[Conan]

Just bought my first house! No longer paying someone else’s mortgage!

[SBR Drew]

Well done...on the path to a better future!

[Shute]

Congrats

[Bostongambler]

Congratulations

[dlowilly]

Not to be a stick in the mud but unless you're paying cash then along with an obscene amount of interest you will pay on your mortgage you will be paying for insurance, maintenance, repairs, and have a ton of other headaches you wouldn't have if you were renting.

A 300k mortgage at 30 year/4.5% interest rate will cost you over 247k in interest

Not saying ur throwing money away but there is a reason mortgage lending is a huge business

[KVB]

I agree.

I first commend you for getting a home, it must feel good and congratulations.

Unfortunately, it sounds like you're celebrating no longer paying someone's mortgage to now pay your own.

It's a better deal for most situations but it's bitter sweet for sure.

[Auto Donk]

Not to be a stick in the mud but unless you're paying cash then along with an obscene amount of interest you will pay on your mortgage you will be paying for insurance, maintenance, repairs, and have a ton of other headaches you wouldn't have if you were renting.

A 300k mortgage at 30 year/4.5% interest rate will cost you over 247k in interest

Not saying ur throwing money away but there is a reason mortgage lending is a huge business

[Shute]

Put 20% down
15 year mortgage
Don’t pay PMI

[deltgen]

Congrats Conan. I have a question for all, as I've never owned a house and am still renting but I do have my eyes on owning someday. Dlowilly mentioned some negatives involved, but aren't there significant tax breaks while paying a mortgage that go a pretty long ways toward offsetting some of the sting from the extra costs? I don't know much about home ownership, but I remember my old man was incredibly happy when he got to take a match to his mortgage papers after all those years.

[MoneyM1ke]

30 years of principle plus interest then when all is said and done you still have to pay rent tax to uncle sam every year to live there

[dlowilly]

Congrats Conan. I have a question for all, as I've never owned a house and am still renting but I do have my eyes on owning someday. Dlowilly mentioned some negatives involved, but aren't there significant tax breaks while paying a mortgage that go a pretty long ways toward offsetting some of the sting from the extra costs? I don't know much about home ownership, but I remember my old man was incredibly happy when he got to take a match to his mortgage papers after all those years.

Yeah mortgage interest can be deductible but that's not a reason to have an expense. Put it this way, if you go into the bank and say you want to pay off your mortgage they will bring up that it's tax deductible and try to convince you not to pay it off. That should tell you something.

[PAULYPOKER]

15 year mortgage or nothing........

If you can't afford it,you don't buy it.........

Credit union only as well...........

[slambam]

Congrats Conan. Nothing wrong with a 30 mortgage imo. If people didn't get 30 year mortgages, the lack of growth in our economy would be astounding, very few people would be buying houses. If your house value raises at the rate of inflation you're not paying much, if any more than its value in the long run. Regardless, it's still better than paying rent and having nothing to show for it. That said, extra payments are a must. Making 1 extra payment a year reduces a 30 year mortgage by 5 years. Play with amortization tables and such in Excel all the time. Give it a shot, you'll be amazed how much paying even just an extra $25-50 a week effects your total payments if you start right away.

[str]

Just bought my first house! No longer paying someone else’s mortgage!

Congrats on buying your 1st house.

[PAULYPOKER]

Buy a home for 200k home with 20k down.....

Interest rate 4.25%
Loan type 30 year fixed
Mortgage payment with taxes,fees and home owners insurance $1,325 per month......

$15,900 per year........

What you'll pay for a $180,000 mortgage for 30 years? $477,000!

Absolutely infukkinsane to get stuck in a 30 year mortgage!

And if you are using a bank owned by the Elite instead of a credit union owned by the People.
You are even more insane.............

[Conan]

I may be insane but rent for a house is 1200 and my mortgage is 1038 with tax an insurance included. And with each payment I gain equity. Easiest way to build wealth.

[slambam]

Buy a home for 200k home with 20k down.....

Interest rate 4.25%
Loan type 30 year fixed
Mortgage payment with taxes,fees and home owners insurance $1,325 per month......

$15,900 per year........

What you'll pay for a $180,000 mortgage for 30 years? $477,000!

Absolutely infukkinsane to get stuck in a 30 year mortgage!

And if you are using a bank owned by the Elite instead of a credit union owned by the People.
You are even more insane.............

I get that it's not cheap, but are you saying it's a better deal to rent? I truly don't believe a 30 year loan is intended to last 30 years. If you make extra payments and continue to increase your normal monthly payment as you get raises, pay off student loans, car loans, etc., it can quickly turn into a 15-20 year loan. Paying the minimum for 30 years is ridiculous though. Also agree on credit unions, there's nowhere else I'd bank.

[JIBBBY]

[dlowilly]

I may be insane but rent for a house is 1200 and my mortgage is 1038 with tax an insurance included. And with each payment I gain equity. Easiest way to build wealth.

Can we get a little more info?

What kind of place were you renting for $1200? What kind of place did you buy with a mortgage of $1038? What is the length and terms of the loan? Is there land involved, because 30 years from now that house will not have appreciated like you think.

[dlowilly]

I get that it's not cheap, but are you saying it's a better deal to rent? I truly don't believe a 30 year loan is intended to last 30 years. If you make extra payments and continue to increase your normal monthly payment as you get raises, pay off student loans, car loans, etc., it can quickly turn into a 15-20 year loan. Paying the minimum for 30 years is ridiculous though. Also agree on credit unions, there's nowhere else I'd bank.

If you want a shorter term then get a shorter term loan. The proportion of interest goes down over time so you are paying the most juice at the beginning.

[JIBBBY]

Rents and home pricing is so cheap in most of America.. It blows my mind..

It's really so cheap living outside of the Southern California and New York areas... For example - I own 2 single units 600 square feet each but they are very nice, updated and all utilities paid.. $2500 a month they rent for each 9 blocks from the beach in Santa Monica, California 90402.... Got one up for rent now..

A house in my area sells for 3.5 million on average...

I really need to sell everything I own and move to middle America or the South buy a huge spread and live a REAL KING the rest of my days...

[HurryUpAndDrink]

congrats! thats a thing I sometimes doubt I will ever be able to do...

but hope is there

[firedawg]

How much can a hut cost?

JFC

[rkelly110]

Rents and home pricing is so cheap in most of America.. It blows my mind..

It's really so cheap living outside of the Southern California and New York areas... For example - I own 2 single units 600 square feet each but they are very nice, updated and all utilities paid.. $2500 a month they rent for each 9 blocks from the beach in Santa Monica, California 90402.... Got one up for rent now..

A house in my area sells for 3.5 million on average...

I really need to sell everything I own and move to middle America or the South buy a huge spread and live a REAL KING the rest of my days...

You could make a fortune renting tents?

Congrats Conan. Now you have to do everything. No one to call but yourself.

[slambam]

If you want a shorter term then get a shorter term loan. The proportion of interest goes down over time so you are paying the most juice at the beginning.

Agreed, but most people will earn more in 5-10-15 years than they do today. Plus with things like student loans, they might not be able to afford a 15 year loan now, where'd they would be able to easily afford it in 5-10 years. To tell them to throw a minimum of $1k/month away to rent instead is foolish imo. Yes, interest sucks, but it's how the world works - and interest rates are still very low compared to 15+ years ago. Plus, in many places you can get a mortgage including escrow with a monthly payment for less than a small apartment. Throw in the fact that property values continue to rise, and why would you even consider renting if you can get a mortgage? Also, strike while the kettle is hot on interest rates. I got a 30 year mortgage last May. Since then, my wife and I are both got promotions and will be finished paying off student loans very soon (many years in advance). Also since then, mortgage rates have shot up. If we would have waited a year so we could afford a 15 or 20 year loan, we'd actually be paying a half percent higher interest rate. Maybe that's just luck on our part, but still, it was clear the fed was going to increase rates soon.

I use to work in consumer lending, and I could never go back to it because I remember how ridiculous some people's finances are. I saw people take out loans for vacations and stupid shit way too many times back then. But mortgages are a different beast to me. Homes are investments, and there are a lot of reasons that a 30 year mortgage is OK - just never make it last for anywhere close to 30 years

[dlowilly]

I just don't see housing being a sure thing lucrative investment anymore

The richer are getting richer but shrinking in numbers, while the poor are getting poorer and growing in numbers

A rich guy can buy unlimited amounts of stocks, funds, commodities, etc. but he only really needs one place to live. Unless it's a nice area I think the future is kind of bleak for home ownership. Look at Detroit. Sadly that's the trend of most of the country

[Drydin]

I will never understand the argument of Renting vs. Buying. After Renting for 15-30 years at whatever your price scale is where you happen to live money is gone never to be seen again. Where as purchasing you have a tangible asset you can live cheap only paying property tax, rent out gaining income in your later years or use income to get another house in sense having someone else pay off your next mortgage, leave in your will to loved ones children etc. when you pass on to me the advantages far outweigh the negatives.

[dlowilly]

I will never understand the argument of Renting vs. Buying. After Renting for 15-30 years at whatever your price scale is where you happen to live money is gone never to be seen again. Where as purchasing you have a tangible asset you can live cheap only paying property tax, rent out gaining income in your later years or use income to get another house in sense having someone else pay off your next mortgage, leave in your will to loved ones children etc. when you pass on to me the advantages far outweigh the negatives.

So is all the interest you paid though

I'm not saying the math doesn't favor buying but if you invested wisely that down payment in something liquid, made monthly investments of what you would have been paying in property taxes, repairs, maintenance, HOA fees, etc. reinvested dividends and maxed out tax deductible IRAs and 401ks every year I would like to see the comparison

For example a 60k down payment instead invested in the total stock market for 30 years would have increased to about 600k, and that's not including dividend reinvestment. I don't think home values increase anything close to that. Yes I realize ur still paying rent about the same as the mortgage payment but you're saving money per month by not paying home owners expenses which can also be invested.

[mikejamm]

Not to be a stick in the mud but unless you're paying cash then along with an obscene amount of interest you will pay on your mortgage you will be paying for insurance, maintenance, repairs, and have a ton of other headaches you wouldn't have if you were renting.

A 300k mortgage at 30 year/4.5% interest rate will cost you over 247k in interest

Not saying ur throwing money away but there is a reason mortgage lending is a huge business

Yeah mortgage interest can be deductible but that's not a reason to have an expense. Put it this way, if you go into the bank and say you want to pay off your mortgage they will bring up that it's tax deductible and try to convince you not to pay it off. That should tell you something.

Congrats Conan and welcome to the American dream of home ownership. Don't pay any attention to this Dfraud fuk head, home and land ownership is still the fastest way to build wealth and excellent credit in this country and this dumb fuk as usual doesn't have a clue.

I bought my first home at 25 and have never looked back. Rent money goes down the drain and you don't end up with shit after all those wasted years of pissing money away. My mortgage was also 30 years, which I ended up paying off in 15! Like slambam said, adding a little extra every month can considerably reduce your interest, term length and build excellent credit and equity in your home. Little things like not eating out all the time, cutting back on entertainment and other expenses can easily net you an extra few hundred dollars a month. Applied to the principal of your loan and you could easily knock off 5, 10, or 15 years and boom, you own your home.

The benefits of owning verses renting are substantial, if you plan on living in any one place longer than 5 years, buying is the only way to go. Look at this way too, you'll never lose money on a home. Home values continue to appreciate, so even if you sell after 5 or 10 years, you'll recoup your investment, plus any improvements you make only add to the selling value of the home. The interest deductions and improvement tax credits are excellent, something you never get when renting.

Banks and credit unions love homeowners! My wife and I can walk into our credit union, (Banks fuk'in suck by the way, but that's a whole other story), and get any type of loan, line of credit, home equity loan, etc, all with just a signature, because we own our home. I bought our 2nd home after 10 years using the collateral from the 1st one, tuned our original home we out grew into rental income and used the rental income to pay the mortgage on both homes. It's just that easy bro and real estate will never crash like the stock markets.

The freedom of no land lord, multiple apartments with noisy kids and increasing rents, no parking congestion and lower crime are just a few benefits of being a homeowner. Why sit around like willy puss and piss your hard earned money away for 30 years and not have shit to show for it? I've got a nest egg home that produces income, I can borrow against or sell outright for cash anytime, and my mortgage is paid so I now live free in my home.

Good luck bro, there's nothing like having a front and a back yard, room for your dog to run, and the feeling on knowing you own it.

[dlowilly]

Congrats Conan and welcome to the American dream of home ownership. Don't pay any attention to this Dfraud fuk head, home and land ownership is still the fastest way to build wealth and excellent credit in this country and this dumb fuk as usual doesn't have a clue.

I bought my first home at 25 and have never looked back. Rent money goes down the drain and you don't end up with shit after all those wasted years of pissing money away. My mortgage was also 30 years, which I ended up paying off in 15! Like slambam said, adding a little extra every month can considerably reduce your interest, term length and build excellent credit and equity in your home. Little things like not eating out all the time, cutting back on entertainment and other expenses can easily net you an extra few hundred dollars a month. Applied to the principal of your loan and you could easily knock off 5, 10, or 15 years and boom, you own your home.

The benefits of owning verses renting are substantial, if you plan on living in any one place longer than 5 years, buying is the only way to go. Look at this way too, you'll never lose money on a home. Home values continue to appreciate, so even if you sell after 5 or 10 years, you'll recoup your investment, plus any improvements you make only add to the selling value of the home. The interest deductions and improvement tax credits are excellent, something you never get when renting.

Banks and credit unions love homeowners! My wife and I can walk into our credit union, (Banks fuk'in suck by the way, but that's a whole other story), and get any type of loan, line of credit, home equity loan, etc, all with just a signature, because we own our home. I bought our 2nd home after 10 years using the collateral from the 1st one, tuned our original home we out grew into rental income and used the rental income to pay the mortgage on both homes. It's just that easy bro and real estate will never crash like the stock markets.

The freedom of no land lord, multiple apartments with noisy kids and increasing rents, no parking congestion and lower crime are just a few benefits of being a homeowner. Why sit around like willy puss and piss your hard earned money away for 30 years and not have shit to show for it? I've got a nest egg home that produces income, I can borrow against or sell outright for cash anytime, and my mortgage is paid so I now live free in my home.

Good luck bro, there's nothing like having a front and a back yard, room for your dog to run, and the feeling on knowing you own it.

How about the homes in Detroit and other creeping ghettos going for a fraction of what they were bought for? How about the multitudes of people who get foreclosed on because for whatever reason they couldn't keep up with their mortgage so there goes their down payment and past payments?

It also takes a special kind of retard to make such a statement only 10 years after the housing crash of 2008

U are an idiot, you continue to be an idiot, and everyone knows ur an idiot


BTW, my home is paid for and has been for years. So ur wrong again you worthless, POS, slanderous fool. Please publicly sign up for a bash someday I'm sure you will have a great time.

Now go report that report boy

Mikeypuss >>>

[rkelly110]

How about the homes in Detroit and other creeping ghettos going for a fraction of what they were bought for? How about the multitudes of people who get foreclosed on because for whatever reason they couldn't keep up with their mortgage so there goes their down payment and past payments?
U are an idiot, you continue to be an idiot, and everyone knows ur an idiot
Now go report that report boy

Mikeypuss >>>

Thought he was on ignore? The lie detector test determined, that was a lie......

[dlowilly]

Thought he was on ignore? The lie detector test determined, that was a lie......

Guess again

I said repeatedly he wasn't because I was waiting for him to tell me when and where we could meet and he could try to tell these lies about me to my face

Why are you such an idiot troll? Is it satisfying? Pathetic

[mikejamm]

How about the homes in Detroit and other creeping ghettos going for a fraction of what they were bought for? How about the multitudes of people who get foreclosed on because for whatever reason they couldn't keep up with their mortgage so there goes their down payment and past payments?

It also takes a special kind of retard to make such a statement only 10 years after the housing crash of 2008

U are an idiot, you continue to be an idiot, and everyone knows ur an idiot


BTW, my home is paid for and has been for years. So ur wrong again you worthless, POS, slanderous fool. Please publicly sign up for a bash someday I'm sure you will have a great time.

Now go report that report boy

Mikeypuss >>>

Yeah, we've seen your one bedroom efficiency hole in the wall, piece of shit loser. Telling everyone not to buy yet stating you actually own a home. Fuk off liar, you contradict yourself with more bullshit, just like your loser fake ass videos. Go wipe your ass with your fake money douche bag.

The housing market recovered tremendously thanks to President Obama and the only reason there was a crash was because wall street bankers under dumb fuk Bush, gave loans to anybody with a fuk'in pulse and then got bailed out when the scam came crashing down. If you had any fuk'in sense and knew anything about the mortgage industry you'd know that.

Banks gave loans to buyers they knew couldn't afford the payments and had interest rates that ballooned to skyrocket levels after 5 years. Banks and investors then sold and repackaged these bunk loans, took their cut and left the home buyer with a payment 3 times what it was to begin with. All thanks to right wing republican assholes like you.

Keep drink'in the kool-aid dick face loser. You get that online survey job yet, we all know how big time you are.

[mikejamm]

Thought he was on ignore? The lie detector test determined, that was a lie......

Yeah, rkelly, he claims I'm on ignore, but he keeps chasing my threads around with a big fat dick in his mouth.

[dlowilly]

The more you post your lies and bs Mikeypuss the more the forum can't stand you

What does why the the real estate bubble happened have to do with the fact it did happen, many people rich and poor lost and never got back what they put into homes and real estate, and you said like the idiot dipshit troll you are that "you'll never lose money on a home"?

You are a worthless poster who entertains himself by making up lies about people and acting like a child. It's all fun and games until you show up at a bash Mikeypuss

Uh oh, Mikeypuss might report this it's kind of scary

Mikeypuss the report and run cowardly wuss