This housing market is unsustainable. Why? And when will things cool down again? (Phoenix: co-ops, mortgage broker)
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But it is nice to read the other posts they are very encouraging and more or less putting me in my place that I still am in a better position than many others, it humbles me in this way. I am hoping things cool down. I spoke to my apartment management, they stated that my unit right now is renting at about an extra $40-50 / month than what I'm currently paying, but my renewal isn't until July so it could change then. I could easily swallow that kind of rent increase, it's my roommate who makes quite a bit less that can't afford a significant increase. I struggle to live with most people and I find that our dynamic works. If by the time our renewal comes in and it's closer to $100+/month or more for the unit which is fine by me but not my roommate we would either have to move OR I'd have to find another roommate or live alone. Having a roommate is what allows me to save so much that I have enough of a privilege to even consider looking, even in this economy. If I have to live alone I could make it work... but wouldn't be able to save quite like how I like and I am really uncomfortable with that idea. I am personally debating going back to school to get more education (debating if I can just get by on community college courses or if I need a full Master's to achieve what I need) in addition to one day, hopefully sooner rather than later, wanting to buy would make living alone even less attractive in regards to the other goals I have right now. If I bought I could at least stabilize the rent factor while still having a roommate, keeping my costs low while I could continue to save and spend on education and any housing maintenance that I would need.
I started this thread mostly because I am frustrated with my prospects. I still am in many ways. I worry and stress a lot about my future. Right now, in my mid-20s, I feel frustrated that I'm not hitting any milestones in my life, whether personally or career-wise. Even as a young girl I wanted to own my place as to me it was the pinnacle of independence, so it hits me a bit more personally than most people that I feel like I'm still far from this very important goal I set for myself long ago and it seems to be getting farther. All I've ever wanted to be in life was self-sustaining and independent (not needing a partner's income or my family) and I'm upset I'm not there yet. As long as I'm subject to the rental market, I can never be fully independent in my own eyes. Impatience is getting the best of me, but I really do feel I don't wish for a whole lot and my goals are within reason. I really have the one "dream".
I left the Bay area in my early 30s, with some of the same feelings. I mostly had a great time living there, but it was obvious that buying in the areas I enjoyed being, and felt safe, were almost unachievable. I recall a local news special showing couples that had moved away. One was interviewed from the living room of their very nice home in Boise. They had paid about 120k. It was everything many of us envision in a nice house. They said flat out, they never would have been able to have a house like that in the Bay Area. It did look cold there, but they had a nice fire in the large fireplace. I had a chance to buy a 3/1 in Lake Oswego, OR for 89k..in about 93...I couldn't pull the trigger, after all, it was a whole mile from the lake, and I still found the non colonial architecture bland. Probably worth somewhat over 500k, today. With age, you will become more willing to go to lesser known areas, and find the new frontier, but ironically, that is what you gotra do, when you are in our situations. Yeah, Russian Hill is nice, North Beach even moreso... but those places were discovered decades ago, if not a century.
But it is nice to read the other posts they are very encouraging and more or less putting me in my place that I still am in a better position than many others, it humbles me in this way. I am hoping things cool down. I spoke to my apartment management, they stated that my unit right now is renting at about an extra $40-50 / month than what I'm currently paying, but my renewal isn't until July so it could change then. I could easily swallow that kind of rent increase, it's my roommate who makes quite a bit less that can't afford a significant increase. I struggle to live with most people and I find that our dynamic works. If by the time our renewal comes in and it's closer to $100+/month or more for the unit which is fine by me but not my roommate we would either have to move OR I'd have to find another roommate or live alone. Having a roommate is what allows me to save so much that I have enough of a privilege to even consider looking, even in this economy. If I have to live alone I could make it work... but wouldn't be able to save quite like how I like and I am really uncomfortable with that idea. I am personally debating going back to school to get more education (debating if I can just get by on community college courses or if I need a full Master's to achieve what I need) in addition to one day, hopefully sooner rather than later, wanting to buy would make living alone even less attractive in regards to the other goals I have right now. If I bought I could at least stabilize the rent factor while still having a roommate, keeping my costs low while I could continue to save and spend on education and any housing maintenance that I would need.
I started this thread mostly because I am frustrated with my prospects. I still am in many ways. I worry and stress a lot about my future. Right now, in my mid-20s, I feel frustrated that I'm not hitting any milestones in my life, whether personally or career-wise. Even as a young girl I wanted to own my place as to me it was the pinnacle of independence, so it hits me a bit more personally than most people that I feel like I'm still far from this very important goal I set for myself long ago and it seems to be getting farther. All I've ever wanted to be in life was self-sustaining and independent (not needing a partner's income or my family) and I'm upset I'm not there yet. As long as I'm subject to the rental market, I can never be fully independent in my own eyes. Impatience is getting the best of me, but I really do feel I don't wish for a whole lot and my goals are within reason. I really have the one "dream".
It may not seem like it right now, but mid-20s is really young. It's a good age to be investing into real estate and the stock market, because by the time you're in your 50s, you'll have substantial net worth (even if those future dollars won't buy as much as today's dollars).
Are there still any condo opportunities in the central Phoenix area, like there were a few years ago? A friend of mine has a 2 bed 2 bath condo around E. Bethany Home Rd and 10th St, currently valued around $280K (probably triple what she paid for it 20 years ago) and it's very convenient & centrally located. It's a long walk to the light rail, which is probably why it's not valued higher. A good starter place for a young person, and get your roommate to come with and help with the mortgage.
But it is nice to read the other posts they are very encouraging and more or less putting me in my place that I still am in a better position than many others, it humbles me in this way. I am hoping things cool down. I spoke to my apartment management, they stated that my unit right now is renting at about an extra $40-50 / month than what I'm currently paying, but my renewal isn't until July so it could change then. I could easily swallow that kind of rent increase, it's my roommate who makes quite a bit less that can't afford a significant increase. I struggle to live with most people and I find that our dynamic works. If by the time our renewal comes in and it's closer to $100+/month or more for the unit which is fine by me but not my roommate we would either have to move OR I'd have to find another roommate or live alone. Having a roommate is what allows me to save so much that I have enough of a privilege to even consider looking, even in this economy. If I have to live alone I could make it work... but wouldn't be able to save quite like how I like and I am really uncomfortable with that idea. I am personally debating going back to school to get more education (debating if I can just get by on community college courses or if I need a full Master's to achieve what I need) in addition to one day, hopefully sooner rather than later, wanting to buy would make living alone even less attractive in regards to the other goals I have right now. If I bought I could at least stabilize the rent factor while still having a roommate, keeping my costs low while I could continue to save and spend on education and any housing maintenance that I would need.
I started this thread mostly because I am frustrated with my prospects. I still am in many ways. I worry and stress a lot about my future. Right now, in my mid-20s, I feel frustrated that I'm not hitting any milestones in my life, whether personally or career-wise. Even as a young girl I wanted to own my place as to me it was the pinnacle of independence, so it hits me a bit more personally than most people that I feel like I'm still far from this very important goal I set for myself long ago and it seems to be getting farther. All I've ever wanted to be in life was self-sustaining and independent (not needing a partner's income or my family) and I'm upset I'm not there yet. As long as I'm subject to the rental market, I can never be fully independent in my own eyes. Impatience is getting the best of me, but I really do feel I don't wish for a whole lot and my goals are within reason. I really have the one "dream".
I have several nieces and one (age 27) is also disappointed with life.
With her I saw it coming. Her parents put her in schools where everyone was a winner. Everyone gets a trophy. She dropped out of college after two years not because it was difficult... but because she's never learned to finish anything.
My experience with life is once you reach the age of 30 people stop buying your act. If you were going to get it together you'd be on your way. (Which I certainly wasn't.)
Good news is you're still young and single. I think you're smart to be concerned about your future. Save and then save some more. Get your credit score as high as possible and don't carry a large credit card debt.
It may not seem like it right now, but mid-20s is really young. It's a good age to be investing into real estate and the stock market, because by the time you're in your 50s, you'll have substantial net worth (even if those future dollars won't buy as much as today's dollars).
Are there still any condo opportunities in the central Phoenix area, like there were a few years ago? A friend of mine has a 2 bed 2 bath condo around E. Bethany Home Rd and 10th St, currently valued around $280K (probably triple what she paid for it 20 years ago) and it's very convenient & centrally located. It's a long walk to the light rail, which is probably why it's not valued higher. A good starter place for a young person, and get your roommate to come with and help with the mortgage.
Agreed. OP is still super young and no reason to get discouraged yet. Like you said, why not something like this: https://www.zillow.com/homedetails/5...72359111_zpid/? Central location and you could still keep the roommate. You can be an owner and when it comes time to move on from this, rent it out. I keep telling people, you have to start somewhere. Not everyone can afford a $500,000 SFH in their 20's. I don't care how often you watch House Hunters, it's not realistic for most.
I'm in the process of saving up to try to get a place for myself and I'm basically at the point where I can enter the market now. Just seems very discouraging to see what's available. I am still seeing decent things in my price range (though still somewhat overpriced many of the options), but they are going so quickly that one cannot even tour and get a feel for it because they are selling within a day or two at the very latest, which is a problem if it comes on the market on a Tuesday.
How are people so comfortable making one of the biggest purchases in their life site unseen? Especially all of these out-of-towners. At least me, being a long-term resident, know if I will generally like a neighborhood or not...
What I really don't understand is how our housing market is like this here in Phoenix but it also seems to be this way in about 98% of other American cities. I know not all of these buyers are from the same 2% of cities, there's not enough of them to be feeding the insane housing markets of all these different places simultaneously.
I'm mostly ranting but hopefully I am not the only one feeling discouraged especially since my other option is insane rent increases... feels like a lose-lose situation.
There is no cure that would effect you. Real Estate Agents are trying to raise their losses in volume by increasing prices. Hang on u til you see something worth the money. You can’t have too much cash
There is no cure that would effect you. Real Estate Agents are trying to raise their losses in volume by increasing prices. Hang on u til you see something worth the money. You can’t have too much cash
Lol. The market dictates how much a home sells for. When housing prices go up, it means someone is willing to pay for it. I think you're mistaken for what kind of powers a real estate agent has.
Lol. The market dictates how much a home sells for. When housing prices go up, it means someone is willing to pay for it. I think you're mistaken for what kind of powers a real estate agent has.
What? You mean you don't have the power to "raise your losses?"
Prickly Pear:
Energetic spirit sprinkled with determination will lead to homeowner success. With the passing of time, being thrifty (need vs. want) and saving will be rewarding. Patience is a keen word needed to endure this temporary lifestyle. Future employment prospects offering better opportunities may be forthcoming. Focus on the positive with an operating philosophy by investing in yourself being the long range goal.
It may not seem like it right now, but mid-20s is really young. It's a good age to be investing into real estate and the stock market, because by the time you're in your 50s, you'll have substantial net worth (even if those future dollars won't buy as much as today's dollars).
Are there still any condo opportunities in the central Phoenix area, like there were a few years ago? A friend of mine has a 2 bed 2 bath condo around E. Bethany Home Rd and 10th St, currently valued around $280K (probably triple what she paid for it 20 years ago) and it's very convenient & centrally located. It's a long walk to the light rail, which is probably why it's not valued higher. A good starter place for a young person, and get your roommate to come with and help with the mortgage.
This is my neighborhood! I'm by 16th street and Camelback. I love the Uptown/Biltmore area and I certainly don't regret picking this neighborhood. It certainly has some downsides but overall has many pros. There are a couple of deals that come up in my neck of the woods, don't get me wrong, but they are usually laundromat style. They also seem to be significantly rarer than other areas. I have a laundromat in my apartment which I tolerate now but I told myself if I bought I would have hookups at least. I'm willing to put up with an outdated/ugly condo as long as everything is at least functional, and I can install a washer and dryer in it.
Most of the places I'm seeing are in West Mesa, the Dobson or Alma School corridors up to Rio Salado and down to about Guadalupe give or take. I would much rather be here in Phoenix proper (always been more fond of the actual City of Phoenix), maybe south Scottsdale or North/Central Tempe than Mesa but West Mesa does not seem like the worst place to be either.
Quote:
Originally Posted by john3232
I have several nieces and one (age 27) is also disappointed with life.
With her I saw it coming. Her parents put her in schools where everyone was a winner. Everyone gets a trophy. She dropped out of college after two years not because it was difficult... but because she's never learned to finish anything.
My experience with life is once you reach the age of 30 people stop buying your act. If you were going to get it together you'd be on your way. (Which I certainly wasn't.)
Good news is you're still young and single. I think you're smart to be concerned about your future. Save and then save some more. Get your credit score as high as possible and don't carry a large credit card debt.
I never received trophies growing up. Physically, I was always one of the weakest kids in class. Intelligence wise, if I had dedication maybe but I was always interested in doing the least amount of work than what was required of me as a kid. Despite minimizing my work time and maximizing my fun time, I still was in all advanced classes. I feel like people my age simply had a lot of misconceptions on what adulthood was going to be like, a reality that Gen Z now is suffering less of the effects from because they heard the diatribe from Millennials going on about it. Whereas for millennials (myself and your niece) there wasn't such things coming from Gen X. There are no rose-colored glasses for Gen Z. Meanwhile I still suffer from the rose-colored glasses, I am no exception. The truth hurts. My dad and uncle were both granted their first homes by my grandparents by the time they were 24 (down payments), I do not have this luxury being passed down to me. Not because no one in my family is financially capable (grandparents and uncles are lower end millionaires), but it's just not an option that I am being given. These are just new realities that many people my age are facing: our parents had it really good, and we have it worse on average.
I save approximately 1/3 or 1/4 of my net income. My credit score is in the mid to high 700s. Maybe it will get me somewhere some day. This year will be slightly different than normal, no raise but I did get a bonus, all three stimulus checks, and I am still awaiting my tax return. I will probably save the majority of it, it may put me on track to something quicker than I expected.
Agreed. OP is still super young and no reason to get discouraged yet. Like you said, why not something like this: https://www.zillow.com/homedetails/5...72359111_zpid/? Central location and you could still keep the roommate. You can be an owner and when it comes time to move on from this, rent it out. I keep telling people, you have to start somewhere. Not everyone can afford a $500,000 SFH in their 20's. I don't care how often you watch House Hunters, it's not realistic for most.
Hm, $582 condo fee. Is that the norm these days? It sounds really high, but I'm a bit out of the loop. This place doesn't seem to have a swimming pool, so the fee seems inflated for what you get - grounds maintenance, roof repair, blah blah blah. Given it's built in 1962, maybe the place is falling apart, so repair costs are higher?
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