House buying/owning advice

[Rage Against the McKee]

if you're comparing interest rates between all of your loans, then you might not want to pay anything off early because you'd prefer to use that extra cash for paying interest on your next loan.

It's really about comparing interest rates to inflation. If I can get a loan at 3%, that is probably well below the inflation rate over the period of the loan, so I would come out ahead paying the minimum and investing whatever I would have applied to the loan to pay it off early. This plan does not really work if you just pay the minimum and use the extra money to buy things like tv's, furniture, etc.

[Dugout DickStone]

if you're comparing interest rates between all of your loans, then you might not want to pay anything off early because you'd prefer to use that extra cash for paying interest on your next loan.

It's really about comparing interest rates to inflation. If I can get a loan at 3%, that is probably well below the inflation rate over the period of the loan, so I would come out ahead paying the minimum and investing whatever I would have applied to the loan to pay it off early. This plan does not really work if you just pay the minimum and use the extra money to buy things like tv's, furniture, etc.

What about fancy suits and elite cologne?

[Rage Against the McKee]

if you're comparing interest rates between all of your loans, then you might not want to pay anything off early because you'd prefer to use that extra cash for paying interest on your next loan.

It's really about comparing interest rates to inflation. If I can get a loan at 3%, that is probably well below the inflation rate over the period of the loan, so I would come out ahead paying the minimum and investing whatever I would have applied to the loan to pay it off early. This plan does not really work if you just pay the minimum and use the extra money to buy things like tv's, furniture, etc.

What about fancy suits and elite cologne?

Those don't work, either. Items that actually appreciate in value, like some jewelry and interestingly enough, Rolexes, do apply.

[Dugout DickStone]

if you're comparing interest rates between all of your loans, then you might not want to pay anything off early because you'd prefer to use that extra cash for paying interest on your next loan.

It's really about comparing interest rates to inflation. If I can get a loan at 3%, that is probably well below the inflation rate over the period of the loan, so I would come out ahead paying the minimum and investing whatever I would have applied to the loan to pay it off early. This plan does not really work if you just pay the minimum and use the extra money to buy things like tv's, furniture, etc.

What about fancy suits and elite cologne?

Those don't work, either. Items that actually appreciate in value, like some jewelry and interestingly enough, Rolexes, do apply.

Good!   

[ew2x4]

I recently refinanced my home at 3.875%. Cut $200 off my payment a month.

[yoga-like_abana]

torts did u get my pm

[chum1]

will the new host of prop virgins keep them in first place over house hunters?

[hemmy]

looking to buy a house this year as well, but I am really lazy and have no motivation to look.

[wes mantooth]

looking to buy a house this year as well, but I am really lazy and have no motivation to look.

looking for a house can be fun 

[sys]

looking to buy a house this year as well, but I am really lazy and have no motivation to look.

yeah, it's really hard.

[Cire]

I think I looked at 50 houses before buying.  It SUCKS.

[Pete]

Seriously considering my next home to be a duplex where I own both sides and try to rent to people not like Mr. Mom in Pacific Heights.

[Dr Rick Daris]

i've owned three houses in my life. two of them i still own/pay mortgage payments on. i've walked into a total of four houses with the thoughts of buying them. just not that hard folks.

[Pete]

i've owned three houses in my life. two of them i still own/pay mortgage payments on. i've walked into a total of four houses with the thoughts of buying them. just not that hard folks.

Agreed.  I can look on a website, check out the photos, do the "street view" thingy, and pretty much know whether it's a "go" or not.

[hemmy]

i've owned three houses in my life. two of them i still own/pay mortgage payments on. i've walked into a total of four houses with the thoughts of buying them. just not that hard folks.

Can you do some online research for me and point me to the good buys in Johnson county? Thanks.

[Pete]

i've owned three houses in my life. two of them i still own/pay mortgage payments on. i've walked into a total of four houses with the thoughts of buying them. just not that hard folks.

Can you do some online research for me and point me to the good buys in Johnson county? Thanks.

Yes.  What's your budget?

[sys]

i've owned three houses in my life. two of them i still own/pay mortgage payments on. i've walked into a total of four houses with the thoughts of buying them. just not that hard folks.

it is hard, you don't know.

[pissclams]

will the new host of prop virgins keep them in first place over house hunters?

I don't think I will like this new host. She doesn't seem to have Sandra's charm and personality judging from the previews.

Not digging the new host at all. Sandra was very professional and educated about real estate. The new host slurs through words and phrases quickly (as if she's eating them,) had a dress on that was too short and tight for the task at hand - selling real estate (she was dressed more for Hollywood than for selling real estate) and was bland. Can't hold a candle to Sandra; she very obviously has no real estate savvy and it shows. I really miss Sandra and hope that HGTV picks up her new show because I'm done with Property Virgins. It's like a boring rehash of House Hunters (another show that HGTV ruined by removing the one-time host, Suzanne Wong.) HGTV has a great track record of destroying wonderful shows (Designed to Sell) by dumping fantastic hosts (Lisa and Clive) and replacing them with low-quality knockoffs (Tanya Nayak, Monica Pederson) who must cost a lot less because they sure give a lot less to the audience.

[ChiComCat]

I am probably buying a house this year too, pretty excited, not too worried

[Pendergast]

When it comes to financing:
-  Put 20% down, or get there fast. If you can't get to 20% within a year, you shouldn't be buying.

What the eff?  Or you could live somewhere besides the midwest.

[ew2x4]

When it comes to financing:
-  Put 20% down, or get there fast. If you can't get to 20% within a year, you shouldn't be buying.

What the eff?  Or you could live somewhere besides the midwest.

Yes, this is absolutely horrible advice. Especially if you dont plan on living there forever.

[K-S-U-Wildcats!]

When it comes to financing:
-  Put 20% down, or get there fast. If you can't get to 20% within a year, you shouldn't be buying.

What the eff?  Or you could live somewhere besides the midwest.

Yes, this is absolutely horrible advice. Especially if you dont plan on living there forever.

PMI is a waste of money. Might as well flush hundred down the toilet every month instead. And if you don't plan to live in the house for at least 4 years, you typically shouldn't buy because of the costs of buying and selling a home. In addition to closing costs at purchase, you're going to have weaselly agents 3 to 6% when you sell.

Also, the idea that you can earn a better return by investing what you would otherwise spend on a higher mortgage payment sounds great in theory, except that most people don't invest that money. In addition, a 15 year mortgage is about .75% lower interest than a 30 year.

[Kat Kid]

When it comes to financing:
-  Put 20% down, or get there fast. If you can't get to 20% within a year, you shouldn't be buying.

What the eff?  Or you could live somewhere besides the midwest.

Yes, this is absolutely horrible advice. Especially if you dont plan on living there forever.

PMI is a waste of money. Might as well flush hundred down the toilet every month instead. And if you don't plan to live in the house for at least 4 years, you typically shouldn't buy because of the costs of buying and selling a home. In addition to closing costs at purchase, you're going to have weaselly agents 3 to 6% when you sell.

Also, the idea that you can earn a better return by investing what you would otherwise spend on a higher mortgage payment sounds great in theory, except that most people don't invest that money. In addition, a 15 year mortgage is about .75% lower interest than a 30 year.

Wait.  So you're telling me things are easier if you have a bunch of liquid assets ready to buy stuff without financing?

[Dr Rick Daris]

anybody who spends anything on a place to live is just wasting their money. screw that idiot and his stupid "you have to have 20% down" comment. instead, why not just take that 20% and invest it and then go live under a bridge somewhere. my god what is society coming to in this country. 

[Rams]

When it comes to financing:
-  Put 20% down, or get there fast. If you can't get to 20% within a year, you shouldn't be buying.

What the eff?  Or you could live somewhere besides the midwest.

Yes, this is absolutely horrible advice. Especially if you dont plan on living there forever.

PMI is a waste of money. Might as well flush hundred down the toilet every month instead. And if you don't plan to live in the house for at least 4 years, you typically shouldn't buy because of the costs of buying and selling a home. In addition to closing costs at purchase, you're going to have weaselly agents 3 to 6% when you sell.

Also, the idea that you can earn a better return by investing what you would otherwise spend on a higher mortgage payment sounds great in theory, except that most people don't invest that money. In addition, a 15 year mortgage is about .75% lower interest than a 30 year.

   Put 10% down on the primary and get a concurrent piggyback HELOC for the other 10%.  No PMI and you don't have to tie up a bunch of money in an illiquid asset.  With rates what they are right now, borrow as much money as you can for as long as you can.  Then just don't be a total rough ridin' moron with your money.  If you have to give more money to the bank so you don't blow it on lottery tickets and bobblehead dolls, you don't have the self-restraint necessary to be a homeowner anyway.