what's going on with real estate?

"I don't understand renters." - The Kin

If I had to live in Manhattan. I'd find myself the cheapest one bedroom condo in the entire city, and purchase it. Yeah, I probably could afford more space if I rented but owning is the smart and right thing to do over the long-term.

I'd be one of those assholes commuting in from New Jersey or Connecticut, for the sole purpose of being an owner rather than a renter.

The tax benefits alone are outstanding.
 
Quote from The Kin:

However in the mean time, it's just silly not to own my current residence as I wait. I honestly don't understand renters.
More...

i live in Socal. its far cheaper to rent than own by 45%. Since the highest tax bracket is 35% it makes more sense to rent.

I sold my condo, pocketed 100k and am renting it back for $100 over my mortgage.

I'd rent 100k at $100/mo anyday of the week!

my new landlady is negative several hundred dollars on her 3/1 arm. in 6 months her 10% downpayment has disappeared and the HOA went up an additional $40/mo.

there no tax benefits to losing your equity. besides with all the depreciation i have from my rentals, last year i was in the 0% tax bracket. big deal. this year i'll pay $2-3k in taxes. i've structured my taxes so that don't need a home mortgage writeoff. [less than 45% of my income comes from w2 salary, so i don't really need it.]
 
Quote from The Kin:

"
The tax benefits alone are outstanding.
More...


I know someone (He told me that he has to do something for the future. "If I do not buy now I will never be able to afford") who makes 22K per year, his wife makes 20K, two teenage daughters bring a few hundred bucks a month.

I do not know cost of the house and mortgage details except mortgage payment: $2,400 for 3 bed house. Los Angeles.

please advise on tax benefits.
 
Quote from balda:

I know someone (He told me that he has to do something for the future. "If I do not buy now I will never be able to afford") who makes 22K per year, his wife makes 20K, two teenage daughters bring a few hundred bucks a month.

I do not know cost of the house and mortgage details except mortgage payment: $2,400 for 3 bed house. Los Angeles.

please advise on tax benefits.
More...

Interestingly, some folks at the AIER have done a calculation on that. It is detailed in their publication - homeowner or tenant? For people in lower tax brackets, as these people would be in, the answer may not be so straightforward.

http://www.aier.org/publicationlist.html

(for advice on tax benefits, you should consult a tax advisor, which I am not.)
 
Quote from balda:

I know someone (He told me that he has to do something for the future. "If I do not buy now I will never be able to afford") who makes 22K per year, his wife makes 20K, two teenage daughters bring a few hundred bucks a month.

I do not know cost of the house and mortgage details except mortgage payment: $2,400 for 3 bed house. Los Angeles.

please advise on tax benefits.
More...


LA? Geez. Why stay?

Mortgage payment on a fixed 30-year 3bdroom 2bath home in Jacksonville Florida could be 700 to 800. And where does this family work, McDonalds?
 
Quote from balda:

I know someone (He told me that he has to do something for the future. "If I do not buy now I will never be able to afford") who makes 22K per year, his wife makes 20K, two teenage daughters bring a few hundred bucks a month.

I do not know cost of the house and mortgage details except mortgage payment: $2,400 for 3 bed house. Los Angeles.

please advise on tax benefits.
More...

he's not making enough money to even pay for the mortgage. his take home pay is 3.5k. assuming he doesn't pay taxes, after a 2.4k mortgage payment he's left with 1,100 for food, utilities, gas, insurance, car payments and saving for his kids college.

he probably won't be paying any taxes with a mortgage like that!!!
 
I was shocked when he told me how much they make and how much he pays.


and I think there are a lot more families like that.
 
You must log in or register to reply here.
Back
Top