Relocating for son going to Gettysburg College-info please? (Washington, Penn: lease, mortgages)

[CaptainObvious]

Originally Posted by megabyte

house for $800 or get a morgage for $800 and own it. I will own thank you very much. Renting pays the landlords mortgage. Even if paying more for owning than renting I still would rather build equidty.

Your total payments will be more, even with the same monthly payment, when buying because of closing costs, property taxes, and maintenance. Even saving on the tax write-off on interest on the mortgage and the home appreciating can't make up for the difference in 4 years unless you are in an incredibly hot housing market. The first four years of mortgage payments on a typical 15 or 30 year mortgage include almost all interest. You don't build equity until later. Therefore, IN THE SHORT TERM, it makes more sense in many cases to rent.

Originally Posted by megabyte

You can check the houses worth (you can check the value by looking at similar houses in the area at the county courthouse).

You still have to find someone to buy it. This presents a large obstacle for people who are "in-and-out" of real estate.

Originally Posted by megabyte

Now obviously going to college and buying a house might be foolish especially if you plan to move after college is done. Typically the market wont move that much unless of course you buy distressed or a hot market area.

That's been my point the entire time.


Captain

[megabyte]

Originally Posted by CaptainObvious

Your total payments will be more, even with the same monthly payment, when buying because of closing costs, property taxes, and maintenance.

Oh my making a mortgage payment gives you equidty oh my, tax write off for interest. Property taxes are the main problem but your equidty covers that unless you live in a low tax area then you make money. Closing costs? Who pays that, maintenance unless your remodeling its minimal. Renters still have to turn in their home in a good condition or risk losing their deposit or getting kicked out. Of course the landlord can raise the rent anytime he wants and or give you notice if he wants you out most people like security of knowing they cannot be kicked out of their own home. You cannot just leave a rental either not if your contract says you have to give notice. I think you need to watch CNBC specifically suzi orman she has a good pitch for owning rather then renting. I havent read any articles that say renting is better than owning but have read many articles about owning rather than renting.

[CaptainObvious]

Originally Posted by megabyte

I havent read any articles that say renting is better than owning but have read many articles about owning rather than renting.

Should You Buy or Rent? - Kiplinger.com
http://www.salary.com/money/layoutht...Ser3_Par5.html
Realty Times - Real Estate News and Advice
At times it's better to rent than buy | The San Diego Union-Tribune
Is buying a house always better than renting?
http://www.*****cents.com/2007/04/13/when-renting-is-better-than-buying-a-home/ (broken link)
Don't Mess With Taxes: When renting is the right choice
For some, renting is better than buying - Real Estate - MSNBC.com
» Rent Forever, Don’t Buy A Home on Blueprint for Financial Prosperity
MsMoney.com - Buying a Home - Buy vs. Rent
For some, renting is better than buying
Housing Bubble Continues - Why it's better to rent than buy
http://www.salary.com/personal/layou...35&part=par241

That ought to keep you busy for a while. Let me know when you've read them all. Again, buying is not the better option FOR THE SHORT TERM!!!

You're just wrong here, Megabyte. And again, I've said all I can on the subject. If you refuse to learn, you refuse to learn. Have a good one.

Captain

[Katiana]

Closing costs? Who pays that

Usually the buyer.

You cannot just leave a rental either not if your contract says you have to give notice.

But you can leave at the end of the contract. The only way to leave a house is to sell it. We had a house on the market for 10 mo. one time, and it was not overpriced. It was just a slow market. The house we are in now was on the market for ~ 2 yrs. Again, slow market. We actually got it for a song (well, not literally, but we bought it on the cheap and there was nothing wrong with it except the owners wanted out b/c of a divorce.)

[megabyte]

Originally Posted by CaptainObvious

That ought to keep you busy for a while. Let me know when you've read them all. Again, buying is not the better option FOR THE SHORT TERM!!!

You're just wrong here, Megabyte. And again, I've said all I can on the subject. If you refuse to learn, you refuse to learn. Have a good one.

Captain

LOL thats nothing. I have the entire internet and all of the street.com saying to opposite. I have rented properties to "suckers" who have paid my mortgage. If the stock market ever stops going up and up I will get back into it. I park my money into real estate when the market is in the toilet. Which is in about 5 more years. I just love the sub prime problems the forclosesures are way up and for me thats what I want. But I have to shake out all the people buying a first home and all the small time speculators. Then I step in and buy all the properties that are in foreclosure, some I flip most I fix up then rent. If I dont make double my money im not interested. Until the stock market stops paying more than I can earn in real estate im going to stay in it. I just love high gas prices. Yeah for XOM (exxon mobil)

[megabyte]

Originally Posted by pittnurse70

Usually the buyer.


But you can leave at the end of the contract. The only way to leave a house is to sell it. We had a house on the market for 10 mo. one time, and it was not overpriced. It was just a slow market. The house we are in now was on the market for ~ 2 yrs. Again, slow market. We actually got it for a song (well, not literally, but we bought it on the cheap and there was nothing wrong with it except the owners wanted out b/c of a divorce.)

It can happen I generally advise to make a clause that states if you cannot sell your house you can get out of whatever your currently going into. Once I made the seller of my new property help me sell my old property as part of the closing. I never pay fees or closing costs those are all negociated and just a way for a bank or real estate agency to make more profit you dont have to pay it if you dont want too. If your a good customer say no they wont lose the deal for a couple hundred dollars. Remember they need you too and your deal so learn to walk out a couple of times before signing. I generally will never sign a deal the first time I sit down. Even if the deal is what I am willing to pay. I will leave the table at least 3 times. Many times I dont even pay attention to what they are saying. I talked on a phone during one meeting during the whole meeting. Take whatever the asking price and lose 10% right off the top then try for another 25% within the next two meetings then settle somewhere in between. Or walk there are always more deals right around the corner. If you buy it right then you dont have to worry about trying to sell it. If your below market value on the buy the mark up should still be slightly below market so the sell is usually fast. It also helps to know your market and what buyers are looking for. I use alot of great kitchen stone granite and nice hardware on my cabinets. If I can swing tile floors I go that route. All new appliances is standard. A new bathroom is also a priority. When im renting its usually items I have removed from my flip houses which is good items but not for a like new flip house. So many ways to make money NEVER RENT ALWAYS BUY. People just dont know they always get afford a house if they have a job and it usually doesnt require a downpayment. Veterans are my favorite people to help many dont know how much they qualify for nobody at the VA tells veterans a thing about buying a house and they simply dont know that they dont have to have any money to qualify for a loan. Just burns me up when you have people like capitain know nothing trying to give advice and he doesnt know what hes talking about.

[mom of historybuff]

I don't know, but it is entirely plausible that I would keep the house for awhile into the foreseeable---my son will most likely end up working in Washington, which is only an hour or so away and may end up as a professor at his own college later on...it is for that reason that I'm considering doing something more permanent. What you say makes a lot of sense, tho--and it would indeed be quite stupid to buy and sell in short order. I hate renting someone else's property, because it's never the way you would want it, and you are at som eone else's mercy, basically. But I will take what you say under advisement. I've heard of the gambling issue--I thought of renting the first year, and looking for an acre or two to build on. Land is always easier to move if I change my mind.

[CaptainObvious]

Originally Posted by megabyte

LOL thats nothing. I have the entire internet and all of the street.com saying to opposite. I have rented properties to "suckers" who have paid my mortgage

You call your clients "suckers". Very nice. Good touch. I bet you are a pleasure to rent from. You have basically lost all credibility with the good people of this forum. I suggest you get back to "thestreet.com" and violate some terms of service there--lord knows, you've done enough here.

Cap

[CaptainObvious]

Originally Posted by mom of historybuff

What you say makes a lot of sense, tho--and it would indeed be quite stupid to buy and sell in short order.

Indeed. I think you have a good plan. Rent the first year, get to know the area better, and go from there.

(by the way, Megabyte, you can remove me, mom of history buff, and pittnurse70 from the list of "all the internet" that thinks real-estate is a good short-term investment)

[Katiana]

Originally Posted by CaptainObvious

Indeed. I think you have a good plan. Rent the first year, get to know the area better, and go from there.

(by the way, Megabyte, you can remove me, mom of history buff, and pittnurse70 from the list of "all the internet" that thinks real-estate is a good short-term investment)

Amen! I know some people who lost their shirts in RE because "they couldn't go wrong" with buying.