Owner or Renter

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S

sportchampps

Senior Member

7,361 posts
Jul 25, 2014 2:41 PM
Just bought our house In Feb so I'll be paying that off for awhile.
Jul 25, 2014 2:41pm
H

HelloAgain

Banned

537 posts
Jul 25, 2014 7:26 PM
Fab4Runner;1638750 wrote:My boyfriend owns his house. I live there.
Whore
Jul 25, 2014 7:26pm
Commander of Awesome's avatar

Commander of Awesome

Senior Pwner

23,151 posts
Jul 25, 2014 7:36 PM
Rent, owning for suckers.

Can move when and if I want to, something breaks I call the landlord, dont pay property tax. Soon as the government stops giving tax right offs for owning a home, which they should immediately, there will be 0 incentive to own a home IMO.

And before you start giving me all the BS about it being cheaper and building equity, that's a farse. By the time you pay property tax, fixing your washer/dryer, etc... you've lost money compared to me.
Jul 25, 2014 7:36pm
GoChiefs's avatar

GoChiefs

Resident Maniac

16,754 posts
Jul 25, 2014 8:36 PM
Owned for 8 years.

Renting since December.

Waiting on the wifes grandparents to pass and will become an owner again. Hopefully thats no time soon.
Jul 25, 2014 8:36pm
ernest_t_bass's avatar

ernest_t_bass

12th Son of the Lama

24,984 posts
Jul 25, 2014 9:39 PM
Commander of Awesome;1639059 wrote:Rent, owning for suckers.

Can move when and if I want to, something breaks I call the landlord, dont pay property tax. Soon as the government stops giving tax right offs for owning a home, which they should immediately, there will be 0 incentive to own a home IMO.

And before you start giving me all the BS about it being cheaper and building equity, that's a farse. By the time you pay property tax, fixing your washer/dryer, etc... you've lost money compared to me.

Jul 25, 2014 9:39pm
BRF's avatar

BRF

Senior Member

8,748 posts
Jul 25, 2014 10:14 PM
Actually, I think COA has a good point.

I have been a home owner for 38 years.
Jul 25, 2014 10:14pm
ernest_t_bass's avatar

ernest_t_bass

12th Son of the Lama

24,984 posts
Jul 25, 2014 10:33 PM
BRF;1639094 wrote:Actually, I think COA has a good point.

I have been a home owner for 38 years.
He has an excellent point. High horse regardless. :)
Jul 25, 2014 10:33pm
ZWICK 4 PREZ's avatar

ZWICK 4 PREZ

Senior Member

7,733 posts
Jul 26, 2014 7:38 AM
ernest_t_bass;1638830 wrote:If I were to do it all over again, I'd look for a home to rent, as long as the price was reasonable. I'd save and save and save, buy land, and build exactly what I/we wanted. The perks of renting, and never having to pay for something if it breaks, plus having the ability to easily pack up and move away outweigh the perks of owning, IMO.
Nothing like pissing equity out the window great logic.
Jul 26, 2014 7:38am
ZWICK 4 PREZ's avatar

ZWICK 4 PREZ

Senior Member

7,733 posts
Jul 26, 2014 7:40 AM
Commander of Awesome;1639059 wrote:Rent, owning for suckers.

Can move when and if I want to, something breaks I call the landlord, dont pay property tax. Soon as the government stops giving tax right offs for owning a home, which they should immediately, there will be 0 incentive to own a home IMO.

And before you start giving me all the BS about it being cheaper and building equity, that's a farse. By the time you pay property tax, fixing your washer/dryer, etc... you've lost money compared to me.
You're paying property tax too. It's built into rent, dummy.
Jul 26, 2014 7:40am
GoChiefs's avatar

GoChiefs

Resident Maniac

16,754 posts
Jul 26, 2014 8:31 AM
ZWICK 4 PREZ;1639152 wrote:You're paying property tax too. It's built into rent, dummy.
I'm paying less than the actual mortgage payment of the house. So no, its not always built into the rent.
Jul 26, 2014 8:31am
S

Sonofanump

Jul 26, 2014 8:46 AM
Commander of Awesome;1639059 wrote:Rent, owning for suckers.

Can move when and if I want to, something breaks I call the landlord, dont pay property tax. Soon as the government stops giving tax right offs for owning a home, which they should immediately, there will be 0 incentive to own a home IMO.

And before you start giving me all the BS about it being cheaper and building equity, that's a farse. By the time you pay property tax, fixing your washer/dryer, etc... you've lost money compared to me.
What do I do with the extra disposable income in 12 years when my house is paid off?
Jul 26, 2014 8:46am
ZWICK 4 PREZ's avatar

ZWICK 4 PREZ

Senior Member

7,733 posts
Jul 26, 2014 8:57 AM
GoChiefs;1639156 wrote:I'm paying less than the actual mortgage payment of the house. So no, its not always built into the rent.
How do you know what the actual mortgage payment is. I'm sure someone isn't paying part of your rent just bc they like you.
Jul 26, 2014 8:57am
Ironman92's avatar

Ironman92

Administrator

49,363 posts
Jul 26, 2014 9:20 AM
Wondering what some of the renters are paying per month...
Jul 26, 2014 9:20am
GoChiefs's avatar

GoChiefs

Resident Maniac

16,754 posts
Jul 26, 2014 10:48 AM
ZWICK 4 PREZ;1639161 wrote:How do you know what the actual mortgage payment is. I'm sure someone isn't paying part of your rent just bc they like you.
Because it's my mother in law's best friend that owns the house. MIL knew what the mortgage payment was before we even considered moving in.
Jul 26, 2014 10:48am
GoChiefs's avatar

GoChiefs

Resident Maniac

16,754 posts
Jul 26, 2014 10:53 AM
Ironman92;1639165 wrote:Wondering what some of the renters are paying per month...
$600 a month.

3/4 acre. Ranch home with 2 car garage and finished basement. 3 bedroom, kitchen, living room all fresh paint, complete new remodeled bathroom. Basement has laundry room, storage room, huge rec room, 4th bedroom, and 2nd bathroom. Fenced in backyard with storage shed. Great neighborhood.

We lucked in to this place though.
Jul 26, 2014 10:53am
Heretic's avatar

Heretic

Son of the Sun

18,820 posts
Jul 26, 2014 11:09 AM
Ironman92;1639165 wrote:Wondering what some of the renters are paying per month...
$450/month for a two-bedroom house. A bit in the country (maybe a half-mile outside a smallish town). Sort of a guesthouse kind of place on the landlord's property. They're hands-off (a positive, because when I'm home, I like my privacy) and the place is far enough away from their house (or those of the neighbors) that I can blast my music however loud I want without disturbing them.
Jul 26, 2014 11:09am
Ironman92's avatar

Ironman92

Administrator

49,363 posts
Jul 26, 2014 11:25 AM
Just here in nothing Jackson most decent rentals are $600-$700 and they aren't anything great. My grandma has a good rental for only $350 and another one not as nice but a house at $325. My nothing fancy brick ranch with 4 bdr and 2 bth with garage is $660 a month and that include taxes and insurance as we have it I escrow

What you two listed sounds good. My mom renting for $800 month in Columbus when she doesn't ever go out and enjoy the city is ridiculous
Jul 26, 2014 11:25am
ZWICK 4 PREZ's avatar

ZWICK 4 PREZ

Senior Member

7,733 posts
Jul 26, 2014 11:39 AM
GoChiefs;1639183 wrote:Because it's my mother in law's best friend that owns the house. MIL knew what the mortgage payment was before we even considered moving in.
Was your MIL paying the bill? I'm sure she was told what it is and I'm sure it was more than what she was paying.
Jul 26, 2014 11:39am
believer's avatar

believer

Senior Member

8,153 posts
Jul 26, 2014 11:50 AM
Owning and renting have advantages and disadvantages.

Advantages to owning: Tax breaks on mortgage interest, you can more or less do what you want with the property, and there's the illusion that you're not pissing away your money.

Disadvantages to owning: Property taxes which of course are more or less offset by the mortgage interest deduction, insurance, dealing with homeowners associations (if you foolishly chose to own a house in a sub-division that has that nice little feature), if something breaks YOU pay for it, if you live in an economically challenged area it's tough to sell if you lose or change jobs or simply want to move on, and last but not least there's maintenance/upkeep. Don't get me started on HOA's...just a bunch of neighbors poking their noses into your personal business and taxing you via HOA dues for the privilege of doing so.

I really don't fully grasp the notion that owning is almost always a good investment. Provided you survive a 30-year mortgage, you've basically paid rent to the lender with eye-popping interest which can easily total more than the value of the property itself. At the end of the mortgage you've spend countless dollars on upkeep and by the time you've paid off the house you start looking to sell it or pass it on to your kids in order to underwrite your retirement. Plus, be honest, how many of us really want to keep dealing with the time consuming hassle of maintaining a house in our retirement years assuming we still have the energy and cash to do so? And after all that's been said and done the old adage "you can't take it with you when you die" rings loud and clear. You start thinking "WTF was that all about?"

Advantages to renting: Generally much lower payments per month than a mortgage, if something breaks the landlord is generally required to fix it, little or no maintenance or upkeep particularly if you apartment rent, you can pick-up and move fairly easily once your lease obligation is met.

Disadvantages to renting: No tax breaks, lousy neighbors, dickhead landlords, and no return on your investment.

To me shelter is shelter. How you choose to finance that shelter is simply a matter of personal choice.
Jul 26, 2014 11:50am
A

adog

Senior Member

567 posts
Jul 26, 2014 12:28 PM
Own, with another 5 yrs mortgage and at 1.125% interest have no desire to pay off early
Jul 26, 2014 12:28pm
GoChiefs's avatar

GoChiefs

Resident Maniac

16,754 posts
Jul 26, 2014 12:43 PM
ZWICK 4 PREZ;1639195 wrote:Was your MIL paying the bill? I'm sure she was told what it is and I'm sure it was more than what she was paying.
Considering she spent the last 7 years caring for the previous homeowner, yeah, theres a pretty good chance she knows exactly what was paid.
Jul 26, 2014 12:43pm
H

HelloAgain

Banned

537 posts
Jul 26, 2014 1:40 PM
A home is one of the worst investments you can make as far as returns. Adjusted for inflation, a home you bought in 1906 would be worth about $6k more now. If you can find a good deal on a rental/don't want to tie yourself to one area for too long, it makes sense to put the extra money into something that can actually beat out inflation.

But if you know you'll be in one area for a long time, are risk-averse and/or just have the cash laying around to pay off the home quickly, then buying makes sense. There's no one right answer.

Love how rustled Zwick's jimmies are. It's far from inconceivable that someone is renting out a home for less than their mortgage payment.
Jul 26, 2014 1:40pm
ZWICK 4 PREZ's avatar

ZWICK 4 PREZ

Senior Member

7,733 posts
Jul 26, 2014 2:00 PM
HelloAgain;1639214 wrote:A home is one of the worst investments you can make as far as returns. Adjusted for inflation, a home you bought in 1906 would be worth about $6k more now. If you can find a good deal on a rental/don't want to tie yourself to one area for too long, it makes sense to put the extra money into something that can actually beat out inflation.

But if you know you'll be in one area for a long time, are risk-averse and/or just have the cash laying around to pay off the home quickly, then buying makes sense. There's no one right answer.

Love how rustled Zwick's jimmies are. It's far from inconceivable that someone is renting out a home for less than their mortgage payment.
Let's hear how great the return on renting is.

No matter how you try to spin it, you're completely pissing money away renting.
Jul 26, 2014 2:00pm
H

HelloAgain

Banned

537 posts
Jul 26, 2014 2:23 PM
ZWICK 4 PREZ;1639216 wrote:Let's hear how great the return on renting is.

No matter how you try to spin it, you're completely pissing money away renting.
If you can save money renting and put that money into a vehicle that actually beats out inflation, it makes sense. Especially if you don't want to be tied down to a single area for the foreseeable future.

You seem to be taking all this very personally. I would be pissed if I realized I'd committed to living most of my life in Canton too, but don't let it cloud your logic.
Jul 26, 2014 2:23pm
ZWICK 4 PREZ's avatar

ZWICK 4 PREZ

Senior Member

7,733 posts
Jul 26, 2014 2:38 PM
HelloAgain;1639225 wrote:If you can save money renting and put that money into a vehicle that actually beats out inflation, it makes sense. Especially if you don't want to be tied down to a single area for the foreseeable future.

You seem to be taking all this very personally. I would be pissed if I realized I'd committed to living most of my life in Canton too, but don't let it cloud your logic.
Yeah except for the fact that anywhere worth living (ie: jobs) it's more expensive to rent than own. I've bought and sold 2 houses and am building one now. I've stayed in my last house for 5 years and was able to sell and make 7,000 on it. Adding the down payment and equity I've netted an additional 16,000 totaling 23,000 I got at closing that I was able to use to put down on my construction loan. So tell me where that money would have went if I was renting?
My wife had a house before we married. She tried to sell but couldn't so she rented t out. Her mortgage insurance and taxes totaled ~ 800 a month. We rented her house for 1100 a month. So let's hear again how renting is cheaper for you.

I'm not taking anything personally, I just like to call people out for spewing bullshit.
Jul 26, 2014 2:38pm