[ocrenter]

[quote=familyguy]This, (to pay MR or not to pay MR) like so many arguments, will never be settled.
[/quote]

I just don’t see why this is so controversial. When someone buys a home, they simply figure the MR payment into their monthly housing cost. just like all other recurring monthly payments like HOA and property tax.

let’s take this South-of-Pomerado 4300 sqft home on 12k lot. http://www.sdlookup.com/MLS-100049824-10819_Figtree_Ct_San_Diego_CA_92131
asking is $1.4 million, with HOA of $76 per month. With 20% down, that works out to $5600/month of mortgage, and $1240/month of HOA and tax. For total of $6840/month.

meanwhile, compare to this Stonebridge 4700 sqft home on 12k lot. http://www.sdlookup.com/MLS-110019729-11364_Caspian_Pl_San_Diego_CA_92131
asking is $1.08 million, with HOA of $160 and MR of $440 per month. With 20% down, that works out to $4300/month of mortgage and $1500/month of HOA and tax and MR. For total of $5800/month.

for a newer and slightly larger home, despite the MR, the monthly housing cost is actually $1000 less. (actually $1200 less per month if we apply the same down payment of $280k to the Stonebridge home).

that is all.

[ocrenter]

[quote=familyguy]This, (to pay MR or not to pay MR) like so many arguments, will never be settled.
[/quote]

I just don’t see why this is so controversial. When someone buys a home, they simply figure the MR payment into their monthly housing cost. just like all other recurring monthly payments like HOA and property tax.

let’s take this South-of-Pomerado 4300 sqft home on 12k lot. http://www.sdlookup.com/MLS-100049824-10819_Figtree_Ct_San_Diego_CA_92131
asking is $1.4 million, with HOA of $76 per month. With 20% down, that works out to $5600/month of mortgage, and $1240/month of HOA and tax. For total of $6840/month.

meanwhile, compare to this Stonebridge 4700 sqft home on 12k lot. http://www.sdlookup.com/MLS-110019729-11364_Caspian_Pl_San_Diego_CA_92131
asking is $1.08 million, with HOA of $160 and MR of $440 per month. With 20% down, that works out to $4300/month of mortgage and $1500/month of HOA and tax and MR. For total of $5800/month.

for a newer and slightly larger home, despite the MR, the monthly housing cost is actually $1000 less. (actually $1200 less per month if we apply the same down payment of $280k to the Stonebridge home).

that is all.

[ocrenter]

[quote=familyguy][quote=ocrenter][quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?[/quote]

I’m not saying there will “only” be two models, just that there are only two houses being built currently.[/quote]

that’s true. but usually a builder would build all of the model homes at the same time. kinda bizaare to build the model homes in phases as well.

[ocrenter]

[quote=familyguy][quote=ocrenter][quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?[/quote]

I’m not saying there will “only” be two models, just that there are only two houses being built currently.[/quote]

that’s true. but usually a builder would build all of the model homes at the same time. kinda bizaare to build the model homes in phases as well.

[ocrenter]

[quote=familyguy][quote=ocrenter][quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?[/quote]

I’m not saying there will “only” be two models, just that there are only two houses being built currently.[/quote]

that’s true. but usually a builder would build all of the model homes at the same time. kinda bizaare to build the model homes in phases as well.

[ocrenter]

[quote=familyguy][quote=ocrenter][quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?[/quote]

I’m not saying there will “only” be two models, just that there are only two houses being built currently.[/quote]

that’s true. but usually a builder would build all of the model homes at the same time. kinda bizaare to build the model homes in phases as well.

[ocrenter]

[quote=familyguy][quote=ocrenter][quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?[/quote]

I’m not saying there will “only” be two models, just that there are only two houses being built currently.[/quote]

that’s true. but usually a builder would build all of the model homes at the same time. kinda bizaare to build the model homes in phases as well.

[ocrenter]

[quote=AN][quote=kcal09]That is absolutely correct. That’s why I bought my house in cash…[/quote]
Uhh… (unless I messed up my calculation)hope you know that if you bought it in cash for $850k, then you’re actually pay more than if you would have financed it over 30 years (assuming 6% return for your cash). $850k cash today, assuming 6% return will equal $5.1M in 30 years. The buyer of such $400k house really paid ~$770k. The $450/month in MR is $162k over 30 years. So $5.1M-$770k-$162k = ~$4.16M.[/quote]

let’s not forget we have 30 years of inflation to look at. If the rate of inflation over the next 30 years is on pace with inflation from the last 30 years, that $450 per month in 30 years would really be $181 per month in today’s dollars.

and assuming someone paid 20% of 850k and financed the 80% at 4.5%, that $3450 per month mortgage after 30 years would be $1400 per month in today’s dollars.

all that really proves you do not take today’s monthly payment of something and extrapolate by 30 years. that was my point in the first place.

rather you compare apples to apples and simply ask the question of how the addition of $450 per month in mello roos impact a buyer’s purchase power here, today. and that impact IS a $82k loss in purchase power.

[ocrenter]

[quote=AN][quote=kcal09]That is absolutely correct. That’s why I bought my house in cash…[/quote]
Uhh… (unless I messed up my calculation)hope you know that if you bought it in cash for $850k, then you’re actually pay more than if you would have financed it over 30 years (assuming 6% return for your cash). $850k cash today, assuming 6% return will equal $5.1M in 30 years. The buyer of such $400k house really paid ~$770k. The $450/month in MR is $162k over 30 years. So $5.1M-$770k-$162k = ~$4.16M.[/quote]

let’s not forget we have 30 years of inflation to look at. If the rate of inflation over the next 30 years is on pace with inflation from the last 30 years, that $450 per month in 30 years would really be $181 per month in today’s dollars.

and assuming someone paid 20% of 850k and financed the 80% at 4.5%, that $3450 per month mortgage after 30 years would be $1400 per month in today’s dollars.

all that really proves you do not take today’s monthly payment of something and extrapolate by 30 years. that was my point in the first place.

rather you compare apples to apples and simply ask the question of how the addition of $450 per month in mello roos impact a buyer’s purchase power here, today. and that impact IS a $82k loss in purchase power.

[ocrenter]

[quote=AN][quote=kcal09]That is absolutely correct. That’s why I bought my house in cash…[/quote]
Uhh… (unless I messed up my calculation)hope you know that if you bought it in cash for $850k, then you’re actually pay more than if you would have financed it over 30 years (assuming 6% return for your cash). $850k cash today, assuming 6% return will equal $5.1M in 30 years. The buyer of such $400k house really paid ~$770k. The $450/month in MR is $162k over 30 years. So $5.1M-$770k-$162k = ~$4.16M.[/quote]

let’s not forget we have 30 years of inflation to look at. If the rate of inflation over the next 30 years is on pace with inflation from the last 30 years, that $450 per month in 30 years would really be $181 per month in today’s dollars.

and assuming someone paid 20% of 850k and financed the 80% at 4.5%, that $3450 per month mortgage after 30 years would be $1400 per month in today’s dollars.

all that really proves you do not take today’s monthly payment of something and extrapolate by 30 years. that was my point in the first place.

rather you compare apples to apples and simply ask the question of how the addition of $450 per month in mello roos impact a buyer’s purchase power here, today. and that impact IS a $82k loss in purchase power.

[ocrenter]

[quote=AN][quote=kcal09]That is absolutely correct. That’s why I bought my house in cash…[/quote]
Uhh… (unless I messed up my calculation)hope you know that if you bought it in cash for $850k, then you’re actually pay more than if you would have financed it over 30 years (assuming 6% return for your cash). $850k cash today, assuming 6% return will equal $5.1M in 30 years. The buyer of such $400k house really paid ~$770k. The $450/month in MR is $162k over 30 years. So $5.1M-$770k-$162k = ~$4.16M.[/quote]

let’s not forget we have 30 years of inflation to look at. If the rate of inflation over the next 30 years is on pace with inflation from the last 30 years, that $450 per month in 30 years would really be $181 per month in today’s dollars.

and assuming someone paid 20% of 850k and financed the 80% at 4.5%, that $3450 per month mortgage after 30 years would be $1400 per month in today’s dollars.

all that really proves you do not take today’s monthly payment of something and extrapolate by 30 years. that was my point in the first place.

rather you compare apples to apples and simply ask the question of how the addition of $450 per month in mello roos impact a buyer’s purchase power here, today. and that impact IS a $82k loss in purchase power.

[ocrenter]

[quote=AN][quote=kcal09]That is absolutely correct. That’s why I bought my house in cash…[/quote]
Uhh… (unless I messed up my calculation)hope you know that if you bought it in cash for $850k, then you’re actually pay more than if you would have financed it over 30 years (assuming 6% return for your cash). $850k cash today, assuming 6% return will equal $5.1M in 30 years. The buyer of such $400k house really paid ~$770k. The $450/month in MR is $162k over 30 years. So $5.1M-$770k-$162k = ~$4.16M.[/quote]

let’s not forget we have 30 years of inflation to look at. If the rate of inflation over the next 30 years is on pace with inflation from the last 30 years, that $450 per month in 30 years would really be $181 per month in today’s dollars.

and assuming someone paid 20% of 850k and financed the 80% at 4.5%, that $3450 per month mortgage after 30 years would be $1400 per month in today’s dollars.

all that really proves you do not take today’s monthly payment of something and extrapolate by 30 years. that was my point in the first place.

rather you compare apples to apples and simply ask the question of how the addition of $450 per month in mello roos impact a buyer’s purchase power here, today. and that impact IS a $82k loss in purchase power.

[ocrenter]

[quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?

[ocrenter]

[quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?

[ocrenter]

[quote=familyguy]I see those first two homes are coming right along. I would assume those will be the models?[/quote]

I thought somebody said there’s going to be 8 different models available. But they’ll just have 2 model homes?

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