Comments on: My Sister Just Bought a House… Yay?

By: J. Money

J. Money — Tue, 29 Mar 2011 18:50:36 +0000

Hey guys — sorry for the delay in responding, just got back from Dallas over the weekend :) Had Love Drop #3, baby!!

Here are some responses:

@Serendipity – Yep. There are other ways to “invest” too than a home (If you can even call that an investment? I’m still on the fence with that one). For those who don’t think home ownership is for them, but wants to put money into something, there are a TON of investment vehicles that could add up over time and do just as well!
@Justin @ MoneyIsTheRoot – I know, that sucks right? Have a few near us too – pretty sick.
@Craig – Right. If home ownership IS for you, and you have the money to really rock it out, then it’s DEF a hell of a great time to buy – no doubt about it.
@Kim @ Say What?! – Me too :) She’s a smart cookie, so I’m sure she’ll be really happy with the decision. I’m just playing the role of devil’s advocate to get the ol’ brain juice flowing.
@StackingCash – Nice! That is awesome!!! And yes, def. interesting that 401ks to you are like homes to me, haha… Although for me – even though we DID get burned by the turn of the economy – it’s more about feeling “stuck” than losing a crap ton of money. Even if our house was worth the same, or a lot more, I’d still be freakin’ out ;) Except then I’d have sold by now! haha… but yeah, totally get what you’re saying. I like that we’re all different :)
@Braden Jageman – Awesome!!! That’s a dream for me — traveling the world and not having any huge attachments to worry about. Good for you and the fam :)
@Momma Star – Haha, yeah. Ya neve know though – sometimes the people that come into your life change your views on stuff like that. I often wonder how I’ll feel about it all if/when we ever start having kids :) As long a you do what you think is BEST at the time, you’ll totally be okay though. If you and I are both still online by that point, let me know what you decided, haha…
@Edwin @ Cash The Checks – For sure, home ownership can def. be great in the long term if it fits your personality.

By: Edwin @ Cash The Checks

Edwin @ Cash The Checks — Sat, 26 Mar 2011 23:20:06 +0000

Buying a house isn’t for everyone. I bought one and for me the main reason was that I didn’t want to be paying for rent when I’m 70+ years old. It’s right for a long-term approach but with the market the way it is now renting is looking like a good idea.

By: Momma Star

Momma Star — Sat, 26 Mar 2011 20:43:54 +0000

I’m with you on the whole house buying ordeal. It’s def not for everyone including myself in the time being. I do have a long term goal to one day save enough money for a down payment on a home but I have a feeling once that time comes around I will not be able to make the leap. The math I’ve done with home ownership doesn’t out way renting. You can say I’m not a fan of home ownership right now. :)

By: Braden Jageman

Braden Jageman — Fri, 25 Mar 2011 17:16:22 +0000

I totally agree. I’ve been renting my whole life and don’t plan to stop! I often find that when I travel I end up spending less per month than I would have paying rent or a mortgage. My parents are even taking the hint and once they find a sucker to buy their house they’re spending the leftover cash to explore the world and just pay rent.

By: StackingCash

StackingCash — Fri, 25 Mar 2011 01:00:16 +0000

Wow, your aversion to home ownership is identical to my aversion to the stock market and anything related to it, like 401k’s and Roth IRA’s. It really comes from getting burned from the choices we made regarding the two. My home is my financial foundation whereas your 401k is yours. I bet you wonder how I can say my home can be compared to your 401k especially since I live in the devastated Las Vegas market. Well the first key was that it was affordable to me to the point where I was able to pay it off quickly. It is also located in a decent neighborhood. My rent now consists of just property tax and insurance which runs about $250/month. Short of a cataclysmic event, I do believe my home ownership aids in my financial security.

By: Kim @ Say What?!

Kim @ Say What?! — Fri, 25 Mar 2011 00:38:19 +0000

Home ownership definitely isn’t for everyone. I can see why you’re worried. For me, home ownership was something I dreamed of for years and worked really hard to research and make it happen. But others, who claim to be so envious, make no steps toward financial responsibility, or just simply can’t stay in one place for long enough to make it believable. I hope your sis truly did think it out and it ends up being a decision she can live with.

By: Craig

Craig — Thu, 24 Mar 2011 21:38:43 +0000

It’s scary to think that some people just haven’t learned from the past few years. If you’re able, though, it seems like this is the best time to become a homeowner. Just don’t make the mistake of buying too much for your budget.

By: Justin @ MoneyIsTheRoot

Justin @ MoneyIsTheRoot — Thu, 24 Mar 2011 19:49:24 +0000

I just bought a house last year and Im still seeing the values drop all around me. The shortsales and foreclosures arent in as good a shape as my house was when I purchased it, but their values as comparables dont reflect that!

By: Serendipity

Serendipity — Thu, 24 Mar 2011 19:44:55 +0000

I think a lot of people have the notion that you HAVE to buy a house to be responsible and it is a good investment. Buying a house isn’t always a good investment. I live in Las Vegas which has been hit insanely hard by the economy and I cringe when I see all of the foreclosure notices. A lot of people did stupid financing and bought homes because they thought it was good investment. Even people who didn’t do stupid financing still have lost so much because houses here are worth crap now. It just goes to show that owning a home isn’t for everyone. For myself, I like the idea of being able to leave when I want. I like that.

By: J. Money

J. Money — Thu, 24 Mar 2011 18:09:15 +0000

@Lauryn – I’m leaning that route too, although not sure if the wife is totally on board ;) She loves adventures but not a fan of moving a couple times a year.
@Kevin @ Thousandaire.com – Haha, at least you’re good at knowing what you want! I actually look around too just for fun, but there’s really no way that’s happpening again anytime soon. Not against it if I KNEW I’d be settling down for 5-10 years though.
@T. Penny – Esp my brother!
@Trinnie – Hehe yeah – but you guys knew you’d be living there for a while, right? Or no? I’m totally cool w/ ownership if you wanna be settled and/or don’t mind doing home repairs – a whole OTHER ballgame I forgot to mention! D’oh.
@Jon the Saver – Oh how I want to move to San Diego!!! Cali is next on our list, so when we eventually make it I’ll give ya a shout :) Although the Mrs. really likes LA, so we’ll se where we end up landing.
@Matt Herman – No doubt about it – financially speaking owning a home can really do wonders. I’m all for that, esp on a deal! (and I’m glad you all got hooked up too, that’s awesome yo!) My main concern is that some people don’t understand that it really IS a huge commitment. If you don’t like to stay under one roof for 5+ years, maybe even 7+, then it may not be a good idea to buy – that’s all. Well, that and making sure you have the money to fix things up and maintain it, which your budgeting comment alluded to. If you have the money AND you want to lay down roots? Great! Just don’t try and convince yourself you can change based on a smart financial “investment.” There’s more to it than just the money.
@retirebyforty – Hahhahahaha that is AWESOME!!!! Do they want to come join the Redskins and rent out OUR place? :)