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I've already taken on seven roommates here and there is literally no place I can afford to move into.
Of course there is. But it would entail unshackling yourself from the computer and using all the time you spend bleating about life's inequities in working a second job. This may be a totally alien concept to you but it's one which has proven successful for centuries.
One man's tax incentive is another man's tax penalty. Not to mention social engineering. For every renter, there is a person who owns at least two properties, while the renter owns zero properties. For every renter, there is a redistribution of income from one person to another person - corporations are people too.
Low income housing tax credits have limited duration; many once-affordable housing properties have long ago become unaffordable when the tax credits expired and rents necessarily skyrocketed.
The private sector is entirely capable of building affordable housing. Their failure to do so both a failure of government and a failure of capitalism.
As I said, the mortgage interest deduction is only the tip of an iceberg of homeowner freebies. Homestead exemptions apply to ALL homeowners with or without a mortgage, these are of greater value to homeowners than is the mortgage interest deduction.
You are not reading what I am saying.... and haven't read the code
There were both tax incentives in the tax code in 86 for both low income renters and homebuyers. As I mentioned above, you are starting to look like a fool. Let me spell it out for you... The code was specifically bounded in such that the target for the tax incentive of homeownership is aimed directly at the middle class. The same middle class that historically brings stability in communities and economic progress. All classes poor, middle, and wealthy benefit from this.
Your use of the term social engineering is also incorrect. Please look up its definition.
Your use of risk in the context of this discussion is also incorrect. You are also mixing up rental and owner occupied properties in your rant. The mortgage interest you are criticizing is not the same as the tax credits (business) for rental properties. When it comes to rental property risk, the owner of the rental property assumes ALL risk.... property and mortgage if contracted. As a renter, you assume no risk as you have no obligations to a mortgage contract / property tax. As for owner-occupied mortgages see my previous paragraph and previous post.
And if you really want to make this a right vs left thing.... it was the conservatives in the 80s pushed for the low income housing credit.
Quote:
Renters experience greater risk than homeowners. Homeowners enjoy fixed P&I payments with a fixed-rate mortgage, while renters always face the inherent risks of rent inflation and displacement. Homeowners always will have a roof over their head without a mortgage hike, while renters are at the mercy of both the market and their landlord.
Really? Don't we have a high incidence of bankruptcy and foreclosure these past several years? Rising property tax which is used to fund the community?
Your pretty much whining at this point.... construing everything to your own personal bias. Basically you are finding it difficult to obtain homeownership so you are feeling left out. If you talk to ncole1, she/he can explain the other side... the benefits of being a renter that far outweighs home ownership. Perhaps you will feel better afterwards.
??? ??? ??? ??? ??? I've already taken on seven roommates here and there is literally no place I can afford to move into. Get assistance my *****ing ***, the waiting lists are ten years long.
I've already downsized a half dozen times, what happens when there's no further downsizing options? I'm down to a basement room in an 8-person house.
That homeowner can live for free by renting out rooms; I know several who have successfully done this.
Not workable in all areas, especially when you factor in all the hidden costs.
Not workable in all areas, especially when you factor in all the hidden costs.
There are no "hidden costs" to home ownership. All the associated costs are easily found. There are many, many landlords who do not think about things like maintenance, taxes, and repairs between tenants. But them not doing their homework is their problem, after all.
Owning rental property is essentially the smallest of small business. (Anything smaller requires a lemonade stand or a case of product samples such as vitamins.) Anyone who cannot make investment property work shouldn't try any other kind of business. Cash flow is cash flow, after all.
There are no "hidden costs" to home ownership. All the associated costs are easily found. There are many, many landlords who do not think about things like maintenance, taxes, and repairs between tenants. But them not doing their homework is their problem, after all.
Owning rental property is essentially the smallest of small business. (Anything smaller requires a lemonade stand or a case of product samples such as vitamins.) Anyone who cannot make investment property work shouldn't try any other kind of business. Cash flow is cash flow, after all.
There are still hidden costs - opportunity cost of time and capital, and vacancies. A good example of a genuine hidden cost is transportation, especially if the landlord does repairs him/herself and needs a truck for it.
Cash flow is also not really relevant unless liquidity is tight - it is overall change in net worth that matters in the long run.
You are not reading what I am saying.... and haven't read the code
There were both tax incentives in the tax code in 86 for both low income renters and homebuyers. As I mentioned above, you are starting to look like a fool. Let me spell it out for you... The code was specifically bounded in such that the target for the tax incentive of homeownership is aimed directly at the middle class. The same middle class that historically brings stability in communities and economic progress. All classes poor, middle, and wealthy benefit from this.
Your use of the term social engineering is also incorrect. Please look up its definition.
Your use of risk in the context of this discussion is also incorrect. You are also mixing up rental and owner occupied properties in your rant. The mortgage interest you are criticizing is not the same as the tax credits (business) for rental properties. When it comes to rental property risk, the owner of the rental property assumes ALL risk.... property and mortgage if contracted. As a renter, you assume no risk as you have no obligations to a mortgage contract / property tax. As for owner-occupied mortgages see my previous paragraph and previous post.
And if you really want to make this a right vs left thing.... it was the conservatives in the 80s pushed for the low income housing credit.
Really? Don't we have a high incidence of bankruptcy and foreclosure these past several years? Rising property tax which is used to fund the community?
Your pretty much whining at this point.... construing everything to your own personal bias. Basically you are finding it difficult to obtain homeownership so you are feeling left out. If you talk to ncole1, she/he can explain the other side... the benefits of being a renter that far outweighs home ownership. Perhaps you will feel better afterwards.
If the risk is too great for landlords to bear, they are free to sell their properties and put their money in less risky investments. Clearly, most landlords prefer the profits they are enjoying. I would take on the risk of home ownership if I could, beats the pants off ever-rising rents.
Yes, all markets are local, everyone's situation is different, and their housing needs change as they pass through various phases of life. But never being able to buy a home is usually a bad situation in which to be.
Well So many are saying that the middle class is Oxnard is at that amount of money. I keep saying that Oxnard is not really middle class and to live in the middle class with the cost of living in Oxnard it would cost way more. My projections are that we would need to make about $200,000 to live in the middle class. What people may not realize is that many when they hit those numbers in Oxnard end up moving to another part of the city, lets say the River Ridge track, Victoria Estates, or the beach. Or they end up leaving Oxnard for Camarillo, Moorpark, or Thousand Oaks.
I realize for fly over country that is hard to grasp or understand. When you can buy a home for $100,000.00 , raise a family, take a vacation every so often, have money in the bank, fund your retirement, save for a remodel of your home, buy a new car once in a while, all on $48,000 and you feel rich then maybe you are a part of the middle class.
When you barely get by on $48,000 and can't afford to buy clothes for you or your family, when you shop at thrift stores for everything and are happy that they put in another .99 cent store, when you could care less about health insurance because you know you qualify for the free stuff, when you don't have to worry about what your kids are going to eat because your income allows you to have them eat for free at the cafeteria at school, when you are hoping that the tires last on the car untill your tax refund comes in, when you hope the gas in the tank will last because you can't take the bus to work, or when the tank runs empty and your wondering how the bus system works and how far you will have to walk, when you are wondering how you will feed your kids in the summer when school is out because breakfast and lunch are no longer covered, when you could care less about thinking about retirement because with your income that is a fantasy, when you do check the couch, laundry, and any other place for change and paper money that you may find because you want to get a gallon of milk, when all those things happen and you are only making that $48,000 that is supposed to have made you a part of the middle class then you start to realize that you are far from the middle class.
feel free to come on out here to lowly Oxnard California and try to live a middle class lifestyle on $48,000. My wife and I tried living on $60,000 and barely made it. We lived within our means and did not have smart phones, we did have 2 pay as you go phones. we had free cable, no internet at home. Oh and yes we did have all those kids at home, five of them are still at home with us. Now that we make a lot more we own a home. we could have never done that on $60,000 here in Oxnard. We did buy our home as first time home owners, to do that we had to have a low income. Guess what the state considers a low income for Oxnard? We were not allowed to make more than $120,000 when we bought our home or we, where would have been making too much. Even the state considers $120,000 low for a home owner.
I concur. I bet you have a strong reaction when certain politicians repeat the phrase that we must raise taxes on "millionaires & billionaires" and yet when legislation is written, it snares you in as well.
??? ??? ??? ??? ??? I've already taken on seven roommates here and there is literally no place I can afford to move into. Get assistance my *****ing ***, the waiting lists are ten years long.
I've already downsized a half dozen times, what happens when there's no further downsizing options? I'm down to a basement room in an 8-person house.
That homeowner can live for free by renting out rooms; I know several who have successfully done this.
but you are a financial failure and there is no example you could dream up that will work in your case. once you dig a hole and get yourself in it the way you did there is no way out and any conventional wisdom will not apply , it can't.
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