HOW THE FUCK DOES ANYONE AFFORD ONE?!

take out a loan that you'll never be able to repay and pay interest to bankers forever while you toil away

house prices are fucking absurd and should be like half of what they are now. they've fucking doubled or tripled in price the past 10 years while salaries have generally remained the same.

it's a racket. meant to get normies used to being in debt their entire lives and working forever.

The Yas Forums discord link is discord gg xe33qt
Join, we will interview John McAfee this week........

Attached: 1577349601367.jpg (800x1257, 292.51K)

With money

>loans
americans everyone

Imagine thinking debt is evil in Yas Forums of all places. What do you think you people are investing in?

So much anti-semitism.

no you don't. stop spamming this shit.

then rent a small apartment
it will never be more expensive than having to pay for an entire house

UAVS

By understanding how you get money back out of the equation at the end and using OPM, other people's money.

I saved up 10% down payment for a home over the last two years and I'm getting a place big enough that I can rent out a portion to a friend of mine for the first year or two. I used first time home buyer assistance in my state, I've got a loan rep assisting me and my buyer's agent to help me fine tune my finances (things like asking for a higher cap on my credit cards, even though I never use it), and I'm being strict with my budget for the next few months while I get the last few things in order.

Based on my projections, the extra money that my friend provides in rent will help dig into the principle. See, part of the problem is that for the first couple of years you're paying mostly interest and not touching the principle too much, but if you can make extra payments early to the principle then you can shrink the lifetime of the loan considerably. If my buddy sticks around for more than a year or two, or I rent to, say, some college kid, then I can probably pay it off in 7 years or so instead of 30. If I settle down with a girlfriend/wife and she contributes, same idea applies.

One thing people tend to forget is that your mortgage interest can be deducted at tax time, and since that makes up more than half your loan, you basically live half the year for free unless your mortgage is enormous enough that the write off exceeds the cap, which if I remember right is either $10k or $20k. If your mortgage payment is around $1000, like mine will be, your interest for the year will be something like $6k, which won't come close.

You also build equity rather than setting fire to a big pile of your money every money. It's a savings account that you get to live in, as long as you don't set fire to it or forget to do the basic upkeep. That doesn't help you get into a home, but it's nice to remember. I mean, we all want wealth, not waste, right?

stop spamming your pump and dump scheme too.

>50% of take home pay
That’s irresponsible and you would be the first to lose your house in a recession. You should never pay more than 25% of your take home pay on housing, and that’s the upper limit. If you want to be safe you should be way under even that.

>meant
if you are talking monthly payments, buying is cheaper than renting the same house. this is how landlords make money

Basically people get a long ass mortgage at a fixed rate and it's cheaper than getting an apartment. That's it.
Now because of this every once in a while a bunch of idiots lose their shirts because they took variable rate mortgages, or because prices dip so much that it actually becomes cheaper to start renting again then it is to keep paying mortgage, but it works pretty well for most folks especially with all the tax writeoffs.

Most banks cap the mortgages they issue people at a 43% debt to income ratio.

Goes down even after that due to property taxes

>used 0 down VA loan
>get job working for US govt overseas, with housing provided
>have tenant move in
>he pays mortgage
>throw an extra couple hundred bucks at it every month
>not going to get rich but he is building equity in it for me
>when I do decide to move back in a few years the value will have gone up while not really costing me a thing.

If paying for a good or service like a roof over your head that you can resell later on down the line is "going down the shitter" I dread to think what you consider a good investment.

Why would you think that it’s in the best interest of the bank to have you spend your money responsibly?

because they dont want you to default

Rent literally goes up every year. In ten years renting a small 1 bedroom apartment will be more per month than my mortgage. And I can resell whenever I want. 2.99% interest zero down VA loan. No black neighbors. Why would you not buy a house right now

You have money and you buy at the right time.
Or you let the bank buy it for you and then you sign a 30 year rent-to-own agreement with them that most people call a "mortgage".

trips confirm

Banks operate on the assumption of endless unlimited growth and that the economy will never slow down or enter a recession. You’re a retard if you think that’s sustainable or realistic.

I don't, but if someone else is willing to give me a big bag of money and I can come up with a clever way to exploit that offer that's in our mutual best interest, why would I say no to that?

Loans are an opportunity. You can waste an opportunity, you can turn an opportunity into a hindrance or even a mistake, but you can also make use of it. Thousands of dollars in purchasing power, right at your fingertips, and all you have to do is work out how you're going to make it work out for you.

The banks want me to pay my interest so that they can make a profit on the loan. I think that's a reasonable thing for them to want out of the situation. I don't want to pay more in interest than I need to, but it's better than paying rent to cover someone else's mortgage and I get to write the interest off, and if I rent out part of the home to someone else then I get to pay even less interest.

That's what mortgage insurance is for, if you don't have enough equity in the property to show you've got skin in the game.

houses are so inaccessible its literally reduced marriage and birth rates to near 0.

But hey, Airbnb stock must go up!

Attached: 1389595639850.png (396x385, 207.72K)

>mortgage insurance
im guessing this is an american thing

Yes, you are correct, but the person you are replying to meant that a small apartment(1bd) will ALWAYS be cheaper than a house because 1bd houses just don't exist. Living in a place with more than 1 bedroom is a huge waste of money if you're childless. I sold my 3bd and started living in a 1bd while investing the money I saved and it's been a very good decision financially.

Yep. Basically if you can't afford the down payment by a wide margin then the bank makes you buy insurance against a default on the loan, and when you have 10% equity in the property the insurance cost is roughly halved, and at 20% you don't need to pay it anymore because you're pretty bought into the property at that point and the bank can make their money back off the sale if you default.

We can't expect black people to be able to put 20% down, so we need to offer them 3% down mortgages. Turns out giving a black person a 3% down mortgage causes financial crises, so now we need to force them to insure their mortgage. That's American logic for you.

Attached: photo_2019-12-01_12-52-16.jpg (896x1280, 253.78K)

Pro tip:

Buy the shittiest home in the best neighborhood. Put sweat equity into it for 2 years and then sell.

This has been my best financial moves and why I im in the top 3% in net worth by my age group.

This stupid boomer at my job was telling me how he bought a house at 18 in the 70s. I told him that’s because he was in the most prosperous times in America. He then went on and tried telling me it can be done today with some cliche platitudes like “put your mind to it”. Boomers are so out of touch they’re borderline retarded. I can’t fucking stand their way of thinking

Preaching to the choir, my nigga.