The best rent vs buy calculator (do your homework before you buy) (Orlando: for sale)

[traysea]

Quick background... I've owned and sold 4 houses (both in FL and KY).

http://tinyurl.com/2jsehv (broken link)

I pay 1400 per month, water and lawn service included for a 3 year old house with 2100 SF of living space and rear entry 2 car garage. I really like my neighborhood - it's cute and different then the regular Orlando tract housing.. but's it's not exclusive. It's just a small development outside downtown Winter Garden.

I won't bash Orlando, it has it's faults but I am going to make my time here enjoyable and hopefully a better place for all I meet.

I am very concerned for everyone in the middle of this housing mess. I just sold my house in KY. I had to drop my price by 30k from the price I paid for it 05'. I had to come to closing with a lot money. That's life and I am grateful it only took 8 months to sell and I am mortgage free, whew!

I don't want to cause panic or **** anyone off, but please wake up and know that the market still has a long way to go to hit bottom.

I did a quick analysis on my situation. I've started looking at houses to get a feel for what is out there. I know from when I sold my Orlando house in 03' what the houses were going for in my desired neighborhoods and they are still so expensive - even thought I easily make double what I did when I left Orlando, I can't afford to live as well as I did, if I buy.


In order for my rental to be a good buy, the price needs to be around 175k. Right now identical houses are on the market for 285k-315k.

Makes you wonder who is going to buy when you can rent and sock away the extra money for a rainy day, or maybe it's best to just low ball if you buy that house now, vs wait later.

It's crazy out there.

http://tinyurl.com/2jsehv (broken link)

Good luck!

[Wilshire81182]

They had an article in Orlando Sentinel somewhat recently about the number of apartments and the shortage in supply because of everything you explained. SO while it may be more cost effective, a nice and safe apartment is sometimes easier said than found. That in itself can create a lot of frustration.

[ManFromMissouri]

Originally Posted by traysea

Quick background... I've owned and sold 4 houses (both in FL and KY).

http://tinyurl.com/2jsehv (broken link)

I pay 1400 per month, water and lawn service included for a 3 year old house with 2100 SF of living space and rear entry 2 car garage. I really like my neighborhood - it's cute and different then the regular Orlando tract housing.. but's it's not exclusive. It's just a small development outside downtown Winter Garden.

I won't bash Orlando, it has it's faults but I am going to make my time here enjoyable and hopefully a better place for all I meet.

I am very concerned for everyone in the middle of this housing mess. I just sold my house in KY. I had to drop my price by 30k from the price I paid for it 05'. I had to come to closing with a lot money. That's life and I am grateful it only took 8 months to sell and I am mortgage free, whew!

I don't want to cause panic or **** anyone off, but please wake up and know that the market still has a long way to go to hit bottom.

I did a quick analysis on my situation. I've started looking at houses to get a feel for what is out there. I know from when I sold my Orlando house in 03' what the houses were going for in my desired neighborhoods and they are still so expensive - even thought I easily make double what I did when I left Orlando, I can't afford to live as well as I did, if I buy.


In order for my rental to be a good buy, the price needs to be around 175k. Right now identical houses are on the market for 285k-315k.

Makes you wonder who is going to buy when you can rent and sock away the extra money for a rainy day, or maybe it's best to just low ball if you buy that house now, vs wait later.

It's crazy out there.

http://tinyurl.com/2jsehv (broken link)

Good luck!

traysea,

I'm probably moving there soon and would be looking to rent a house for awhile. Do you think the deal that you got WHERE you got is fairly common? I hear what you're saying completely as far as cost benefits go. I won't even go into the HOI discussion. If I had your deal, I wouldn't even think about buying anytime soon as your payment would likely go up by what, 800 - 1000 at least? Can you also tell me how easy is it to get renters insurance for your valuables? I don't know if you are covered at all via the homeowners own insurance?

Thank you for your time. ManFromMissouri.

[traysea]

Hi there!
I found my rental b/c I knew what neighborhood I wanted to rent in and my friend was driving by and say a sign out front.

There are numerous houses on the market for sale and rent in my neighborhood and I am not sure how great the deals are.. but there are ones out there.

I look on the Orlando MLS as they also have a rental section.
It is difficult to find rentals -- b/c the info is scattered but there is also rental.com.

I would opt for a house vs apartment or condo.
I don't pay for the HOI, the owner does.

I used the same company that insured my home in KY to give me renters insurance. I think I have up to 35k in coverage for my stuff and a ryder for my jewelry and I don't remember if there was anything else to it.

I want to say it was like $350 or so a year. Maybe less.

My only concern is that :
1- I will find a house I fall in love w/ and want and will need to break my lease and lose money (that is if the bottom keeps dropping)
2- The owner gets foreclosed on.. that would suck.

Good luck.
I only want to see people prosper. I also hope we find bottom soon so the realtors that survive and were quality can start making money again (if feels like the market is in slow motion).


I am lucky I sold when I did even with the loss.

Tracey