They got a house at list price... Is this something to celebrate in the USA? doesn't that mean they just paid (with a loan presumably) the price the seller was asking?
This sub is so strange. There are endless people congratulating themselves on taking on a massive financial burden. Its really quite bizarre.
"its over"
... just a gigantic mortgage left to pay off.
A $675,000 loan at 6.8% interest will have a monthly payment of approximately $4,000. The total interest paid over the life of the loan would be around $370,000
oof
don't forget about inflation
wouldnt it be as high as 900k?
The interest rate is high AF, but is that really 4k? I thought it would be less. Anyways, pay off more
Is this something to celebrate in the USA?
Yes. Private equity firms like blackrock come in and make cash offers over listing price and then rent the houses. most of your average buyers are priced out of the market.
it means there was not a bidding war (so they should have probably counter-offered at a lower price) anyway expecting intelligence on plebbit is a fool's errand.
Christ I just ran some calc tool, that's intense. Didn't realise it spiraled up that quick
Is it weird I'm ok renting just for convenience?
The area I grew up in was a shithole, I moved. Now this place is seeing a massive uptick in visible "diversity" since 2020, like they are going into overdrive with it.
I actually feel glad I don't have a house that woud tie me down and I'm looking to move elsewhere, I know home owners and while you can remortgage and sell your home, it appears stressful and convuluted even if you sell, and a bunch of people it seems, cant find buyers.
I can't justify buying a house becuase of the rate at which the government ruins the community is insane. I wouldn't want to see 40 years when this is only 5.
I notice almost none of these posts say the term of their loan or the deposit they made...
Are these people buying homes with 0% down on 30 year terms? is that a thing in the USA?
is there usually a fixed or floating mortgage rate?
you're not alone, I'm renting for the foreseeable future and saving.
I dont get the argument that "owning" a home means you get the money. These people clearly aren't they are paying more in interest to the bank than I pay renting.
Why would those firms not just offer the list price and then go up from there? you mean they just muscle people out of auctions?
you keep the money that would otherwise be rent money* is what i mean
I don't know how mortgages work in the UK. There is some sales tax here, but e.g. in the Netherlands if you sell with profit you just have to invest it into a new home in 3 years. It's often cheaper to buy and sell. With raising property prises renting is typically a loss.
Moreso pensions have been thinning on a yearly basis, I want to own my property when I retire to not have high monthly bills due to rent. Some pensioners right now have nothing left after their rent money if they had mediocre jobs, and it will only get worse.
Renting makes sense for a year or 2 to see if the area is fine to live in or when looking for a place to live I guess.
Depends on your rent price too, in some capital cities it's absolutely terrible.
Are these people buying homes with 0% down on 30 year terms? is that a thing in the USA?
yeah. it usually has higher interest rates or there are credits for first time buyers
im moving to an area people arent flocking to
every home i love is under 200k
i'll be a home owner next year
i will use it primarily to raise cats, have a garden and post on Anon Babble
I think US needs down payments no? Not sure how much, also not sure if you can borrow that as an extra higher interest loan, some people do that here, or did.
But probably 30 years yeah.
loool
In this context, yes. But renting is often more expensive in my experience.
It depends on what you own, you could mortgage something smaller, but it's good to look at the finances. My monthly payment is less than 50% interest and we are still in the first years, I will have paid of the loan in half the original time at this pacing, but I will up the amortization even more soon.
But my loan is at a lower rate and less than half the price of OPs post.
So I still save money as well.
I’m an appraiser
basically buying a house in the US these days is a nightmare of inane bullshit - you tour a bunch of them and then pick one you like and make an offer - before all this you want to be pre-approved with a lender with a 20% down payment for conventional
if the seller likes your offer then they can either execute the contract or counter it with different terms
then you get an appraisal, and if that works out then you spend another fucking $10k just to close the sale.
It’s a laughably arduous and expensive process
the amount of properties blackrock is buying is insignificant
he doesn't know what he's talking about
the rate at which the government ruins the community is insane
Unfortunately that’s also why you should buy: endless immigration forcing up prices. I bought my first house in 2002 for $169k with $9k deposit. I’ve since upgraded multiple times to my current house which is worth $2m, is paid off and not once during all those upgrades have I had to dig into savings, it’s all just rolling the initial $9k deposit. I’ve paid a shit tonne in stamp duty tax each move but mortgage has been modest as I just kept rolling ever increasing equity.
Not too dissimilar to here desu, except that last part with another 10k on top. Seller pays for most things, but it isn't much. You do pay over the profits you made when selling as well, which sucks.
bought house in 2002
ok boomer
6.8%
Holy shit, that’s immoral
can’t borrow a down payment in the US anymore (we called them 80/20 loans or piggyback loans) - now you need what are called “seasoned funds” for your down payment. It has to be money that you personally put away and only a certain amount of it can be a gift from family.
they just muscle people out of auctions
this is exactly what they do. with rent as high as it is it's very lucrative.
So here you have to pay 22% profit tax on sales, so it's hard to go up that way, not impossible though.
But if you are a starter now you are going to struggle having a low loan.
Lmao, can someone explain to me why does anyone pay these prices? Because le renting/living with parents is heckin bad so now you have to cough up 2x rent for 3-4 decades? Line go up?
Yeah so here it is possible, but it has a very big impact on your mortgage as well, we also have limitations on gifts etc. In most of europe
lul, we've got 0 sales tax if a property was owned for 5 years
what a beautiful life in a totalitarian nightmare
checked
I’ve never seen any of what they’re describing. I denounce the talmud and all, but here in Denver it’s primarily AirBnB fags running 12 houses on short term rentals all with interdependent private financing terms.
Are you comparing rent of a house to a tiny apartment? These houses are in relatively pricy locations.
Also keep in mind that the dollar value has plummeted, I wouldn't be surprised if two salaries for uneducated jobs could pay this mortgage. Given someone have a OK job in the US a single salary could easily handle this.
Rent might be just as bad for a similar home.
Also it's skewed due to the mentioned 20% downpayment, the practical monthly cost could be lower.
I’m 40. I was able to buy a house at 18 while managing a gas station and studying full time. I was literally the very last window of living the boomer dream before they got power and fucked the west.
Primary residence doesn’t get capital gains tax here. I also accept the entry price has changed where my story isn’t possible, I’m just laying out the argument for ownership giving the cards on the table.
article is from 2021, dumbass
Its real estate fomo - the sub
Bunch of retards buying the top, no question they will post in the suicide watch sub in a few years max, they will have to sell the house and still owe hundreds of thousands lol
only gotten worse, faggot
Yeah so long island has a 16.50 minimum wage, a monthly 40hr income is like 2.7k. which is not much, but it is the minimum.
except it hasn't
Mystery meat ham planet
Hands stand with curry and the last week of wiping
Those are not people they are subhumans, any house in America is a vast improvement from whatever shack or abandoned ruin they came from
newsilver.com
thesling.org
In the first quarter of 2024, investors, including hedge funds and private equity groups, purchased about 19% of all homes sold in the U.S., according to Redfin. This represented a significant jump compared to previous years, with some reports suggesting investor-owned homes peaked at nearly 30% at the start of the year. Redfin's data further indicates that lower-priced homes were even more likely to be purchased by investors, with 26.1% being acquired by them.
sure thing, you stupid kike faggot. fucking mossad shill.
That's pre tax. You do realize that you spend an additional 20% on average for repairs, fees etc. per year for the house? That's insane money. In USA HoAs charge fees that are equal to rent alone lol. You would need a 6 figure income to be at 0 every single month (in this economy). How many people can afford this and what happens if you accidentally lose your job in this economy where the average person looks 10 months for a job? It's literal insanity and you know it. If the mortgage costs more than 1/3 of your income you can't afford it, it's a simple rule.
people also often forget you have to pay a commission to the useless fags who list your house for you, despite the technology doing all of the work for them. I think it's 5% and I think they're called realtors
faggot, you have no way of knowing how random people in town financed their properties, bitch, now shut the fuck up you fuckin retard. it was blackrock you dumb fuck.
they will have to sell the house and still owe hundreds of thousands lol
lmao imagine how many of them have student debt, too
Is this something to celebrate
In a hot “seller’s market” yeah. Bidding wars can happen. The seller will try to line up more than one buyer and pit them against eachother if supply is low.
it's 5%
Rest of the world it’s about 2%.