patrick.net

RentingForHalfTheCost says

Hmm
Jobs, debt, deficit, Jobs, debt, deficit, Jobs, debt, deficit.

Serious question. Do you really believe that these issues will be solved in your lifetime? And if not, are you willing to rent forever?

I ask because similar sentiments were raised about the unsustainability of our trajectory after the great depression, WWI debt, the long depression, & the massive debt incurred in the war of 1812. Yet all those people are now dead.

Just because something is unsustainable (which it is) does not mean that it is imminent. In the year 301, Emperor Diocletian made a number of questionable decisions regarding the sustainability of the Roman Empire which his detractors said merely kicked the can down the road. It was over 1,150 years later when the empire finally imploded, and his detractors were finally vindicated...

Who cares how much he put down? It's all about positive cash flow. All he said was he is doing ok if rents cut in half. He will still be able to pay all his expenses. Of course he doesn't have to make his down payment again. Maybe he bought some cash too with no mortgage payments?

War, how do you know he's not telling the truth? Are you his accountant?

CashWillCrash says

Looks like people here are finding it amazing when their rent wasn't increased in 2-5 years. It's like having a 2 year ARM or 5 year ARM. Interest Only, never payoff. Ever considered a fixed rate mortgage? Same payment for life? You can get a mortgage right now for free (inflation adjusted).

Except your property taxes always go up, and your equity goes down. Not to mention you are stuck in the same dreary shit-hole dwelling and stuck to the same job. Nice try.

I would like to hear 'how to become rich by renting' because I just dont see that. Ever.

How to become rich in real estate? its pretty common even considering the recent downturn/turmoil.

CashWillCrash says

40 $Billion$ a month is not real money, just numbers on paper. My computer could do it almost forever....

Until the creditors came and unplugged it at least. ;)

CDon says

Serious question. Do you really believe that these issues will be solved in your lifetime? And if not, are you willing to rent forever?

I'll rent as long as it lets me funnel more money to investments (i.e. not housing). I will always have to pay a sum of money for shelter. I get that. However, I will always gravitate towards the cheaper option. Always.

Now, if my investments get me to a point where I really don't care about the financial part of housing, then maybe I will buy something with cash. Not because I think it is a good financial move, but because I want to do what every American does. Show off! Invite people over for a BBQ and show them my McMansion that has more bathrooms than bedrooms. Show off my sub-zero fridge that is really a standing version of a deep-freeze my mother always had in the basement. Hear the oohs and awhs as they check out my fancy oversized tiles and countertops, the outside BBQ, pool, fiber lighting, etc. etc. All, in an effort to show how well I have done. All because without the material goods, they wouldn't see that I was useful at all. :)

CashWillCrash says

Who cares how much he put down?

Opportunity costs!

CashWillCrash says

Looks like people here are finding it amazing when their rent wasn't increased in 2-5 years. It's like having a 2 year ARM or 5 year ARM. Interest Only, never payoff. Ever considered a fixed rate mortgage? Same payment for life? You can get a mortgage right now for free (inflation adjusted).

Problem is we were not supposed to be here this long. We hate LA, and both of our companies has been through 2-3 rounds of lay offs. Other problem is comp houses/neighborhoods (we started shopping a few months ago given the rates) is still going to cost $2000/mo more than our current rent, so it's same or worse than just keep renting.

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

Give it a rest troll. We aren't the same person, unlike you/Darrell/Realtors are... etc. etc.

War says

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

Well, I know I don't believe a word you say. How many times have you been banned so far? You must be so proud. Have you posted up a certificate of achievement in your parent's basement?

War says

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

Trolling troll trolls.

War says

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

Mummy is calling. It's time for your bath.

War says

Yup says

You better keep praying for appreciation!

Isn't it odd that "appreciation" was never associated with housing until Lereah and Yun made it a fashion statement.

In the meantime, the reality is houses depreciate. Rapidly....

THAT is the point that so many haven't seen, or don't want to see out of their own fear or remorse.

Ironic, speaking of depreciation, that no one questions the depreciation of a new car!

Yeah, houses never appreciate in value. Just ask all those people whose houses have appreciated in value.

War says

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

So Mummy has just got you out of bed. You better hurry. School starts soon. Or are you in the middle of your shift at the call centre?

War says

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

Don't forget your lunch money.

War says

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices.

Quick, run or you'll miss the bus.

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an establish liar pimping depreciating houses at inflated prices..

So it's a call centre.

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an established liar pimping depreciating houses at inflated prices..

Except my job has nothing to do with real estate.

You'll have to be quick responding - someone needs your help with their household appliance.

War says

LIEWog/Bigbsy.....

Do you really think that we believe anything you say?

You're an established liar pimping depreciating houses at inflated prices..

Warranty or technical support?

Reader says

THAT is the point that so many haven't seen, or don't want to see out of their own fear or remorse.

Because it is completely incorrect. Historically, houses appreciate at approximately the rate of inflation. Case Shiller proves this.

Deleting the (repeated) posts that I respond to once again, I see. That's a tired old routine, don't you think? You must be the least inventive and most repetitive troll on the internet.

Bigsby says

Deleting the (repeated) posts that I respond to once again, I see. That's a tired old routine, don't you think? You must be the least inventive and most repetitive troll on the internet.

I think you are calling the kettle BLACK because if YOU want to talk of trolling? Start by just looking at the ridiculous volume of your idiotic one liners on this thread alone.

It is clear who you are.

Reader says

I think you are calling the kettle BLACK because if YOU want to talk of trolling? Start by just looking at the ridiculous volume of your idiotic one liners on this thread alone.

It is clear who you are.

Jog on Reader. They were responses to repeated trolling posts by your best mate. He posted. I responded. He then deleted them. I presume that people aren't supposed to respond to your best mate's repetitive attacks. Strange that you never comment on his trolling. Why is that?

And it's clear what you are.

well it used to be a real estate discussion board, now its more of a 'DONT BUY ANYTHING, EVER BECAUSE EVERYTHING IS A RACKET' board.

of course everything is a racket. duh.

Some of you act like rubes who just moved to the big city. "dont trust no body here, they is all liars n theives! a man promised me he would find me a place to stay for $20 and he dissappeared with muh money!'
hahaha

PockyClipsNow says

of course everything is a racket. duh.

No, there are people out there who are hardworking, pay their bills, help their fellow man, are not greed oriented, don't do anything and everything to try to sucker people into debt with fear or lies and/or lead them into bankruptcy to make a fast buck, and therefore such people do not play part of such rackets.

Everything is NOT a racket THAT is the bigger point to make clear. It's all about not falling for the bullshite and saving your own arse.

PockyClipsNow says

well it used to be a real estate discussion board, now its more of a 'DONT BUY ANYTHING, EVER BECAUSE EVERYTHING IS A RACKET' board.

of course everything is a racket. duh.

Some of you act like rubes who just moved to the big city. "dont trust no body here, they is all liars n theives! a man promised me he would find me a place to stay for $20 and he dissappeared with muh money!'

hahaha

Another property tax bill is coming in the mail soon. Save up.

War says

LIEwog, you forgot to log into the other account.

You are a very boring troll. There's only one person on here with multiple accounts and everyone is perfectly aware that is you. Now why don't you run along and do another one of your searches for a single neighbourhood with a monthly decline so that you can post up yet another of your ridiculous threads.

War says

Can I stay Liewog/bigsby? Please?

You've already been banned numerous times, so obviously you can stay.

PockyClipsNow says

I am prepared to lose 300k if rates rise, prices tank, and I end up facing a 7% mortgage payment (oh the horror). If that happens and I cant get a loan mod, then after squatting for free for 2-7 years I will buy a better home at the new '50% disount' and actually be better off in a nicer house, with a lower tax rate.

Meanwhile I will not be renting anymore.

This totally makes sense in CA since they will not come after you for a deficient judgement anyway. All you lose is your down payment. I will call it an even (financially) if you squat for two years afterwards. But be aware for people in other states. This kind of strategy could back fire on you.

Bigsby says

What's fuzzy about $2000 back on a $1000 outlay?

No one talks about the hidden costs of renting in a dump neighbourhood. Just the same as no investor talks about his loses.

When you see someone beating their chest trying to show how great a deal they got, it is a good chance they are bullshitting you. I am a landlord, know many landlords, it is not that good. It is a choice of where to put your money. I hate these people that come on and say they are amazing, they timed it perfect. They remind me of the 30 minute info-mercials at 2am. They can do no wrong. The more they spend time here trying to convince everyone to act like they do, the more I see them for their insecurities and weaknesses. The people that are making money out there are not on here trying to use it for power and to create a following. They are enjoying their money. Enough said.

RentingForHalfTheCost says

When you see someone beating their chest trying to show how great a deal they got, it is a good chance they are bullshitting you. I am a landlord, know many landlords, it is not that good. It is a choice of where to put your money. I hate these people that come on and say they are amazing, they timed it perfect. They remind me of the 30 minute info-mercials at 2am. They can do no wrong. The more they spend time here trying to convince everyone to act like they do, the more I see them for their insecurities and weaknesses. The people that are making money out there are not on here trying to use it for power and to create a following. They are enjoying their money. Enough said.

And yet you say you're a landlord.

Bigsby says

RentingForHalfTheCost says

When you see someone beating their chest trying to show how great a deal they got, it is a good chance they are bullshitting you. I am a landlord, know many landlords, it is not that good. It is a choice of where to put your money. I hate these people that come on and say they are amazing, they timed it perfect. They remind me of the 30 minute info-mercials at 2am. They can do no wrong. The more they spend time here trying to convince everyone to act like they do, the more I see them for their insecurities and weaknesses. The people that are making money out there are not on here trying to use it for power and to create a following. They are enjoying their money. Enough said.

And yet you say you're a landlord.

5 times over. However, all of my places are in an area where owner costs are very close to renting costs as it should. BTW, none of them are in this crazy socialized housing country.

PockyClipsNow says

Price: 875k
$ Financed: 700k

Loan: 5/1 Interest Only ARM at 2.875 with .25 points (union bank)
Payment: 1677
Prop tax: 912
total: 2588
(im in 28% effective tax bracket so 2588 * .72 = 1863 'after tax write off payment')
Add fire ins of 129 per month and total pmt after tax write off = $1992

The only downside I see is what if inflation pressures kick in along with interest rate increases. (but not real estate inflation).

This has happened in the past.

If interest rates go up and prices go down, then you're in trouble.

Not trying to troll you,...just saying,...that's where the risk is in your strategy here. Otherwise it sounds pretty good.

RentingForHalfTheCost says

5 times over. However, all of my places are in an area where owner costs are very close to renting costs as it should.

Then why are you taking digs at someone whose ownership costs are far less than rental income? He's seemingly made a much better investment than you. He's RentingOutForDoubleTheCost.

robertoaribas says

you know you are a freaking idiot, right?

hear hear!!! If I purchase an investment that goes down in value, but still makes 2-3X the return of inflation every month.. I ain't gonna be crying myself to sleep over it.

Congrats Pocky!
Damn you spending that Railroad money.
Though 700K sounds like a lot, it sounds like you gotta a lot for you're money. Out of my league but it sounds like you lived up to my house buying motto. I want the most for the least money.

robertoaribas says

RentingForHalfTheCost says

When you see someone beating their chest trying to show how great a deal they got, it is a good chance they are bullshitting you.

so let's see: if someone says:

" i bought a home, and its a terrible deal" they are telling the truth.

BUT, if someone says:

" I bought a home, and its a great deal" they are of course lying...

you know you are a freaking idiot, right?

Idiot, because I think real estate in this country is one of the riskiest places to put your hard earned money and also throw in a 5-1 leveraging on top of it? You would be safer buying pork belly futures. You can have your opinion Roberto and not be an idiot, but apparently anyone that differs from you is one. Good luck to you Roberto, you will need it over there in Phoenix if my predictions come true.

gbenson says

robertoaribas says

you know you are a freaking idiot, right?

hear hear!!! If I purchase an investment that goes down in value, but still makes 2-3X the return of inflation every month.. I ain't gonna be crying myself to sleep over it.

Keep praying ever night that you can get more and more friends to join the greatest national ponzi scheme. Don't be surprised if it all collapses though.