How does anyone afford to buy a house on this island?? (New York: 2014, good credit)
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It's fine if you want to play in a market that has seen over 29 weeks of net outflows... Well in excess of $80B has been taken out over the past 6 months plus and there's no logic in a market dominated by churn, quote stuffing, high frequency trading, and insider corruption. It's completely broken and being manipulated by the Fed with daily POMO. The FBI is all over hedge funds and it's going to hit mainstream soon enough.
If you think playing your tiny trades against computer algorithms is profitable over the long run, more power to you... Just don't pretend you're doing anything but gambling and recommending it to others without some type of disclaimer. These computers will take a stock down in sub second time as the consistent flash crashes prove.
Hey, hey, slow down, champ.
You know, investors and traders continue to make money. If anyone loses money, it's his/her own fault. Nothing to do with the computers or the ponzi scheme architects.
It's a question of how good you are. The artful win, the clueless lose.
I am good. I continue to make money and I will, despite the setbacks that can be part and parcel of the activity.. If you are advising against it, you're not as good, neither have the stomach to make money on shorts or hedges. I've made money even shorting blue chip stocks.
But don't hijack this thread about your doomer diatribes about the stock market just coz "you" lost money
I was merely trying to help the OP come up with ways to fund his home investment (given the similarity of our situation and how I am seeking to garner money to buy my own house), which you will say is another scam, given all the mortgage crisis. Whether he makes money or not is up to his skills, we're all here to exchange ideas. If you have lost money in the stock market, get over it and try learning from people who haven't. Again, this thread's not about the stock market scam. You're welcome to bring it to the investing board, I'll meet you there.
In one breath you say that you contemplated a move down south but heard bad things about the schools. In the next breath you say that you can't move because of family.
Think of YOUR children and YOU be the one in your family to break away from this oversold piece of paradise.
Lastly, do yourself a favor and tune out the nonsense about schools in other parts of the country being substandard. The individuals from which these kinds of comments originate from are, generally speaking, not ones who's advice is likely to be valuable.
I'm curious, what areas are you referring to that compare to LI standards? Because most of the low COL areas in the south are retirement communities... dominated by Boomers that don't care about the fact that their schools are sub-standard.
I think some people are overlooking the fact that salaries are much higher in the NYC area. If many people were to move to other areas, their salaries would decrease and the "cheaper" house would really cost around the same since the mortgage payment would most likely represent the same salary percentage. If anyone has any information on this (salary vs. housing prices), post up :O)
I think some people are overlooking the fact that salaries are much higher in the NYC area. If many people were to move to other areas, their salaries would decrease and the "cheaper" house would really cost around the same since the mortgage payment would most likely represent the same salary percentage. If anyone has any information on this (salary vs. housing prices), post up :O)
That probably depends on the industry. My DH is self employed, so no change in salary when we moved.
Years ago I worked for a company and we had to go to "corporate" for training - we had been told time and again about our "pay differential" since we lived in such an expensive area. THe kid who sat next to me at corporate training was from a rural part of S.C. and he made $2000 a year less than me. Hardly a huge difference in compensation. Works out to less than $200 a month - before taxes.
My sister's friend moved to NC 2 years ago and got an accounting job paying more than she made on Long Island. She also paid cash for her house when she moved here.
Things are probably differnent when you're talking about public sector jobs and Wall Street types jobs. But if you're an established worker and homeowner on Long Island, you can probably sell your house on LI and pay cash elsewhere with money leftover so it's a wash. Not to mention the differential in cost of taxes, utilities and insurance. I'm saving a bundle just on those.
Very accurate. Public sector jobs are usually above scale pay-wise compared to the private sector & Wall Street jobs, as we all know, have pay scales off the charts as those companies basically steal tons of cash illegally but get away with it because they are sleeping w/the White House.
Quote:
Originally Posted by twingles
That probably depends on the industry. My DH is self employed, so no change in salary when we moved.
Years ago I worked for a company and we had to go to "corporate" for training - we had been told time and again about our "pay differential" since we lived in such an expensive area. THe kid who sat next to me at corporate training was from a rural part of S.C. and he made $2000 a year less than me. Hardly a huge difference in compensation. Works out to less than $200 a month - before taxes.
My sister's friend moved to NC 2 years ago and got an accounting job paying more than she made on Long Island. She also paid cash for her house when she moved here.
Things are probably differnent when you're talking about public sector jobs and Wall Street types jobs. But if you're an established worker and homeowner on Long Island, you can probably sell your house on LI and pay cash elsewhere with money leftover so it's a wash. Not to mention the differential in cost of taxes, utilities and insurance. I'm saving a bundle just on those.
At 100k a year you can't afford a house on Long Island unless you have very streamlined expenses. A bank won't typically let you spend more than 40% gross income on home/car/loans/credit cards/property taxes/mortgage insurance.
So let's do a little math:
$40,000/12 = 3,300
Let's say your Credit cards/student loans/car payments all equal $1,000, which is a very conservative number from my experience, that leaves you $2,300/month
Well if the taxes are 12k for the house, that leaves you $1,300 for the mortgage, which also includes mortgage insurance. Every bank will demand that unless you have 20% to put down. At .72% of the loan per year that can equate to $200/month for a 275k loan. That leaves you the ability to purchase a $1,100/mortgage. That buys you a piece of junk on Long Island. It just ain't worth it. Now, your spouse can add an income, but won't help towards your loan qualification because the bank will want long-term employment history.
Really, you're in a tight spot. Because, you can't afford too much on Long Island, but if you wait too long interest rates will rise and 1% increase in interest on a 300k mortgage will equate to $250/month more in interest costs. Effectively pricing you out of any market you are barely in as of now.
I hate to be the bearer of bad news, most people in their 20s aren't doing it. That's the simple fact. Starter homes are rare on Long Island. For one, most of the starter homes were added on to as the boomers had more kids. And the ones that didn't add onto couldn't afford to upkeep the property, so they are usually in huge disrepair. That's the reason why young people are leaving in droves.
You know, investors and traders continue to make money. If anyone loses money, it's his/her own fault. Nothing to do with the computers or the ponzi scheme architects.
It's a question of how good you are. The artful win, the clueless lose.
I am good. I continue to make money and I will, despite the setbacks that can be part and parcel of the activity.. If you are advising against it, you're not as good, neither have the stomach to make money on shorts or hedges. I've made money even shorting blue chip stocks.
But don't hijack this thread about your doomer diatribes about the stock market just coz "you" lost money
I was merely trying to help the OP come up with ways to fund his home investment (given the similarity of our situation and how I am seeking to garner money to buy my own house), which you will say is another scam, given all the mortgage crisis. Whether he makes money or not is up to his skills, we're all here to exchange ideas. If you have lost money in the stock market, get over it and try learning from people who haven't. Again, this thread's not about the stock market scam. You're welcome to bring it to the investing board, I'll meet you there.
Plenty of people are making fiat currency. heh
Points taken and I'd just say that context of the thread was my shock that someone would advise using the market to make extra cash to buy a house.
Quote:
Originally Posted by Walter Greenspan
Have you ever heard of selling short, or buying puts or vertical put spreads?
Selling short against the Fed's book isn't probably a good idea. They just print more when they need it. My main point is that nothing is running on "fundamentals" anymore - it's based on QE and POMO.
I'm curious, what areas are you referring to that compare to LI standards? Because most of the low COL areas in the south are retirement communities... dominated by Boomers that don't care about the fact that their schools are sub-standard.
And middle class areas are just fine for the most part. Using Ms. SC, who probably doesn't take too much scholastic pride, is like me saying that the kid around the corner from me who didn't know his ABC's in 3rd grade is indicative of LI schools.
Analyst 2yrs --> MBA or Associate 2yrs --> VP "X" yrs --> Managing director --> Cold Spring harbor
Or
Take giant risks--> work A$$ off 8yrs --> potential success or welfare checks
Just a few ideas, joking obviously. Although 4 out of the 7 houses on my block are owned by MD's at Investment banks, i've also only seen them about 4 times in the 6yrs i've been here, soo do the math haha.
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