patrick.net

Are you renting?

I want to buy a $300 ~ $400k house some time next decade.

What sold for $325K in 2000 is now on the market for $500K.

Eg:

http://www.zillow.com/homedetails/2714-Huntington-St-Bellingham-WA-98226/52644074_zpid/

As long as properties like this decline 4% a year I'm better off renting -- it's like free rent.

Now, whether or not inflation will establish itself *in the housing sector* next decade is an interesting question. Maybe, maybe not, but the only way for houses to go up from here is increasing after-tax incomes or wacky new buying helps like permanent tax credits and such.

The latter is a lot more possible than the former.

Land prices can only respond to surplus incomes, and I think we're going to have a lot less of that next decade.

With this kind of patience, grows money in the bank.
Withdraw some and recreate that classic Bank Robbery movie scene with your wife, go rent a Hotel room and spread some cash out on the bed. Then give your wife a good what for on top of the pile of money.

The other thing I'm doing a lot is looking over the Business for sale section on Craigslist, I haven't found any Ideas yet. But I would totally spend every cent on the right business opportunity that struck me as either "Cool" or "Doabale".

I would pour all of that energy that would go into a house into that business, and if I made a go of it. I would pay cash for my house, after I made it in profits.

Just buy it with no money down. If it doesn't work out just stop paying your mortgage, and live for free while you scout your next house.

Thx for the posts. Interesting ideas. I'd like to hear more.

@Troy, yes I currently rent and it is getting so very old. I feel like I am getting so very old too as this thing takes forever to play out.

@Tenouncetrout (aka 10 lb Bass): I love how you automatically assumed that I am a dude. Or maybe you think I am a female in a same-sex marriage. Either way, you would be wrong. Funny how that is not the 1st time that has happened to me on this forum.