Interest rates

[4plexowner]

all about risk / reward – already rich – don’t need to take stupid risks

I’m just killing time on an anonymous blog and I write about things that interest me – not sure why you think everything I write is about making money

if I didn’t know better I’d think you were trying to get a dig in at me because you ARE a sucker and your 401K is now a 201K

[5yearwaiter]

[quote=patientrenter][quote=peterb]Just remember, the term “buying” a house has been twisted. Almost no one buys a house, they take out a huge debt to get the title. That aint buying. You pay cash and own it outright, that’s buying. The rest is a strange fantasy people have. So if the payment’s lower, great, but that’s about sustaining debt. Not owning.[/quote]

I dunno, peter. If you go with the standard 3% down, and maybe throw in first-time buyer credits and a little kickback from the agent or broker or one of the other parties getting paid in the deal, you effectively get a very cheap option to (really) buy) at a fixed price. And you can do what you want with the property while you’re considering whether to actually buy. If the prices come down, you go get a modification. If they go up, you can cash in. You pay for the option in small installments. It’s pretty attractive. Hey, if I didn’t know better, I’d say it’s the greatest scam we’ve ever had! Better than mere owning, where you can gain or lose.[/quote]

Patientrenter take this scenario: You buy a house worth of 600K in this time with around 4.5% of mortgage. Eventually you pay 20% down (120K) and you start paying mortgage for 417K (assume now you down more than 20% in this case(183K) – you gave back to the system 183K and hold the house worth of 600K. What do you expect to get a good return on this house after 5 years at the most? – If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years. But if your situation is still to sell your house after 5 years then prepare you got lose on this house investment as a total. To avoid this much risk and keep you in benifitable a decent rental would give this. Now I will leave the rest of solution to you all by asking this:

How much you expect your home will be sold after 5 years? Keep in mind all the factors like our economy was really spoiled, in future interest rates demand to jump but fed is sacrificing still, any minimal outbrakes of flu,or a small stone throwing in those glass doors of wall st would also keep our paper economy sure to down. A major shift of golbal economy trend would likeley to be occur as per China and Russia slogans on Gold and find of other uninversal level of currency instead of Dollar. Where you keep this big 417K liability on your back with that turmoil situations. Future is bit blink with the ongoing trend- they (Fed) says recovery is the term as math changes every quarter. But here you are the one to do your own math but not look at the Fed math.

[5yearwaiter]

[quote=patientrenter][quote=peterb]Just remember, the term “buying” a house has been twisted. Almost no one buys a house, they take out a huge debt to get the title. That aint buying. You pay cash and own it outright, that’s buying. The rest is a strange fantasy people have. So if the payment’s lower, great, but that’s about sustaining debt. Not owning.[/quote]

I dunno, peter. If you go with the standard 3% down, and maybe throw in first-time buyer credits and a little kickback from the agent or broker or one of the other parties getting paid in the deal, you effectively get a very cheap option to (really) buy) at a fixed price. And you can do what you want with the property while you’re considering whether to actually buy. If the prices come down, you go get a modification. If they go up, you can cash in. You pay for the option in small installments. It’s pretty attractive. Hey, if I didn’t know better, I’d say it’s the greatest scam we’ve ever had! Better than mere owning, where you can gain or lose.[/quote]

Patientrenter take this scenario: You buy a house worth of 600K in this time with around 4.5% of mortgage. Eventually you pay 20% down (120K) and you start paying mortgage for 417K (assume now you down more than 20% in this case(183K) – you gave back to the system 183K and hold the house worth of 600K. What do you expect to get a good return on this house after 5 years at the most? – If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years. But if your situation is still to sell your house after 5 years then prepare you got lose on this house investment as a total. To avoid this much risk and keep you in benifitable a decent rental would give this. Now I will leave the rest of solution to you all by asking this:

How much you expect your home will be sold after 5 years? Keep in mind all the factors like our economy was really spoiled, in future interest rates demand to jump but fed is sacrificing still, any minimal outbrakes of flu,or a small stone throwing in those glass doors of wall st would also keep our paper economy sure to down. A major shift of golbal economy trend would likeley to be occur as per China and Russia slogans on Gold and find of other uninversal level of currency instead of Dollar. Where you keep this big 417K liability on your back with that turmoil situations. Future is bit blink with the ongoing trend- they (Fed) says recovery is the term as math changes every quarter. But here you are the one to do your own math but not look at the Fed math.

[5yearwaiter]

[quote=patientrenter][quote=peterb]Just remember, the term “buying” a house has been twisted. Almost no one buys a house, they take out a huge debt to get the title. That aint buying. You pay cash and own it outright, that’s buying. The rest is a strange fantasy people have. So if the payment’s lower, great, but that’s about sustaining debt. Not owning.[/quote]

I dunno, peter. If you go with the standard 3% down, and maybe throw in first-time buyer credits and a little kickback from the agent or broker or one of the other parties getting paid in the deal, you effectively get a very cheap option to (really) buy) at a fixed price. And you can do what you want with the property while you’re considering whether to actually buy. If the prices come down, you go get a modification. If they go up, you can cash in. You pay for the option in small installments. It’s pretty attractive. Hey, if I didn’t know better, I’d say it’s the greatest scam we’ve ever had! Better than mere owning, where you can gain or lose.[/quote]

Patientrenter take this scenario: You buy a house worth of 600K in this time with around 4.5% of mortgage. Eventually you pay 20% down (120K) and you start paying mortgage for 417K (assume now you down more than 20% in this case(183K) – you gave back to the system 183K and hold the house worth of 600K. What do you expect to get a good return on this house after 5 years at the most? – If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years. But if your situation is still to sell your house after 5 years then prepare you got lose on this house investment as a total. To avoid this much risk and keep you in benifitable a decent rental would give this. Now I will leave the rest of solution to you all by asking this:

How much you expect your home will be sold after 5 years? Keep in mind all the factors like our economy was really spoiled, in future interest rates demand to jump but fed is sacrificing still, any minimal outbrakes of flu,or a small stone throwing in those glass doors of wall st would also keep our paper economy sure to down. A major shift of golbal economy trend would likeley to be occur as per China and Russia slogans on Gold and find of other uninversal level of currency instead of Dollar. Where you keep this big 417K liability on your back with that turmoil situations. Future is bit blink with the ongoing trend- they (Fed) says recovery is the term as math changes every quarter. But here you are the one to do your own math but not look at the Fed math.

[5yearwaiter]

[quote=patientrenter][quote=peterb]Just remember, the term “buying” a house has been twisted. Almost no one buys a house, they take out a huge debt to get the title. That aint buying. You pay cash and own it outright, that’s buying. The rest is a strange fantasy people have. So if the payment’s lower, great, but that’s about sustaining debt. Not owning.[/quote]

I dunno, peter. If you go with the standard 3% down, and maybe throw in first-time buyer credits and a little kickback from the agent or broker or one of the other parties getting paid in the deal, you effectively get a very cheap option to (really) buy) at a fixed price. And you can do what you want with the property while you’re considering whether to actually buy. If the prices come down, you go get a modification. If they go up, you can cash in. You pay for the option in small installments. It’s pretty attractive. Hey, if I didn’t know better, I’d say it’s the greatest scam we’ve ever had! Better than mere owning, where you can gain or lose.[/quote]

Patientrenter take this scenario: You buy a house worth of 600K in this time with around 4.5% of mortgage. Eventually you pay 20% down (120K) and you start paying mortgage for 417K (assume now you down more than 20% in this case(183K) – you gave back to the system 183K and hold the house worth of 600K. What do you expect to get a good return on this house after 5 years at the most? – If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years. But if your situation is still to sell your house after 5 years then prepare you got lose on this house investment as a total. To avoid this much risk and keep you in benifitable a decent rental would give this. Now I will leave the rest of solution to you all by asking this:

How much you expect your home will be sold after 5 years? Keep in mind all the factors like our economy was really spoiled, in future interest rates demand to jump but fed is sacrificing still, any minimal outbrakes of flu,or a small stone throwing in those glass doors of wall st would also keep our paper economy sure to down. A major shift of golbal economy trend would likeley to be occur as per China and Russia slogans on Gold and find of other uninversal level of currency instead of Dollar. Where you keep this big 417K liability on your back with that turmoil situations. Future is bit blink with the ongoing trend- they (Fed) says recovery is the term as math changes every quarter. But here you are the one to do your own math but not look at the Fed math.

[5yearwaiter]

[quote=patientrenter][quote=peterb]Just remember, the term “buying” a house has been twisted. Almost no one buys a house, they take out a huge debt to get the title. That aint buying. You pay cash and own it outright, that’s buying. The rest is a strange fantasy people have. So if the payment’s lower, great, but that’s about sustaining debt. Not owning.[/quote]

I dunno, peter. If you go with the standard 3% down, and maybe throw in first-time buyer credits and a little kickback from the agent or broker or one of the other parties getting paid in the deal, you effectively get a very cheap option to (really) buy) at a fixed price. And you can do what you want with the property while you’re considering whether to actually buy. If the prices come down, you go get a modification. If they go up, you can cash in. You pay for the option in small installments. It’s pretty attractive. Hey, if I didn’t know better, I’d say it’s the greatest scam we’ve ever had! Better than mere owning, where you can gain or lose.[/quote]

Patientrenter take this scenario: You buy a house worth of 600K in this time with around 4.5% of mortgage. Eventually you pay 20% down (120K) and you start paying mortgage for 417K (assume now you down more than 20% in this case(183K) – you gave back to the system 183K and hold the house worth of 600K. What do you expect to get a good return on this house after 5 years at the most? – If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years. But if your situation is still to sell your house after 5 years then prepare you got lose on this house investment as a total. To avoid this much risk and keep you in benifitable a decent rental would give this. Now I will leave the rest of solution to you all by asking this:

How much you expect your home will be sold after 5 years? Keep in mind all the factors like our economy was really spoiled, in future interest rates demand to jump but fed is sacrificing still, any minimal outbrakes of flu,or a small stone throwing in those glass doors of wall st would also keep our paper economy sure to down. A major shift of golbal economy trend would likeley to be occur as per China and Russia slogans on Gold and find of other uninversal level of currency instead of Dollar. Where you keep this big 417K liability on your back with that turmoil situations. Future is bit blink with the ongoing trend- they (Fed) says recovery is the term as math changes every quarter. But here you are the one to do your own math but not look at the Fed math.

[5yearwaiter]

If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years.

May be my math is bit wrong. If you buy home 600K worth now and you took 417K as mortgage then at the rate of 4.5% even as mortgage(kind of impossible of all ), then at the end of 5 years if you can able to sell your house at least 775K(keep 6% broker charges at the time of selling) then only you are squared up. Which means you will be getting cash to your hand what you pay towards till time on housing. In case of renting also you never get back but at least you don’t pay this much big bucks on everymonth and no chance of risky liability there. “Cash is King” these times perhaps

[5yearwaiter]

If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years.

May be my math is bit wrong. If you buy home 600K worth now and you took 417K as mortgage then at the rate of 4.5% even as mortgage(kind of impossible of all ), then at the end of 5 years if you can able to sell your house at least 775K(keep 6% broker charges at the time of selling) then only you are squared up. Which means you will be getting cash to your hand what you pay towards till time on housing. In case of renting also you never get back but at least you don’t pay this much big bucks on everymonth and no chance of risky liability there. “Cash is King” these times perhaps

[5yearwaiter]

If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years.

May be my math is bit wrong. If you buy home 600K worth now and you took 417K as mortgage then at the rate of 4.5% even as mortgage(kind of impossible of all ), then at the end of 5 years if you can able to sell your house at least 775K(keep 6% broker charges at the time of selling) then only you are squared up. Which means you will be getting cash to your hand what you pay towards till time on housing. In case of renting also you never get back but at least you don’t pay this much big bucks on everymonth and no chance of risky liability there. “Cash is King” these times perhaps

[5yearwaiter]

If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years.

May be my math is bit wrong. If you buy home 600K worth now and you took 417K as mortgage then at the rate of 4.5% even as mortgage(kind of impossible of all ), then at the end of 5 years if you can able to sell your house at least 775K(keep 6% broker charges at the time of selling) then only you are squared up. Which means you will be getting cash to your hand what you pay towards till time on housing. In case of renting also you never get back but at least you don’t pay this much big bucks on everymonth and no chance of risky liability there. “Cash is King” these times perhaps

[5yearwaiter]

If you get sold your house at the worth of 750K after 5 years then I can say you got your money whatever you paid on this house. If you don’t get sell this house with the worth of 750K after 5 years.

May be my math is bit wrong. If you buy home 600K worth now and you took 417K as mortgage then at the rate of 4.5% even as mortgage(kind of impossible of all ), then at the end of 5 years if you can able to sell your house at least 775K(keep 6% broker charges at the time of selling) then only you are squared up. Which means you will be getting cash to your hand what you pay towards till time on housing. In case of renting also you never get back but at least you don’t pay this much big bucks on everymonth and no chance of risky liability there. “Cash is King” these times perhaps

[peterb]

If one was to act strictly within the letter of the law….getting a very low down payment loan that has a mortgage payment below comparable rents would make sense. You can write-off the interest payments and if the house doesnt hold it’s value, you can stop paying the mortgage. The only downside is ruining your FICO score for a while, losing your downpayment and having the IRS come after you for the portion of the debt that will be forgiven upon default.Could be an ok deal. Low down payment coupled with non-recourse loans is good upside wieghted risk, IMO. But I wouldnt take it in this market.

Our brilliant govt at work. Incenting, and in a way rewarding, risk.
But it’s still not “owning” the house. Just an investment vehicle that the govt has been nice enough to let the little guy still enjoy. To some extent.

[peterb]

If one was to act strictly within the letter of the law….getting a very low down payment loan that has a mortgage payment below comparable rents would make sense. You can write-off the interest payments and if the house doesnt hold it’s value, you can stop paying the mortgage. The only downside is ruining your FICO score for a while, losing your downpayment and having the IRS come after you for the portion of the debt that will be forgiven upon default.Could be an ok deal. Low down payment coupled with non-recourse loans is good upside wieghted risk, IMO. But I wouldnt take it in this market.

Our brilliant govt at work. Incenting, and in a way rewarding, risk.
But it’s still not “owning” the house. Just an investment vehicle that the govt has been nice enough to let the little guy still enjoy. To some extent.

[peterb]

If one was to act strictly within the letter of the law….getting a very low down payment loan that has a mortgage payment below comparable rents would make sense. You can write-off the interest payments and if the house doesnt hold it’s value, you can stop paying the mortgage. The only downside is ruining your FICO score for a while, losing your downpayment and having the IRS come after you for the portion of the debt that will be forgiven upon default.Could be an ok deal. Low down payment coupled with non-recourse loans is good upside wieghted risk, IMO. But I wouldnt take it in this market.

Our brilliant govt at work. Incenting, and in a way rewarding, risk.
But it’s still not “owning” the house. Just an investment vehicle that the govt has been nice enough to let the little guy still enjoy. To some extent.

[peterb]

If one was to act strictly within the letter of the law….getting a very low down payment loan that has a mortgage payment below comparable rents would make sense. You can write-off the interest payments and if the house doesnt hold it’s value, you can stop paying the mortgage. The only downside is ruining your FICO score for a while, losing your downpayment and having the IRS come after you for the portion of the debt that will be forgiven upon default.Could be an ok deal. Low down payment coupled with non-recourse loans is good upside wieghted risk, IMO. But I wouldnt take it in this market.

Our brilliant govt at work. Incenting, and in a way rewarding, risk.
But it’s still not “owning” the house. Just an investment vehicle that the govt has been nice enough to let the little guy still enjoy. To some extent.

[Author]

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