patrick.net

Bumping this because of the posting problem that Patrick mentioned.

I, too, feel your frustration over landlords renting out houses they can't afford to keep. This is why I would never sign a month-to-month lease on a rental in a city that doesn't have a just-cause eviction ordinance like Oakland and Berkeley (as an aside, I'm not advocating these. I think they're bad policy). If you had a year lease, the bank would be powerless to kick you out even after foreclosure.

I can't tell you what to do, but two things I would keep in mind:

1. You do not want to put yourself in a situation where you need to buy within a certain timeframe to avoid becoming homeless. This is a recipe for settling on a house you don't want, or a bad price - first rule of negotiation, always be willing to walk away.

2. If you do sign a year lease and then buy a place, the landlord has very limited legal recourse. They must actively try to re-rent the place, and can only come after you for lost income until it's rerented. Unless your rent is above market, they should be able to rerent it quickly, limiting your liability to a couple K at most, and possibly 0.

Play lets make a deal mr/ms landlord. or good luck getting another penny from your rental.

that's all part of the flexibility

I think a big part of your problem is the 4BR requirement. I actually prefer 2 large BR to 3 (or 4!?) tiny ones. I suppose my lifestyle is different from yours, however. No kids. Still , do you really need 4 BR?

Pets is another issue, but I have found that many landlords do not specify, and will consider 1 - 2 small pets. Having a pack of large dogs is another thing. If you search Craig's for those that specify pets are ok you have fewer choices, but there are many that do not specify and will consider. I find once they meet me, they are more than happy to accept my single, mature, well behaved cat. But yes it is a pain in the neck and limits your choices.

I think there are some pretty stable landlords here on Patrick ...

I'm facing a similar situation right now. Frankly I'd rather buy and risk losing my job and not be able to afford the home, than to keep renting.

I've been renting since I turned 18(10 years ago now), and its been one nightmare after another. I do like Patricks ideas on rent/versus buy, but it is a very emotional decision as well, and I'm willing to pay more if it means I don't have to worry about my landlord or their financial situation. If something goes wrong its on me, and no one else.

Its a good time to buy, people are saying house prices will go down another 8-10% in 2011. On 500K thats 50K, if you buy and lose 10% equity so what? You're in a stable place thats all yours.

Remington says

people are saying house prices will go down another 8-10% in 2011. On 500K thats 50K, if you buy and lose 10% equity so what? You’re in a stable place thats all yours.

People might be saying prices will go down, but no one knows for sure. Housing is very local from block to block and neighborhood to neighborhood. prices may go up, down or sideways and you can't pick the top or bottom of the housing market any better than you can time the stock market.......make the financial decision that you can afford and don't get in over your head using the formulas you've undoubtedly read about here on Patrick.net; 25-30% payment based on income, fixed rate loan, etc.

Enjoy your home without second guessing your decision after you buy it. It's a very scary as well as an exciting time when you buy your first home. Only you know what is right for your particular situation, but I agree with you on the stability, etc. Good luck with your decision :-)

If I give a homeowner $300,000 cash for a house no one would argue that I am a buyer and own the house.
and now i have security. and some even say an asset. I guess I'll sleep better at night or something.

If I'm loaned the $300,000 some here still refer to me as a buyer, and an owner. and now I have security too.
that's so cool. and Oh an asset!,... yeah i'm so safe. and the wife is happy (which makes me happy too i guess.)

I love America!

I agree that prices will decline a bit further, but that's not stopping me from buying. Rather, it's lack of inventory.
Yes, I really need 4BR (I have 3 kids) and you'd be surprised how many people don't want dogs (we're talking a 5 year old Lab, not a pit bull).

I chose a month to month lease because I fully intended to buy something, but we haven't found anything suitable (we made one offer, got outbid then it closed for below our asking price).

My post was mainly venting, but I think the predicament of the renter often gets lost in these housing discussions.