Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Ummmmmm.............historical averages show that this statement is completely wrong. It is mind boggling how wrong it is.
Prior to the most recent bubble, since the Depression, real estate, on average, has increased minimally - certainly not enough to cover ownership costs like taxes, insurance and repairs. I'd wait until the bottom is finally reached before making a judgment call on how "mind boggling" the incorrectness of my statement is.
Charlton Dude, could you please elaborate on clay soil causing problems to homes? Do you mean settling effects? I'm a newbie to home ownership! You mentioned nc clay - I know Clayton has a lot of red clay soil (not to mention rocks ), but I thought the soil in say, Cary, has less clay and is considered better soil.
Prior to the most recent bubble, since the Depression, real estate, on average, has increased minimally - certainly not enough to cover ownership costs like taxes, insurance and repairs. I'd wait until the bottom is finally reached before making a judgment call on how "mind boggling" the incorrectness of my statement is.
This is where everyone keeps making the same mistake. Say we take a low appreciated rate of 2%. 2% is not your rate of return. The ENTIRE value of the home receives the appreciation rate of 2%, but if you only put 20% down on the home, then your rate of return on your investment is actually 5 times the appreciation rate of the home. So 2% is in reality 10% rate of return on your actual investment.
A case in point on costs is my home. I pay $200 less, including taxes, insurance and association fees, than it costs to rent a comparable home. This is a direct comparison in my own neighborhood. So I am saving $200 per month in costs and then I get a HUGE write off which goes directly in my pocket. Add to that the fact that I own a new home complete with warranty. I always try to buy new. In all my years of home ownership, I have yet to have any major repair.
And how is one to know when the so called bottom has hit? There is only one way and that is to look "back" at it.
Last edited by Charlton Dude; 12-23-2008 at 11:30 AM..
Charlton Dude, could you please elaborate on clay soil causing problems to homes? Do you mean settling effects? I'm a newbie to home ownership! You mentioned nc clay - I know Clayton has a lot of red clay soil (not to mention rocks ), but I thought the soil in say, Cary, has less clay and is considered better soil.
That was another poster that mentioned the clay soil, but I can help explain this. Clay soil expands and contracts a lot, putting pressure on a foundation. IMO, the best foundation to handle this is a slab on grade, as it "floats" with the movement, However, a slab is harder on your feet and eliminates your access underneath. I do find it warmer in winter and cooler in summer, though. Another drawback are the 'soft" engineered flooring used with them. The next best foundation to handle the clay is a crawl space. It is not deep, so there is less area for structural damage, however it is more susceptible than slabs are. However, you can have solid hardwoods with them and have access under the flooring. The worst possible foundation to have with clay solid is full basement. It has the most contact with the clay and stands the greatest chance of damage.
I don't know how much more or less clay there is in Cary vs Clayton.
There is much debate on this issue and this is only my opinion. However, I did stay at a Holiday Inn recently, so I feel like I am correct.
Charlton Dude, could you please elaborate on clay soil causing problems to homes? Do you mean settling effects? I'm a newbie to home ownership! You mentioned nc clay - I know Clayton has a lot of red clay soil (not to mention rocks ), but I thought the soil in say, Cary, has less clay and is considered better soil.
The soil compacts after construction, and slabs settle unevenly. Some damage is cosmetic. Other issues can be structural or involve plumbing when underground pipes are involved.
If you listen to the radio ads for foundation repair, you'll understand the frequency of these problems.
Builder warrantees don't cover this. Be sure a qualified inspector or engineer assesses the soil where you intend to buy.
We sold our house in NJ over the summer. We ended up paying the buyer's closing cost, down payment, all inspections (and they got to choose who they went with for everything), and take a low offer. It's just the nature of the market right now. And our realtor's office was unwilling to negotiate the commission, even though we did all of the work to get the house sold. It's up to you what you are willing to accept. For us, we estimated what we would need to move down here and worked backwards to get to the absolute minimum that we could accept (and utimately that is what we sold the house for after accounting for all the other stuff we paid for). Good luck!
Yep.
Just like most other markets.
Some buy low and sell high.
Some buy high and sell low.
Getting out of NJ is worth whatever it takes. We once lived next to Camp Kilmer for 10 months. What a releif to leave, even though the destination was New Orleans.
I've lived in Raleigh/Cary for over 30 years. I've owned 5 homes. I have never had any foundation issues.
I remember last year, during the drought, that some people were saying that the soil around your foundation should be watered on occasion to keep the foundation from cracking. I didn't get this verified because I didn't run into this with any homes that I sold. I still wonder if this is accurate or just an "old wives' tale".
I've also never heard that I should empty my hot water heater before reading it on this forum. I'm still asking inspectors and don't have a "yes" from anyone yet. I've only asked two.
I did have an inspector tell a client (who was from Calif.) that with the red clay, you never have to worry about your house sliding off a hill!
So, before I'd tell anyone if these are true issues or not, I'd want to hear from a professional.
I've lived in Raleigh/Cary for over 30 years. I've owned 5 homes. I have never had any foundation issues.
I remember last year, during the drought, that some people were saying that the soil around your foundation should be watered on occasion to keep the foundation from cracking. I didn't get this verified because I didn't run into this with any homes that I sold. I still wonder if this is accurate or just an "old wives' tale".
I've also never heard that I should empty my hot water heater before reading it on this forum. I'm still asking inspectors and don't have a "yes" from anyone yet. I've only asked two.
I did have an inspector tell a client (who was from Calif.) that with the red clay, you never have to worry about your house sliding off a hill!
So, before I'd tell anyone if these are true issues or not, I'd want to hear from a professional.
Vicki
Vicki
Here's a snippet about draining:
Most water heaters die because mineral deposits in your water settle in the water heater and cause problems. Draining it a couple of times a year is a good idea, and this practice can get rid of a lot of these deposits.
There is a procedure to follow to prevent damage that should be in your heater's owner manual.
My super says most folks never drain them, but it's a good idea.
I remember last year, during the drought, that some people were saying that the soil around your foundation should be watered on occasion to keep the foundation from cracking. I didn't get this verified because I didn't run into this with any homes that I sold. I still wonder if this is accurate or just an "old wives' tale".
We had a licensed engineer out to inspect our foundation after seeing cracks in it a couple of years after its last repair -- this is an issue common with other historic homes in our neighborhood. He assured us that our cracks were normal and were indeed exacerbated by the drought, and that they'd improve when the drought ended and the soil water levels returned to normal. He didn't suggest watering the ground around the house, though!
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
clay soil?
), but I thought the soil in say, Cary, has less clay and is considered better soil.
