Detroit Housing Market

[djmilf]

Paddington, sorry to hear about your health situation. I once knew someone who had the same sort of condition...some might have called her a "neat freak" but it was more out of necessity than compulsion.

Sorry to say, but new housing always cost more and new housing builds are almost always large and out in exurbia. Even when they're in town they tends to be "big-foot" house.

[specialem]

i was actually considering this as well, because i looked at apartments in ann arbor, and honestly it wasn't THAT much cheaper than areas of california, given the job resources, but it was a little bit better prices.

But then again, that is ann arbor and much different than Detroit. I absolutely have no problem living in detroit, although i might need to get a different car, that is not so likely to get broken into(honda civic) which i have had problems in the 'safest' city of san jose, ca.

But, as an aspiring teacher, with some pretty big hopes, i was wondering if it would be possible if my fiance and i could now, or close to now, actually buy a house? I really don't know much about the average, but all i need is a small house, 2 bedroom, one bath would be wonderful..

i just came back from dearborn, so all i know are the prices around there and around ann arbor, but detroit, is another topic altogether.

[OhEdo]

I have never understood people's obsession with "owning" a home if they have no long term plans to stay in it. People talk about building equity in a home (for what - more collateral against which to borrow??), but if the value goes down, as it is now, many end up in a negative equity position! Unless you are a professional developer/speculator, looking at a home purchase as some sort of investment in which you can live is misguided. It is precisely that sort of thinking that has led to the current debacle, even worse in areas such as Las Vegas and Arizona than here in Michigan where it did not get quite so speculative. Yes, you get the mortgage interest tax breaks, but compared to the cost of various fees at purchase/sale, property taxes, insurance, maintenance, lack of flexibility with a mortgage and exposure to the whims of the marketplace, renting starts to make a lot more sense. The only thing you have to worry about is the stuff in your rented residence, not the residence itself. The only true risk I can see is getting stuck with a bad landlord who does not maintain a place or defaults on the loan then the bank comes in and throws you out without refunding your deposit. I don't know how the laws work in Michigan in such a situation, but I have heard of exactly such a thing happening in California.
There are situations, such as when you retire or otherwise have no intentions of moving anywhere, that buying a home can make sense, but otherwise home ownership is overrated.
Most people lease cars nowadays without giving it a second thought because it is in many ways easier than owning. Why don't they make the same decisions about their homes? One way to make the decision is to compare similar properties, one for sale and one for rent, and compare the costs of living in both. If it seems cheaper to buy, then maybe then it makes economic sense to do so (although there are still the inherent risks).
Having said all that, though, a down market like now is always a good time to buy!

[J_S_B123]

Here's some insight to that question. I've always rented. I'm at a point in my life that I want to leave my stuff some where even if I'm not there. I want to do what I want to the property. If I want a garden I will put one in with out having to negotiate with other tenants or a landlord. If repairs or even improvements are what I think are needed then they will get done. I want to plant a tree and know it won't be cut down at least until I'm dead and gone.

I understand it may not be a "good investment", but I'm paying rent as it is, so I figure if I pay less than I am now paying rent on a house I "own" even if I end up walking away from it I'm not really out anything. The trick is can I own for less than my current or historical rent trend. I think so.

[kimba01]

Some feel that paying someone else to live in their home is a waste. Same with leasing a car. Plus, if they can't sell they can always rent it out.

I agree with the maintenance and fees.

[beck952]

My uncle paid $54,ooo in 1988, we are listing his home at $49,000.

I don't see how buying now can hurt it seems a good time to buy to me.

[lovindfw]

Well, I am trying to sell my house in Fort Worth while I am up here this week looking for a rental home. We just dropped the price on my home in Texas...so much for appreciation. After I rent for a couple of years, I may look into buying again but definitely not now.