“INVESTORS” who haven’t learned their lessons?

[(former)FormerSanDiegan]

[quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]

So, why is that ?

Should the price be higher because the rent supports it ?

OR

Should the rent go down to align more closely with the price of the property ?

[scaredyclassic]

good question. i’m just thinking about the local listings around TV for 130k and it doesn’t seem like most of them would easily rent for 1500. at least, just looking at the listings, i’d be pretty sure i could get say 1100-1200, but i don’t know about 1500. but if it were that all the houses going for 130k are really renting for 1500, well, it’s not a horrific bet. it’s just not the bet for me. i just wouldn’t be comfortable with it, and don’t want to deal with tenants.

[scaredyclassic]

good question. i’m just thinking about the local listings around TV for 130k and it doesn’t seem like most of them would easily rent for 1500. at least, just looking at the listings, i’d be pretty sure i could get say 1100-1200, but i don’t know about 1500. but if it were that all the houses going for 130k are really renting for 1500, well, it’s not a horrific bet. it’s just not the bet for me. i just wouldn’t be comfortable with it, and don’t want to deal with tenants.

[scaredyclassic]

good question. i’m just thinking about the local listings around TV for 130k and it doesn’t seem like most of them would easily rent for 1500. at least, just looking at the listings, i’d be pretty sure i could get say 1100-1200, but i don’t know about 1500. but if it were that all the houses going for 130k are really renting for 1500, well, it’s not a horrific bet. it’s just not the bet for me. i just wouldn’t be comfortable with it, and don’t want to deal with tenants.

[scaredyclassic]

good question. i’m just thinking about the local listings around TV for 130k and it doesn’t seem like most of them would easily rent for 1500. at least, just looking at the listings, i’d be pretty sure i could get say 1100-1200, but i don’t know about 1500. but if it were that all the houses going for 130k are really renting for 1500, well, it’s not a horrific bet. it’s just not the bet for me. i just wouldn’t be comfortable with it, and don’t want to deal with tenants.

[scaredyclassic]

good question. i’m just thinking about the local listings around TV for 130k and it doesn’t seem like most of them would easily rent for 1500. at least, just looking at the listings, i’d be pretty sure i could get say 1100-1200, but i don’t know about 1500. but if it were that all the houses going for 130k are really renting for 1500, well, it’s not a horrific bet. it’s just not the bet for me. i just wouldn’t be comfortable with it, and don’t want to deal with tenants.

[patb]

[quote=FormerSanDiegan][quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]

So, why is that ?

Should the price be higher because the rent supports it ?

OR

Should the rent go down to align more closely with the price of the property ?
[/quote]

Because someone paying 1500/month can go put their own place for 135K then.

1500/Month will support up to a 220K house (Yes, i’m handwaving on interest rates and insurance).

So most people getting that kind of rent will seek to buy houses for 130K-220K in price.

if you assume Rent/Own for a 130K house, that’s closer to a
1000/month rent.

[patb]

[quote=FormerSanDiegan][quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]

So, why is that ?

Should the price be higher because the rent supports it ?

OR

Should the rent go down to align more closely with the price of the property ?
[/quote]

Because someone paying 1500/month can go put their own place for 135K then.

1500/Month will support up to a 220K house (Yes, i’m handwaving on interest rates and insurance).

So most people getting that kind of rent will seek to buy houses for 130K-220K in price.

if you assume Rent/Own for a 130K house, that’s closer to a
1000/month rent.

[patb]

[quote=FormerSanDiegan][quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]

So, why is that ?

Should the price be higher because the rent supports it ?

OR

Should the rent go down to align more closely with the price of the property ?
[/quote]

Because someone paying 1500/month can go put their own place for 135K then.

1500/Month will support up to a 220K house (Yes, i’m handwaving on interest rates and insurance).

So most people getting that kind of rent will seek to buy houses for 130K-220K in price.

if you assume Rent/Own for a 130K house, that’s closer to a
1000/month rent.

[patb]

[quote=FormerSanDiegan][quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]

So, why is that ?

Should the price be higher because the rent supports it ?

OR

Should the rent go down to align more closely with the price of the property ?
[/quote]

Because someone paying 1500/month can go put their own place for 135K then.

1500/Month will support up to a 220K house (Yes, i’m handwaving on interest rates and insurance).

So most people getting that kind of rent will seek to buy houses for 130K-220K in price.

if you assume Rent/Own for a 130K house, that’s closer to a
1000/month rent.

[patb]

[quote=FormerSanDiegan][quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]

So, why is that ?

Should the price be higher because the rent supports it ?

OR

Should the rent go down to align more closely with the price of the property ?
[/quote]

Because someone paying 1500/month can go put their own place for 135K then.

1500/Month will support up to a 220K house (Yes, i’m handwaving on interest rates and insurance).

So most people getting that kind of rent will seek to buy houses for 130K-220K in price.

if you assume Rent/Own for a 130K house, that’s closer to a
1000/month rent.

[patientrenter]

[quote=peterb]….Read Bill O’Neils’ books for a careful historical study of how stock investments really pay-off. It has been my experience that his concepts apply to all investing activities.[/quote]

peterb, what is the basic idea in those books that leads you to say that there is no useful distinction between investing and speculating?

[patientrenter]

[quote=peterb]….Read Bill O’Neils’ books for a careful historical study of how stock investments really pay-off. It has been my experience that his concepts apply to all investing activities.[/quote]

peterb, what is the basic idea in those books that leads you to say that there is no useful distinction between investing and speculating?

[patientrenter]

[quote=peterb]….Read Bill O’Neils’ books for a careful historical study of how stock investments really pay-off. It has been my experience that his concepts apply to all investing activities.[/quote]

peterb, what is the basic idea in those books that leads you to say that there is no useful distinction between investing and speculating?

[patientrenter]

[quote=peterb]….Read Bill O’Neils’ books for a careful historical study of how stock investments really pay-off. It has been my experience that his concepts apply to all investing activities.[/quote]

peterb, what is the basic idea in those books that leads you to say that there is no useful distinction between investing and speculating?

[Author]

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