[quote=Diego Mamani][quote=bearishgurl]I wouldn’t throw away thousands per month on rent[/quote] Actually, the recent experience has been of people throwing up to 100s of thousands of dollars on mortgage and lost equity.[/quote]
I understand this, Diego, but there are many owners out there that have owned their properties more than ten years and thus did not fall prey to the more recent “exotic” purchase money mortgages. This doesn’t preclude them from being underwater or behind in their payments, however. Also beware of the longtime owner who has taken “cash out” one or more times in the last decade and currently owes more than their property is worth, whether by cash-out refi, taking out a 2nd/3rd TD or helocing. Many owners have stripped all the equity out of their property (and then some) and then turned it into a rental.
In a financial pinch, keeping up the payments on a “self-made” underwater rental property would not be a high priority unless the owner was very concerned about his/her credit rating.
Given all but two of the realtor.com ads you posted (houses 7 & 8), the other ads are asking a way too-exorbitant monthly rent, IMHO (“house 1” is an apt and “house 9” is a PUD). In my mind it’s ridiculous to pay these amounts of rent on something you don’t own and if purchased today, likely would not have anywhere near the mortgage payment that they are currently asking for in monthly rent.
