculous.🧐🧐😳🤷♀️
I rent my beach condo for $17,000 per month with a 3 month minimum. That pays for all the HOA fees.
If it’s a 5 bed 4 bath house in miami thats a really good deal. Split with roommates.
@@JoeyJumper42069 rent out each room for 1200
People aren’t that bright these days
No matter how big your house is you always hang in the kitchen or family room and poop in the same washroom
I would prefer owning over renting. Renting you are under another person authority. I have seen too many people get kicked out because the owner wants to us the property for something else.
The sad part is with my border collie etc I would have trouble finding a rental. Fortunately own 3 properties.
@williamrogers4917 -- I would be afraid to rent from a homeowner for those very reasons. You never know when the homeowner will want to sell, move a relative in (and give you notice), or even default on his mortgage. Sure, the renter supposedly pays the homeowner's mortgage, but what it the homeowner DOESN'T USE that money to pay the mortgage? I'll stick with a rental community,
There are a multitude of problems with renting. One of them is if you have pets. I have a German Shepherd and 3 cats. If I do a search several hundred houses pop up, and then when I apply the pet filter only a handful show up.
Am I just broke? Why do people use the $million+ houses for examples?
It's easier to fit their agenda for the channel. More clicks. More ad revenue. 😉✌️
It smells like 2008 all over again. I’m sitting on the side lines with my bag ready to swoop in.
Me too ❤
Your bag loses more and more value every day you wait, remember that.
I've owned 2 homes as a single woman and honestly, it was a pain in the ass and SO much more expensive. Glad you pointed it out that you never really own anything. Either the bank or the city does. It's such a bummer.
Same here… having owned more than 2 😅. It’s a burden. I hate ball and chains and the never ending repairs and worrying.
Yes you own your house and you can change things inside it etc. Renters can't do that and can be asked to move out any year. You have so much more freedom when you own. You don't worry about your damage deposit. You learn how to do the easy repairs.
I have never rented but from what I hear, it is not that great.
Housing prices are too damn high!
And wages are not going up enough to match!
we dont have a homeless epidemic , we have a lack of affordable housing epidemic .
Too high by what measure? If you can't afford to buy anything, then they're simply outside of your budget. But there are also people who can buy, but in their mind it's unattainable. They hang on to that notion without even doing any research and missing out on opportunities.
The one evil in housing statistics is the median price of houses for a given market and they're usually misleading to individuals. They don't really mean anything to buyers and sellers unless those numbers happen to be in an individual's price range. I don't even know why they're published so prominently. Banks and government entities are the only ones who need to keep track of them. A typical example is my area. The median house price here is ~$300K depending on who you believe. BUT, the actual real price range is from
No they aren’t. If they were, prices would come down.
@@pojack9979 oh how i wish what u just wrote was true , but sadly its not , no sellers or landlords will lower their prices , they just find excuses as to why their high price is justified .
I don't have a mortgage and don't have to pay rent so it's cheaper for me to own a home verses renting... money in the bank.....
Property taxes?
@chrisweidner4768 still much cheaper than rent..
In my neighborhood, sellers lower the price if it doesn't sell. In Florida, they raise them? When we bought, our mortgage and escrow were $1,300/month. Rents were about $1,000/month We paid off the mortgage in 12 years so just payments for property taxes, utilities and condo fees. Rents are probably around $2,100 - $2,400 but I don't know of any renters here now.
Some of the pain of being a renter is the annual negotiation. You have to be prepared to find a new place and to move all of your stuff from one place to another. You have the stability of your kids and their friends or you and your neighbors. You can modify your property as an owner where you may not be able to as a renter - and you can't take your investment with you when you move.
That $8 million house wouldn't sell well in my area. There are very few ultramodern designs. It's more traditional New England homes. The exception is condos and apartments. Those modern designs do let in a lot more light and you have more rooms to view things from but it seems like you have less privacy.
I buy day-old bread at my grocery store and make my own sandwiches. If they buy my supermarket chain, then I am in trouble. Maybe. My wife would probably just bake it herself.
The hedge fund playbook is to buy a company, extract the value, load it up with debt, pay themselves fees, and then spin it off into a company that they goes bankrupt and leaves the bondholders with nothing. The latest example of this is the Steward Healthcare bankrupcty.
I have been a renter for 13 years. There is a new roof, new exterior paint, new water heater, new stove, new refrigerator, new furnace, new washer/dryer. I did not have to pay for any of it. I don’t pay property taxes. I am a senior citizen now. No reason to own a home. Landlord helps me out because I take good care of his place and he does not want 3 families living here trashing his home. Go setup for all involved.
Michael! I’m millennial who is looking for a first home but decided to rent because of your videos. Luckily I was able to find an apartment to rent for $1350! That was a steal! Im from california btw! The rest of my income are going to the stock market.
California Apartment Dweller. I also found a good deal 7 years ago and have not experienced any rent increase during a time span that rents have gone up 30%. I just stay put and save/invest the rest of my money. The cost of buying a home is well into scam territory. Looking forward to the melt down where the bag holders that created this mess get their asses handed to them.
Holy I am in CA. Good job on finding something in $1350🎉
Smart
Track what your property taxes would have been if you bought versus when you do.
OUTSTANDING!🎉
10 years ago I got divorced. I negotiated to take 100 % of all my pensions and she would take the home, equity, and take over the mortgage . I moved to a rent controlled apartment. After 10 years, I am much better off financially and am 3 years from collecting 100 % of all my pensions. Expenses, such as insurance, taxes, utilities, and repair expenses took a huge toll on her budget.
My spouse and I have owned our home for over 20 years
We do not have home insurance
Our taxes are super low
And all repairs are done by us
We have saved over two hundred thousand dollars,
By owning our 2 bedroom townhome
Our last electric bill was 104.67 cents
Why no insurance? Any weather event, fire etc could wipe you out.
I buy insurance but I minimize and increase the deductible to the max. I do all my own repairs, I fixed my dishwasher, stove, all the plumbing, change toilets and do all the electrical and add new circuits in my house when I want. I fixed my washing machine that had a blown rubber coupler and my dryer had an open element and I just tied it. I changed my gas hot water tank for $200. I fix everything on all my cars and even changed the head gasket on one. I fixed my furnace that had a blown relay on a circuit board and I fixed the computer in my car by flashing the memory chip in the power control module. I bought the electronics to do the flashing from China and got extra computers from the scrap yard to flash. Now youtube shows you how to fix everything. I just fixed a Roland Piano that had some caps that were bad. I refinished my deck last summer and put up an aluminum railing with tinted glass. I built an attached garage ,4 cars, to my house with a room above the garage with a bathroom and kitchenette and all wood came from Home Depot Canada. I picked all the straightest boards instead of having a pallet delivered with crappy wood and then I laid down my stone driveway and cut all the stones myself. About 800 sq feet. I designed everything myself using computer programs to get the best looking facade for the house. I did all the tile work in my house, floors bathrooms, showers , jacuzzi room. This year I plan on putting up some solar panels but make them removable and not connect them to the grid. Put in automatic transfer switches so that when the sun goes down and the battery is depleted , the components in my house will switch seamlessly to the grid. I am only going to power the most energy hungry items, like the fridges and freezers and computers and TV's. They use 90% of the power. Just the A/C in the summer won't be on solar.
I literally have zero repair bills and I also fix all my kids stuff and cars because I am retired now. So I change all the oil in all the cars. Changing the oil is so easy and it costs $35 for synthetic with the filter. You pay $80 at Canadian Tire. I repaired my daughters car, brakes, tie rods and other stuff for $500 and Canadian Tire wanted $2500. So I saved $2000.
@@madelineveggie3931
We do not live in fear
Insurance is too expensive
And the deductible for a named storm is way to much
I checked last year
Our home is 45 years old
6 blocks to the ocean in South Carolina
There are a lot of homes and mobile homes over 50 years old just blocks from the ocean
Yes anything can happen
But we decided years ago to not pay the corrupt insurance companies
Michael What about quality of life? I dont want to work all day and come home to an apartment complex and have to take my kids to the park to enjoy a yard. Never mind living like a sardine and worried about my security. Ill take homeownership and the costs. I cant write off apartment payments but I can mortgage interest.
Im a homeowner. I fix everything myself. In the end, homeowner is better than renter. BUT, theres a big but, this no longer hold true in today's market. If you buy today your cost on housing is much more than renting. What im trying to day is the gravy train is over. If you bought 20+ yrs ago, you are golden. My mortgage cost less than a one bedroom apt. If i buy today for the same house, my mortgage would tripled..
You’re lucky you could do the work yourself. I now have to get five quotes on any project because the ripping off is amazing. Some contractors are literally overcharging by 100% because they don’t want to do the work and they want you to go away, but at the same time they want to see if you’re stupid enough to pay them that money. Since Covid, contractor work is like $150 an hour with a minimum required two hours.
@latsnojokelee6434 There's honest contractors out there who don't always take advantage of HOs. You just gotta find them. I'm extremely grateful (not bragging), that I'm very handy. From automotive, plumbing, AC, electrical, flooring, drywall, to remodeling, I do it all. I haven't hired a contractor or paid a shop to fix my home and my car since God knows when. Except for costco when I need new tires. 😆
Hey Micheal welcome back to Miami men. Nothing has change same horrible traffic and people are still horrible drivers. You really didn't miss much
Those new houses don't look like homes; they look like containers; cleverly placed so the owner can enjoy view of others' home while living in a box.
Just 10 years ago where I live - if you were paying 1200 in rent for a place, you knew the mortgage on it was probably 800.
Now people are buying homes that rent for 1500 tops - and their mortgage is 1900. lol
In so cal...rent is 4k, mortgage 8k
@@ColetteSpencer-k5o And let me guess... you're not allowed to pay cash, so you have to pay a transaction fee, to which they get kick backs on?
Isn't it awesome!
It's basically a 2nd sales tax that goes to bankers - when only the government is allowed to tax.
Renting is an issue because rent goes up every year or two, whereas income does not for everyone. In my area a one bedroom apartment is 1700$/month or more. In 5 years it will be over 2k$. This is why a mortgage is a good idea if you can get it cheap. USDA loans offer 4.375% interest
property taxes rise and rent goes up accordingly.
They don't rise equally across the board and some cities grandfather your property tax at point of purchase.@@anniee6798
They don’t go up equally across the country. Some places grandfather your property tax rate at time of purchase. You can also always rent out a room.
I'm in Michigan, and the housing market here over the past 7-8 years has been unprecedented. Houses that were purchased for $130K in 2015 are now going for $590K. These are tiny, poorly constructed 950-square-foot homes in quiet, mediocre neighborhoods. Meanwhile, nicer, average-sized homes in better neighborhoods that were over $300K a decade ago are now selling for $750K+. It's wild.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advice but get buying, cash isn’t king at all in this time!
I've been in touch with a financial advisor ever since I started my business. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders.
bravo! I appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor, mind sharing info of this person guiding you please?
The decision on when to pick an Adviser is a very personal one. I take guidance from ‘’Stacy Lynn Staples’’ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
I copied her whole name and pasted it into my browser; her website appeared immediately, and her qualifications are excellent; thank you for sharing.
Who are these folks who can afford these houses? Are they in the cartel? Who do they work for? Can you make it make sense?
A bad thing about having a top rising while everyone else is sinking - is that people who rent out for their income have a ceiling on what the working class in their area can afford, while there seems to be no ceiling on home costs.
Absolutely ridiculous. Always appreciate your common sense approach, Michael. Very validating. What a mess we have gotten ourselves into. What remains to be seen, is how the heck we will get out of this mess.
Absolutely would not buy a house. I’d rather house hack a 4 unit multi family and then work my way up to 400 doors and beyond.
Grant was absolutely correct.
Love your channel Bro
I could watch your vids for hours!
I disagree. You won't see a dime of that rent ever again should you move. If owned you'll get most of it back when you sell.
Depends on individual.
Some are fine with renting.
Many have savings and investments growing from many years ago. Already gotten their money back thousands of times still reinvesting,compounding,etc. working for them and paying their rent with ease.
And this is without including pensions,SS,annuities,401k,etc..
This has also been a great home price and market run since 2009 and a lot of renters I know are debt free millionaires living off dividends and interest.
You are assume the value of your property will just keep increasing and there will be an economy in your community that provides livable wages to a big population of potential home buyers. Look at the Midwest.... Detroit, for example. It doesn't always work out as you described.
@@NeveauRock THIS, its like 2006 on repeat again lmfao FOMO and then BOOM
@NeveauRock incorrect my assumption was its value stayed the same, I would have said the owner would have profited on a sale had I made that assumption.
I asolutely salute grant walking while talking and wihtout heavy breath... ....
If we can get the mass deportations going I could see inventory rising much quicker than anticipated.
wow, pretty low blow.
Most undocumented immigrants don’t own houses, they rent apartments.
Wait till landlords raise the apartment rents on whoever is left when half the tenants are forced to leave.
😮
Most illegal immigrants aren’t living in these million dollar homes you’re hoping will be available. They’re living in homes most wouldn’t even consider renting and working jobs (paying taxes they will never have access to) that very few Americans are clammering to take. I think it’s going to be a big disappointment for those expecting deportations to have a positive effect on the economy or housing crisis.
@@lorihamlin3604Grocery store produce prices will RISE with deportations.
We have a lot of recent immigrants in our town and where they live is really sad. Disreputable people chop up their homes into rabbit warrens- Turning one bedroom into three tiny bedrooms- And then rent out each tiny little space to different people. Nothing is up to code, makeshift showers appear in the basement. It’s really awful. And if you do want to buy one of these homes, now you have All sorts of code violations to deal with.
Owning a house is not all that bad as long as you are confortable paying. Long term you are better of owning if you pay it of in 15 years or less. After that no metter the taxes, insurance, and repairs you are paying less than renting. Right now my house hass been paid for 4 years in GA. Since I dont have a mortgage I pay roughly $800 including the saving for any repairs for a 4 bedroom 3 bath house. I have also finished the basement with two bedrooms which I rent for $1500 a month. So pretty much I live for free. I continue to repeat this process to help myself in retirement.
If someone cannot afford more than 20% down for a mortgage, then renting might be the best option. However, there are few cases where buying a home for cash does not beat renting.
property taxes up BIG - the local govs are flush and they will never reduce the taxes - the real estate/public education industrial complex is bad for the country
Oh, do I know the irritation of dealing with a landlord who changes their minds on rental rates, continuing renting, and short scheduling..
I sold my home one and a half years ago. It was paid for, but the cost of maintaining it was a huge burden for me as a widow. I didn’t want to be one of those ladies whose house is falling down around her ears because she can’t maintain it. I am a happy camper renting a one bedroom apartment. Let someone else worry about repairs. Now I have money to travel and enjoy my life instead of freaking out every time a hailstorm hits.
I used to rent and now own my home. I can honestly say it is far cheaper to own a home, even with insurance and taxes than it is to rent. Rent constantly goes up and you have no control over it. I now have my home paid for and my insurance and taxes are less than 5,000 a year. Maintenance is minimal because I totally remodeled six years ago and replaced the roof, heat and air, and other expensive items over time. My equity has increased 50% since I purchased the home while including the remodel. I can retire knowing that unless things go really south, I will be able to afford my home until my death. Pick a place that isn't exorbitant to live yet still has a good quality of life.
Where do you live? 😂😂😂😂
Random issues to cover in a renter video: potential that building owner will not be able or willing to pay for upkeep and repairs; jump in rent and need to possibly uproot family from neighborhood and schools; access to private outdoor space; noise. For home owners: option to rent rooms in home to offset costs at a later point (e.g. aging owner); option to learn to do some repairs to offset costs; if district allows - creating a basement apartment for rental - this is done a lot in Canada as we have full basements.
I think we are down to 4-5 grocery conglomerates. Less competition more money that consumers will be spending.
I would absolutely watch the pros and cons of renting vs buying! I think that would be a very relevant video today.
I got mine post 2008 crash when prices were what I'd consider normal again to buy. If I was looking to buy now, I'd just wait it out. Same scenario gonna eventually play out again.
Ditto and I agree.
Same scenario won’t play out again.
I agree with you regarding stressing out for paying for these houses it’s ridiculous specially, in Miami. The HOA mafia is never ending and Orlando did a video today about a $21 million assessment on properties particularly apartment properties. Good job brother I know sometimes and critical but I enjoy your videos.
At least having a mortgage is like paying rent to own ,verses paying for a landlords house....his mortgage...with your rent money...
Very true. But it depends where you are in life. If you can't borrow because you have a part time job or are single, it is better to rent, and use the rest of your money to save or invest. Buying a house is so expensive now. I am looking into € 350.000 houses and with all expenses and taxes included it will be € 450.000. At least I have an inheritance...
Great point about the "carrying costs" of high end real estate. It is considerable and with home prices dropping the offsetting price appreciation isn't there anymore. It is now a lose/lose equation in some areas.
21:48 We all know they will not build new homes. It's all about limiting supply to keep prices sky high.
There is not a supply problem in most markets. The builders already overbuilt .... they are carrying a huge shadow inventory. Wait until people figure that out.
this guy is perpetuating what rich landowners want to hear, just keep on renting baby!!!
I own a small 1925 house with 2.5 acres free and clear… over the last few years they have been building mansions on “estate lots” (2acres) all around me and selling them for 500k to a million each! And these homes aren’t built half as well as my little 100 year old farmhouse! Yet people are buying them…smh
'Owning' doesn't pay off if you're just renting money from the bank for it. But if your CAPEX and maintenance is paid up and done, even December heating costs won't approach what you'd pay in rent.
a lot of people now pay more in monthly mortgage interest alone than rent would be. Then add in home owners insurance and property tax...
Yeah people laughed at me for years saying I was foolish paying my condo off 21 years early in 2008 talking about "good debt" and whatnot.
I think they understand now.
With no mortgage my total household living expenses (including property tax,insurance,HOA,food,etc.) is less than $1400/mo. which is pretty good for an upper middle class area on secure gated private property. Everyone around me are paying $1800 to over $4k a month just for mortgage alone.
I’ve been a renter and an owner. I agree with the host’s comments.
At 73, and in hindsight; renting or owning is as relative, plus or minus, as people and variables weigh in. If you like to do the improvement work, and can, and like stability of location...do it cos you build equity...worked for us repeatedly. And we raised youngins, which didn't mind relocating ....much.
The home owner juice ain't worth the squeeze anymore 😔
It’s the top of the bubble, stand by for cheap property.
House --> Rent --> Car --> Tent --> Cardboard Box.
You can always save money by decreasing your home convenience or security.
Look at how much renting an apartment costs versus a cardboard box...
You left out 'van'. Unlike 'car', that's a long-term option that a lot of people are forced to choose in retirement. Nightmare.
They have finally killed the demand for homeownership through overpricing probably by double. 👏
Or more in some places.
@ what a way to kill freedom.
Problem in the area that I live in is that both rent and owning a home is expensive.
It’s too expensive to own but rent is so expensive that it makes it almost impossible to save up for a significant down payment.
People that bought their house before 2020 have mortgages that cost half of what my rent was for a dump of a house. It’s ridiculous.
House prices need to drop by at least 50% in my area to make the median home price affordable for the person making the medium income here.
It's a lose/lose situation. You should move.
Well Miami you know there are better places to buy financially
Of course one reason insurance costs go up is that the limits go up due to inflation in repair costs. Now if prices go down the replacement costs do not.
I would not buy an old house. Too expensive, with a lot of problem.
There’s no way if someone has paid off their house…is going to be paying more in carrying costs than someone else paying rent….and think about that rent in ten years…it’s going to be so much more than right now 😮
Bugs don't taste that bad. We'll be fine. Solar, starlink, and a tent is all you need.
😂
Chuy’s - pronounced Chewy’s. To your point, I completely agree that the 10 biggest corporations should not own all the businesses and real estate.
No doubt a 50 basis point rate cut is in order, inflation is a killer for the middle and lower class. Monetary policy decisions should prioritize economic stability for the working class, not cater to wall street’s big boys and politics.
My concern is where we will begin to see the effect of these cuts, is housing going to follow suit? I missed out on my dream home during the pandemic, I am now all eyes and ears for a further decline in mortgage rates.
That will be in 2025, the mortgage market already anticipated this as early as May.
Further decline? This is the reason I had wanted to refinance in the 1st quarter according to our budget but my spouse likes the space and the pool. If I go ahead with the plan, I will have over 200k to put in a HYSA as I had initially intended, seeing stocks are very volatile these days and the bond market (10Y) is pricing in the effect of rate cuts by ticking upwards, is it a good time for an average joe to get into the financial markets?
Consider consulting a financial advisor to protect your retirement savings from inflation. I personally saw my portfolio grow from $750,000 to $1.2 million in 3 years, saving $23,000 in taxes and earning $45,000 in dividends, despite 2.5% annual inflation. A financial advisor can help you rebalance your portfolio, optimize retirement income, and develop a tax-efficient strategy to safeguard your future.
Who's your financial advisor? how do I get in touch ?
Actually Michael 20% down on a $2.4 Million Dollar Home is not "$250,000." It is more like $480,000 Down (20% of $2,400,000). So basically you would have to put Half a Million Dollars Down for this home at 20% to qualify for the $15,000 Month Mortgage. I'm assuming that does not include any HOA, Property Tax, Insurance, etc. You could easily be paying close to $20,000/month to buy that home. No Thank You.
One problem with purchasing now is a high-interest rate for 30 years. And, I don’t think a re-fi opportunity will appear for a long time.
If you refi, the mortgage reverts from a nonrecourse to a recourse loan. (Depending on state laws.)
A recourse loan is a very bad thing if the mortgage ever goes “underwater”. If you were evicted via foreclosure, you would still owe the bank the rest of your life. After they resold the house for less than you had owed, they could garnish your wages, take your wife’s jewelry, your savings etc. for the difference.
I agree with your take on why renters are so opposed to renting over owning. You're right; you don't really ever "own" your home. If you're a homeowner in a swanky neighborhood, you are going to pay through the nose in property taxes and insurance, and most likely a hefty HOA fee.
I'm very happy Michael is back walking in Florida. Much prettier than California.
Guess where he will be next summer.
@@Scorpio1060- Florianópolis - SC - Brazil?
You're wrong.
To each their own! I would take a conservative run California any day of the week over Florida... Have live and visited thoroughly in both... Florida is only good during November - February and though nice weather for only those 4 months, still doesn't have mountains, deserts, oceans, Redwoods, etc and that perfect coastal climate year round...
You do not want to still be paying rent or a mortgage when you reach retirement age. You want to own outright a smaller home that is in good condition and near all the services a retiree will need.
And you never want to be paying too large a portion of your income on housing no matter your age. If housing prices are too high where you live, move to a different part of the country where costs are lower. If you have a portable job, relocate. If you have skills that are in high demand (nursing, teaching...) some states may even pay your relocation costs if you move there.
My son and his wife rent a 2 bedroom condo in Plantation FL for $2600 a month. The same condo would cost him $4000 a month to purchase with $80k down payment, all the fees, and mortgage. He’s saving $16,800 a year renting
But he'll own nothing in 20 years. I don't agree with the podcaster in this video.
Wrong! 😂. How about you calculate how much equity he’s NOT building renting? He’s not saving anything just paying his landlords mortgage and building the landlords’ equity.
People are often surprised that owning a house isn’t necessarily as profitable as they think. When I sold my townhome and I calculated my equity, but I also calculated how much money I spent in repairs over nine years, there wasn’t a huge difference between the two. It’s conceivable that had I just put that money into the stock market. I would’ve done almost as well, but with no hassles like waiting for contractors to show up.
@ So over the duration of a 30 year mortgage and saving $16,800 a year that comes to $504,000.00 savings. If he puts that into an average S&P account that averages 8% interest he will have over 1.7 million in the account even if the rent goes up 5% every year!
Oh wow, I was trying to remember who out of my TH-cam Creators was offering the Delete Me? Thank you!! 🌺
Do you see they want renters for control
This person gets it!
Do it Mike and yes most of us will watch it
Mike, being a renter you will have “no” sovereignty. Owning a home you maintain “some semblance” of sovereignty. As a renter, one will always be subject to fluctuations with no control whatsoever.
My mortgage payment will never change because I refuse to escrow. I’ll take my chances with the property taxes and the homeowner’s insurance directly without the mortgage company’s grubby little hands in the mix.
Ohio now has a law that one must escrow taxes, etc.
@ That is something to fear. I’ve thought of that. Vote out the control freaks that would allow such a thing or vote for those that would be willing to pass a law against compulsory escrow.
The problem is those apartments they are building used to be 750 now are 1400 to 2000 a month now
The World Economic Forum- "You will own nothing and you will be happy"
Canada is currently trying to do a grab on people's homes. It's frightening. U S really got a break on this next four years, but it gives me pause in purchasing a home, if future leaders, do what Canada's doing, right now.
The prices must be come down lowering the interest rates will only encourage increasing house prices. The agents and mortgage brokers are in the business of selling debt. Higher debt is not the way to go
WE SHOULD NOT HAVE TO PAY PROPERTY TAXES... THEIR PHUCKERY AT IT'S FINEST 😮😮😮