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Discussion Boards => Off-Topic => Topic started by: potluck6 on July 29, 2018, 08:36:45 pm

Title: buying a house
Post by: potluck6 on July 29, 2018, 08:36:45 pm
My son and wife may be buying a house. it costs 650,000 dollars. his wifes grandma died and her home sold in the san jose ,silicon valley area for 2.5 million. yeah nice house. Her mom and 4 other sylblings got the money. She maybe giving her daughter 100,000 to buy a house. my sons wife is not counting her chickens before they hatch. one thing is she is telling them where to buy the house what city. its a nice city but will be a commute for my son.  we have no money to give them so im thrilled. the cost of houses in ca is astounding. their mortgage payment might be 3700.00 a month holy cow right. they make 120000 a year between the both of them. I don't think they can afford it.its possible theymight find some thing cheaper don't know.Guess I better go now and try to make 50- 60 cents. 3700 a month geeze
Title: Re: buying a house
Post by: singletonb on July 29, 2018, 08:58:19 pm
That sounds like a lot of house for someone that doesn't make enough a year to cover a mortgage that size.  Good luck to them
Title: Re: buying a house
Post by: oldbuddy on July 30, 2018, 05:50:37 am
I have bought several houses that were a stretch to make the payments at first, but gets easier as you go along. Just imagine, the snowball effect can pay off in the long run. Now we bought a $600K house with our son and his family and paid cash for our part from the proceeds of selling our last house. He got in with no money down and makes all the payments for us.
Title: Re: buying a house
Post by: ghunter on July 30, 2018, 06:31:33 am
The mortgage is really crazy, maybe it is a mansion.
Title: Re: buying a house
Post by: snuggleycutejc on July 30, 2018, 06:58:52 am
I just looked at a house that is for sale at $8,000,999.00  so why the ,999 and with the mortgage you don't have a landlord to *bleep* to you do the fix it you do the DIY and that cost money too without the talking about the insurance, they wont.
Title: Re: buying a house
Post by: tnshpalmer85 on July 31, 2018, 09:32:54 am
That is nice that your son and his wife may be buying a house. I looked into buying a house this summer and it is a big decision to follow through with. Good luck to them. I hope they enjoy their house.
Title: Re: buying a house
Post by: brian8713 on July 31, 2018, 09:57:08 am
You can stretch your mortgage budget if you have a tenant or tenants. My mortgage is over $1400/month, but after the money the guy who pays me to live in my basement is factored in, it's less than $700 a month.
Title: Re: buying a house
Post by: clickers on July 31, 2018, 11:51:59 am
Potluck6, you're right. That's a lot considering there're other bills to contend with. To them they can afford it. To each their own. Money can be a very humble servant if you know how and what to do with it. Much success to them :rainbow:
Title: Re: buying a house
Post by: oldbuddy on July 31, 2018, 02:13:51 pm
You can stretch your mortgage budget if you have a tenant or tenants. My mortgage is over $1400/month, but after the money the guy who pays me to live in my basement is factored in, it's less than $700 a month.
Don't overlook sharing various fees you would pay alone without him, such as Internet Service, Pay TV options, trash disposal and many more I am sure.
Title: Re: buying a house
Post by: fillfran82 on July 31, 2018, 11:26:02 pm
My son and wife may be buying a house. it costs 650,000 dollars. his wifes grandma died and her home sold in the san jose ,silicon valley area for 2.5 million. yeah nice house. Her mom and 4 other sylblings got the money. She maybe giving her daughter 100,000 to buy a house. my sons wife is not counting her chickens before they hatch. one thing is she is telling them where to buy the house what city. its a nice city but will be a commute for my son.  we have no money to give them so im thrilled. the cost of houses in ca is astounding. their mortgage payment might be 3700.00 a month holy cow right. they make 120000 a year between the both of them. I don't think they can afford it.its possible theymight find some thing cheaper don't know.Guess I better go now and try to make 50- 60 cents. 3700 a month geeze

Hello! :D :)

Best of luck with them buying a house, I know it can be pretty expensive in California as well as New York. I would love to buy a home too but currently my funds are preventing me from doing so. :'( Hopefully in the near future I will be able to buy my dream home. :in-love:  :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose: :heart: :rose:
Title: Re: buying a house
Post by: JaniceSW on August 01, 2018, 08:12:10 am
A home is a great investment but you have to really watch what your can afford.  Being house poor can be a strain on an individual or marriage.  You also have to look at what the insurance and tax situation is on the property.  Interest rates have gone up also!  It is general knowledge that paying more than 30% of your monthly income is not a good idea.  People need to make a strict budget of monthly expenses and see what, if anything, can be cut/modified before they decide how much to spend on a house.
Title: Re: buying a house
Post by: BEENICE on August 04, 2018, 04:02:24 pm
You may want to be careful with someone renting in the basement, especially if they pay half the mortgage. It may seem fair, but it may not be.
Title: Re: buying a house
Post by: oldbuddy on August 05, 2018, 08:09:19 am
You may want to be careful with someone renting in the basement, especially if they pay half the mortgage. It may seem fair, but it may not be.
Any financial arrangement needs to be evaluated for fairness by both parties.
Title: Re: buying a house
Post by: 1imaginarygirl on August 05, 2018, 08:21:47 am
My husband and I used to make around 110K combined and lived in a large house at 2600/mo. We made it go for about 6 years, but after the housing bubble popped, we were upside down on the mortgage. Plus taxes and upkeep expenses kept increasing, so we had to keep digging into savings and it was getting incredibly stressful. We did a short sale on the house and lost a lot of money. If they don't have any other debt, they may be ok. But to me, that's a lot of mortgage payment for their income. Either way, I wish them all the best!
Title: Re: buying a house
Post by: Nancy5 on August 05, 2018, 08:25:52 am
I think it’s wonderful they want to buy a house.  I would say just be careful and don’t stretch yourself.  It’s not just the mortgage payment, put in taxes, house insurance, electricity, internet, just a few, then there’s always the fear what if.....what if the water heater breaks, the air conditioner stopped working, even as silly as our coffee maker broke.  Can you afford to fix/buy things?  Don’t become House poor, big house but can’t leave it to do anything, everything costs money and we can’t go out to eat, to a movie, anything.  If you will be able to afford it, great and congrats!
Title: Re: buying a house
Post by: bigfoot951 on August 05, 2018, 11:06:07 am
I don't know the area where you live and certainly can't comment on the housing market there.  But we see in the news where houses sell for $2.5 million, like you mentioned, and many for $10 million or so.  I live on the coast in SC and with the houses I have looked at selling for those prices in CA, we couldn't build those houses here for those prices.  It would cost a lot more here. 
Title: Re: buying a house
Post by: makeblessed on August 05, 2018, 03:35:16 pm
Buying a house is  an investment, but they have to remember up keep and things like insurance, which is probably sky high like everything  in CA; they just need to understand all the details and make sure they understand everything before signing anything and that is something they can live with. Good luck to them with everything.