Living below your means has nothing to do with buying a house. What he meant was "some people should not buy a home because they are too dumb to know what they can afford". That is always good advice, but that applies to life in general. You do not want to buy a home outright with cash. Money is cheap right now, so that would be a dumb thing to do. You misunderstood what he was telling you.
Landlords don't base their rent on their mortgage costs. Some don't even have active mortgages on their property. But they aren't going to price it below a potential mortgage.
You aren't "stuck with it". Amazingly, you can actually sell a house. They even have people who make a living selling and buying houses! I know, amazing, right? In fact, I know people who actually have SOLD THEIR HOUSE and moved to a different town! Amazing, but true. Some of us are secure enough financially that we don't need to move when we lose any particular job.
But you aren't "better off". Some people would trade a grand or two a month to not have to deal with renters, or live in a triplex/duplex. That sounds like a miserable life to me. Amazingly, some people like to live life differently than you do.
Unless you don't want to be tied down with complaining renters who live next door to you in a shared wall. Many people want to live in houses and spend time with their family, rather than taking care of renters.
Rent CAN'T be cheaper than buying for any particular property. A landlord isn't going to rent to you at a loss! I don't know why people continue to post this silliness. Sure, you can find a home that is cheaper to rent compared to buying a different home, but you are comparing apples to oranges. Landlords aren't renting at a loss.
Big deal. I work 35 hours a week and take off 4-5 weeks and have a single family home in a major city. Anecdotes are fun, but meaningless. As you said: "do what rich white people do", right? They aren't living in duplexes/triplexes.
If you rent, you are paying your landlords mortgage + maintenance + taxes + profit. Do you think your landlord is renting to you at a loss? Home ownership in Europe is a completely different prospect than in the US.
No they didn't. Why do people post such garbage? The proposal is that new home buyers can only deduct interest on the first $750,000 of a mortgage. If you are getting a 750k mortgage on a house then you are already in the top 10% of earners (at least!). The current threshold is $1,000,000.
Bad advice. Renting a house is paying someone else's mortgage. Landlords aren't renting for kicks: they want to make money ON TOP OF paying off the mortgage and taxes, and maintenance costs, etc. Renting will always be more expensive than a mortgage for any particular property, it has to be. Renting an apartment is fine, but renting a house is really not too smart financially, unless you know you aren't going to live in an area for a significant period of time. Of course, if you don't care about the financial aspects and don't want to get tied down to a property then renting is fine too. But don't make it out to be financially sound.
No, money can't address that. These are mentally ill people. Many of them aren't even aware where they are. You cannot just hand them a free house and counseling and expect it to be OK. The problem is that there is no way to force people to seek treatment for their mental problems.
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Living below your means has nothing to do with buying a house. What he meant was "some people should not buy a home because they are too dumb to know what they can afford". That is always good advice, but that applies to life in general. You do not want to buy a home outright with cash. Money is cheap right now, so that would be a dumb thing to do. You misunderstood what he was telling you.
Landlords don't base their rent on their mortgage costs. Some don't even have active mortgages on their property. But they aren't going to price it below a potential mortgage.
"Now most people compare 2000 square foot house ownership with a 500 square foot apartment and then claim it's obviously more expensive to own."
Bingo. You see that a lot here.
"No, renting is not always more expensive than a mortgage, as many renting out homes bought houses when prices are lower."
Wrong. Landlords aren't dumb. They know what a rental is worth. They don't base their rent on what they originally paid for the house.
You aren't "stuck with it". Amazingly, you can actually sell a house. They even have people who make a living selling and buying houses! I know, amazing, right? In fact, I know people who actually have SOLD THEIR HOUSE and moved to a different town! Amazing, but true. Some of us are secure enough financially that we don't need to move when we lose any particular job.
But you aren't "better off". Some people would trade a grand or two a month to not have to deal with renters, or live in a triplex/duplex. That sounds like a miserable life to me. Amazingly, some people like to live life differently than you do.
Unless you don't want to be tied down with complaining renters who live next door to you in a shared wall. Many people want to live in houses and spend time with their family, rather than taking care of renters.
The proposal is $750k, not $500k.
Exactly. This is when renting makes sense. You are also single and have no children.
Rent CAN'T be cheaper than buying for any particular property. A landlord isn't going to rent to you at a loss! I don't know why people continue to post this silliness. Sure, you can find a home that is cheaper to rent compared to buying a different home, but you are comparing apples to oranges. Landlords aren't renting at a loss.
Big deal. I work 35 hours a week and take off 4-5 weeks and have a single family home in a major city. Anecdotes are fun, but meaningless. As you said: "do what rich white people do", right? They aren't living in duplexes/triplexes.
If you rent, you are paying your landlords mortgage + maintenance + taxes + profit. Do you think your landlord is renting to you at a loss? Home ownership in Europe is a completely different prospect than in the US.
No they didn't. Why do people post such garbage? The proposal is that new home buyers can only deduct interest on the first $750,000 of a mortgage. If you are getting a 750k mortgage on a house then you are already in the top 10% of earners (at least!). The current threshold is $1,000,000.
Bad advice. Renting a house is paying someone else's mortgage. Landlords aren't renting for kicks: they want to make money ON TOP OF paying off the mortgage and taxes, and maintenance costs, etc. Renting will always be more expensive than a mortgage for any particular property, it has to be. Renting an apartment is fine, but renting a house is really not too smart financially, unless you know you aren't going to live in an area for a significant period of time. Of course, if you don't care about the financial aspects and don't want to get tied down to a property then renting is fine too. But don't make it out to be financially sound.
It has nothing to do with "being white" either.
Some of us prefer quality of life over saving money. I don't want to live sharing a wall with other people.
How about "The Kids Took my Job"? Great book!
Why would you spend resources making $20 when Bitcoins are $20000?
Thanks. That is why I earn $50,000 in IT in Silicon Valley.
Sure the top search should be for APK Host Files Engine++? Everyone wants that software.
....but we still can't write small password keeper programs correctly yet. But somehow AI is going to happen.
Obviously: write your own VPN client for Linux!
How is it karma, when you just admitted you gave them money getting a Windows 10 machine?
It is 2017 and the Uncanny Valley is very much still alive. AI isn't real.
Considering you don't know the difference between "breathe" and "breath" you should probably hold your breath a while longer.
No, money can't address that. These are mentally ill people. Many of them aren't even aware where they are. You cannot just hand them a free house and counseling and expect it to be OK. The problem is that there is no way to force people to seek treatment for their mental problems.