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Old 02-25-2015, 05:33 PM
jw2
 
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Quote:
Originally Posted by NoMoreSnowForMe View Post
I'm renting because I became disabled and can't afford to buy anything with my limited income. But, I've gotten used to it and I don't think I'd buy even if I had the opportunity now.

If I don't like the area I moved into, or my neighbors, I can just move. I'm not responsible for any maintenance inside or out. If the neighborhood was to go downhill, I just move.

I moved to Redding, CA, thinking I'd live there for life because it's affordable, there is a lot of recreation, and it's beautiful. I'm so glad I didn't buy property there (if I could have), because the weather is so severely hot there for half of the year, and it doesn't cool down at night. I felt trapped inside from Mid-May until Mid-October because it was either just under 100 degrees and up to 117 that entire time, with no evening cool down. I am not exaggerating.

So, if nothing else, I suggest you rent somewhere for a full year, before you commit to buying any real estate there.

I also really dislike HOAs. I owned a condo many years ago, and only kept it a few years. The board members were real control freaks about what you planted outside, or put in your windows, etc., etc. I had the plant nazi come and tell me the nice decorative bark I put around my shrubs in front (just a nice dark brown chipped bark material) was too thick around the shrubs, and she actually started filling buckets up with some of it! She was going to haul away my expensive bark! That's just one example. Plus, in just a few years the HOA fees went up significantly, because of some pet projects some of the board members had - like putting garage doors on carports that had been open carports for 20 years.

So, I'd personally, avoid condos. Plus, the board members are rarely people with real qualifications to handle the money they have to manage. It's frightening really. To get on the board, you just have to be a homeowner. No need to know how to manage thousands upon thousands of dollars.

Anyway, I love renting.
Your HOA sounds heavy handed which, fortunately, is rare. They do get a lot of attention because people that feel slighted are more motivated to spread the jeer, even embellish it. I am sure you haven't but it is common.

However apartments can control many more things than a condo HOA, such as wall color, flooring, counters, appliances, guests, occupants, price, and even if you can live there.

Renting is a good product works for quite a few people. Condos with HOAs is also a good product that works for quite a few people. A little different mindset but advantages for each.
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Old 02-25-2015, 05:50 PM
 
Location: Jamestown, NY
7,841 posts, read 7,547,694 times
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Quote:
Originally Posted by StealthRabbit View Post
The communities that provide 100% exterior Maint usually have a different ownership model, than Dell Webb / 55+ SFR community.

Most Del Webbs (and similar) do not DO the exterior maint of the home. The 'board / community' is full of people with a lot of time on their hands to inspect your property daily (sometime 4x/day) and TELL YOU when/ HOW to maintain the exterior of your home.

My mom had a place in a Good Sam 'owner' community for about 6 months. She and DH got stuck with medical issues (both hospitalized unexpectedly) 6 hours away from home and their newspapers were accumulating.
Rather than the neighbors picking up the papers and putting them in a box, the neighborhood had a big meeting and sent a 'court order' to require them to arrange someone to pick up the papers. (Corner case but not so rare).

Rent vs own... I will do as Mathjak and go co-op (Not for everyone). Since I only live rural, it will be a cottage community or a 'Homestead' co-op in a small town.

I will keep my Real Estate dollars in cash flowing commercial properties that allow me to rent where ever I happen to desire. (Or I will be carrying back the notes on existing income properties to fund my rents.)

I don't plan to be up on 30' ladders fixing roofs and trimming trees, or weeding flowerbeds when I'm age 80+.
I was visiting friends who bought in one. It's not my kind of place, but they seem to like it alot.
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Old 02-25-2015, 05:52 PM
 
Location: Jamestown, NY
7,841 posts, read 7,547,694 times
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Quote:
Originally Posted by jrkliny View Post
There seems to be some logic missing from the initial discussion. If you rent, someone else takes care of the maintenance. If you buy, it is not necessary for you to physically maintain the property. As most landlords do, you can pay to have someone else paint and do the other maintenance.
Exactly! In fact, I recently discovered that I really like painting the interior of my house -- why my part of the work is picking the color scheme and letting somebody else do the prep and painting!
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Old 02-25-2015, 06:46 PM
 
685 posts, read 584,627 times
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Quote:
Originally Posted by CRobin4564 View Post
We will be selling our large home when we retire. I don't really want to buy another home. I don't want the lawn care, the painting, the upkeep, etc. I would think about buying a condo but the place we are planning on retiring hasn't built any new condos since 1983.

Does anyone else rent rather than buy after retirement? No upkeep and if you want to travel you just lock the door and go.

What do you think?
When we first were together, we rented. No muss, no fuss.

I don't know how many houses I've lived in but enough. We moved from a small house to a bigger house (diff. state) five years ago (retired early). We rented a house - I had to mow and weed whack a hellish lawn. After a year, we bought a house and we keep waiting for the next thing to go wrong in it. We put a lot of money in it to head off problems when we first moved in. But I still had the lawn to mow and weed whack. I had carpenter bees that I take seriously and have to get over that but it's work either replacing the damage or whacking them (it was like a meditation for me). Tomorrow, I'll have the driveway to clear out the snow and slip a few times. The list of things to do is never ending. I'm getting too old for it all. What I do know, however, is our mortgage is set. It will never go up. Property taxes here go up every five years. The last time was $100.

The worst thing about an apt. is the neighbors above and/or below you and I'm not sure how much control you have over rent costs. It was the raise of the rent that caused us to move out of the rental house.
We've been talking about the next step and it will not be owning a home.

It's a tough decision. Brother, do I know that.

Good luck.
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Old 02-25-2015, 11:04 PM
 
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OP, I think if you want to rent -- rent. Tell us more about YOUR thoughts on it. Are you second guessing your gut? Retired or not there are some definite pluses to renting. Since you're talking about renting in retirement, I would ask do you see moving often, relocating once or twice, or barring neighbors from hell....would this be your forever rental? What works for you might depend on where you are in your stage of retirement, and whether you're looking ahead to possible future needs.
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Old 02-26-2015, 04:08 AM
 
75,695 posts, read 75,109,792 times
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I like having zero responsibilty and time devoted to housing maintaince.

I really do enjoy renting but i could just as easily enjoy co-op living in a building like ours .

It is only a matter of costs. Up until now i made way more money renting and investing elsewhere. The rent increases were tiny compared to what that money i invested elsewhere was bringing in .

But now that i am retiring that aggressive investing is no longer something i am doing so my benchmark has changed.

Now it is getting close to the point that if i spend 300k on a co-op that cutting costs to 12k a year compared to 20k renting may be the better deal since that 300k is no longer bringing in what it was.

Lifestyle wise it doesn't matter as both will be the same , it all boils down to whether renting with higher income or buying with lower housing costs and lower income will benefit us more .

in the end it is all about cash flow.

in reality we could stop renting a two bedroom apartment and rent a 1 bedroom and see the same improved cash flow as buying but i like having the extra space and can use it now for the grandkids staying over .
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Old 02-26-2015, 07:14 AM
 
Location: middle tennessee
1,992 posts, read 1,076,146 times
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"in reality we could stop renting a two bedroom apartment and rent a 1 bedroom and see the same improved cash flow as buying but i like having the extra space and can use it now for the grandkids staying over ."

I agree. I have an older duplex with two big bedrooms, high ceilings, and a big kitchen. It was a nice transition from the place I left, but I can see moving to a smaller apt if I ever want more cash and less house. If I liked to travel, I think I could be happy in a studio.

My rent includes utilities which is a big plus to me.
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Old 02-26-2015, 07:38 AM
 
Location: Near a river
16,042 posts, read 19,379,262 times
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We have opened the discussion of renting rather than owning when we get into our 70s. Our thinking is: (a) no maintenance of course (b) can concentrate on artistic pursuits rather than keeping up a property (c) ease of living on one floor (d) can really downsize possessions and keep life simple (e) can easily and safely leave the apt to travel (f) so much easier for our kids to dismantle our home when we pass away, with no home sale to have to deal with (g) can place home sale proceeds into an income-bearing vehicle, to pay for the rental.

Downsides for us: (a) in our 70s, we will have at least one dog (one is getting older and may still be alive), and it's hard to find rentals allowing dogs (b) the neighbors from hell are any neighbors who make noise and disturb my peace and quiet (i.e., I'm way too sensitive (c) landlord can sell and we would have to move in elderly years (d) rents do steadily rise but can also suddenly jump way up.

Where does this balance sheet point?
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Old 02-26-2015, 11:01 AM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
23,805 posts, read 41,468,835 times
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Quote:
Originally Posted by mathjak107 View Post
I like having zero responsibility and time devoted to housing maintaince.

I really do enjoy renting but i could just as easily enjoy co-op living in a building like ours .

...
in the end it is all about cash flow.

in reality we could stop renting a two bedroom apartment and rent a 1 bedroom and see the same improved cash flow as buying but i like having the extra space and can use it now for the grandkids staying over .

The co-ops I have researched and visited (CA / PNW / MN / WI) all have 'guest-qtrs' you can book / rent (some are free). Some also have in-house contract care agencies (7500 York, Edina, MN). In case your care need exceed the member help that is so common.

I have not visited the east coast co-ops, they may be structured more like an apartment.

Is the $300k share 'limited equity' or 'market rate' on east coast co-ops.?

7500 York is on their 3rd generation of share owners. Very affordable living for your grandkids. ! (No share price / purchase required... just the monthly reserves (Taxes, Maint, and Insurance).

I should make a trip back to check into NYC and Boston Co-ops. (I think I will wait for the thaw!)

When is preferred months? (I don't travel east of Missouri River June / Sept, but often come to NB, NS, ME, VT, to 'leaf peep' in Oct).
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Old 02-26-2015, 05:54 PM
 
75,695 posts, read 75,109,792 times
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co-op prices are all over the map. most are converted rental buildings and almost all have outstanding mortgages on them so your purchase price is only part of the cost of the apartment.

your maintaince covers the rest of the mortgage on your apartment.
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