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patientrenter
Participant[quote=meadandale][quote=patientrenter]
I pay hundreds of thousands in taxes each year. I have never bought a home, because I didn’t think I could afford a decent one and, at the same time, save enough for my future retirement and health expenses.[/quote]Please…
Anyone who pays HUNDREDS OF THOUSANDS of dollars in taxes EVERY YEAR could afford to buy a house if they wanted to.
[/quote]Not unless you rely on something, meadandale, that is central to the little crisis we’re having right now. People thought they could work and ‘save’ for 10-20 years (after working without saving for another 15-25 years), and then retire with enough to live comfortably until they died, whenever that was.
Saving consisted of borrowing, using a home as collateral, and buying houses and stocks. Usually, the total amount spent on the assets was very little more than the total borrowing, so very little real saving was going on. People were really borrowing to invest at higher returns than the debt. As long as houses and stocks went up by more than the interest rate on their loans, they got “free money” which they considered savings.
I don’t assume any of that nonsense. If I work and save for 20 years, and hope to live after retirement for as long as 40 years, then I must save 2/3 of my net after-tax income. If you restrict your spending (of every type) to 1/3 of your after-tax income, it’s not so easy / responsible to buy a nice home.
Participant[quote=meadandale][quote=patientrenter]
I pay hundreds of thousands in taxes each year. I have never bought a home, because I didn’t think I could afford a decent one and, at the same time, save enough for my future retirement and health expenses.[/quote]Please…
Anyone who pays HUNDREDS OF THOUSANDS of dollars in taxes EVERY YEAR could afford to buy a house if they wanted to.
[/quote]Not unless you rely on something, meadandale, that is central to the little crisis we’re having right now. People thought they could work and ‘save’ for 10-20 years (after working without saving for another 15-25 years), and then retire with enough to live comfortably until they died, whenever that was.
Saving consisted of borrowing, using a home as collateral, and buying houses and stocks. Usually, the total amount spent on the assets was very little more than the total borrowing, so very little real saving was going on. People were really borrowing to invest at higher returns than the debt. As long as houses and stocks went up by more than the interest rate on their loans, they got “free money” which they considered savings.
I don’t assume any of that nonsense. If I work and save for 20 years, and hope to live after retirement for as long as 40 years, then I must save 2/3 of my net after-tax income. If you restrict your spending (of every type) to 1/3 of your after-tax income, it’s not so easy / responsible to buy a nice home.
Participant[quote=meadandale][quote=patientrenter]
I pay hundreds of thousands in taxes each year. I have never bought a home, because I didn’t think I could afford a decent one and, at the same time, save enough for my future retirement and health expenses.[/quote]Please…
Anyone who pays HUNDREDS OF THOUSANDS of dollars in taxes EVERY YEAR could afford to buy a house if they wanted to.
[/quote]Not unless you rely on something, meadandale, that is central to the little crisis we’re having right now. People thought they could work and ‘save’ for 10-20 years (after working without saving for another 15-25 years), and then retire with enough to live comfortably until they died, whenever that was.
Saving consisted of borrowing, using a home as collateral, and buying houses and stocks. Usually, the total amount spent on the assets was very little more than the total borrowing, so very little real saving was going on. People were really borrowing to invest at higher returns than the debt. As long as houses and stocks went up by more than the interest rate on their loans, they got “free money” which they considered savings.
I don’t assume any of that nonsense. If I work and save for 20 years, and hope to live after retirement for as long as 40 years, then I must save 2/3 of my net after-tax income. If you restrict your spending (of every type) to 1/3 of your after-tax income, it’s not so easy / responsible to buy a nice home.
ParticipantMy plan is to wait until the bottom has clearly passed, and then start buying a home every year or so using very little of my own money, if those loan programs persist. If prices go up, I will sell the home with the most gain every year. When the market goes down, I will walk away from the debt.
Why figure out a new idea when an old one may still be available, and can make lots of money?
Does anyone think all the low/no-downpayment loans will be gone when prices start rising again? Barney and Chris sure seem very determined to make sure those loans continue, and any persistent price increases a few years from now might give them enough cover to broaden the programs so most people can scam them again.
ParticipantMy plan is to wait until the bottom has clearly passed, and then start buying a home every year or so using very little of my own money, if those loan programs persist. If prices go up, I will sell the home with the most gain every year. When the market goes down, I will walk away from the debt.
Why figure out a new idea when an old one may still be available, and can make lots of money?
Does anyone think all the low/no-downpayment loans will be gone when prices start rising again? Barney and Chris sure seem very determined to make sure those loans continue, and any persistent price increases a few years from now might give them enough cover to broaden the programs so most people can scam them again.
ParticipantMy plan is to wait until the bottom has clearly passed, and then start buying a home every year or so using very little of my own money, if those loan programs persist. If prices go up, I will sell the home with the most gain every year. When the market goes down, I will walk away from the debt.
Why figure out a new idea when an old one may still be available, and can make lots of money?
Does anyone think all the low/no-downpayment loans will be gone when prices start rising again? Barney and Chris sure seem very determined to make sure those loans continue, and any persistent price increases a few years from now might give them enough cover to broaden the programs so most people can scam them again.
ParticipantMy plan is to wait until the bottom has clearly passed, and then start buying a home every year or so using very little of my own money, if those loan programs persist. If prices go up, I will sell the home with the most gain every year. When the market goes down, I will walk away from the debt.
Why figure out a new idea when an old one may still be available, and can make lots of money?
Does anyone think all the low/no-downpayment loans will be gone when prices start rising again? Barney and Chris sure seem very determined to make sure those loans continue, and any persistent price increases a few years from now might give them enough cover to broaden the programs so most people can scam them again.
ParticipantMy plan is to wait until the bottom has clearly passed, and then start buying a home every year or so using very little of my own money, if those loan programs persist. If prices go up, I will sell the home with the most gain every year. When the market goes down, I will walk away from the debt.
Why figure out a new idea when an old one may still be available, and can make lots of money?
Does anyone think all the low/no-downpayment loans will be gone when prices start rising again? Barney and Chris sure seem very determined to make sure those loans continue, and any persistent price increases a few years from now might give them enough cover to broaden the programs so most people can scam them again.
Participantjpinpb, I don’t know if you observed the last downturn in So Cal, but it took 5-6 years to go from peak to trough. This one could take a little less time, or a little more. Go asleep with one eye open and plan to wake up in late 2009 to restart your home search calmly and carefully. Patience!
Participantjpinpb, I don’t know if you observed the last downturn in So Cal, but it took 5-6 years to go from peak to trough. This one could take a little less time, or a little more. Go asleep with one eye open and plan to wake up in late 2009 to restart your home search calmly and carefully. Patience!
Participantjpinpb, I don’t know if you observed the last downturn in So Cal, but it took 5-6 years to go from peak to trough. This one could take a little less time, or a little more. Go asleep with one eye open and plan to wake up in late 2009 to restart your home search calmly and carefully. Patience!
Participantjpinpb, I don’t know if you observed the last downturn in So Cal, but it took 5-6 years to go from peak to trough. This one could take a little less time, or a little more. Go asleep with one eye open and plan to wake up in late 2009 to restart your home search calmly and carefully. Patience!
Participantjpinpb, I don’t know if you observed the last downturn in So Cal, but it took 5-6 years to go from peak to trough. This one could take a little less time, or a little more. Go asleep with one eye open and plan to wake up in late 2009 to restart your home search calmly and carefully. Patience!
Participant[quote=jpinpb]Are they seriously going to reduce the principal??!!!!!!
That’s it. I’m going to buy a condo tomorrow. I’ll pay for a little while and then stop. Someone tell me. What will they do??? After how many months of living there free before they kick me out or renegotiate?
Can’t play by the old rules, can’t beat them, then join them.
I have had it. I am so sick of this shit. [/quote]
And don’t forget, jpinpb, that the “free money” being given to these folks comes from someone who actually has to earn it, save it, and hand it over (in taxes). If you pay a lot of taxes, that big giver would be you.
I pay hundreds of thousands in taxes each year. I have never bought a home, because I didn’t think I could afford a decent one and, at the same time, save enough for my future retirement and health expenses. I lived in a small, old apartment while people who saved next to nothing lived in big, new homes.
Now vast amounts of my money are going to be shoveled at people who never bothered to spend less than they earned, or restrict themselves to homes that they could afford with 20-100% downpayments, or rent if that was too much. Meanwhile, I still can’t afford a home because all these measures designed to keep these often irresponsible people in ‘their’ homes are keeping home prices way above what I can afford on a much more responsible standard of affordability.
Barney Frank and Chris Dodd and Chuck Schumer and their co-conspirators (from both parties) will never be justified in my book.
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