Worst Investment Ever.....


Da_Sperm said:
Well, just like furniture, it is a cost you will incur even if you are in an apartment or house. Just like utilities, you pay utilities in an apartment, just like you do with a house. A portion of your rent pays for maintenance also.

I don't think you included cost such as (furniture, insurance, maintenance, drapes/blinds, electronics, stove, refrig, etc.) because these are cost you incur no matter where you live.

You basically include the cost that is associated with the property, less the cost of being alive (utilities, insurance, furniture, etc.). I would go as far to say it doesn't matter what the purchase price is, all that matters is the money you invested at the time of purchase.





Lets say you buy a car for $15K and you sell it five years later for $5K. Do you say you lost only $10K on the car? Or do you include insurance, property and sales taxes, registration, inspection, gas, maintenance, car washes, parking, tolls, etc? If not, then add all those expenses together and your total cost of the vehicle over 5 years would be $30K and you would have lost $25K on the sale of the car, not $10K.
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I agree with that...

But the cost of insuring a house is significantly more than the cost of insuring an apartment. You can insure an apt for under $200/year.... A house will cost you 5-10 times that.
 
jag4life said:
I agree with that...

But the cost of insuring a house is significantly more than the cost of insuring an apartment. You can insure an apt for under $200/year.... A house will cost you 5-10 times that.
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That?s because as a renter you?re only
Insuring contents, As an owner you?re insuring
Structure, contents, personal liability, and all types of riders

I got $600 dollars once just cause the power went out for a day.
 

Tony said:
That?s because as a renter you?re only
Insuring contents, As an owner you?re insuring
Structure, contents, personal liability, and all types of riders

I got $600 dollars once just cause the power went out for a day.
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Of course. It is all a part of owning a home and is a necessity.
 
Da_Sperm said:
Well, my guess is you are not at home living with mama and the reality is you are paying $4K in taxes (via rent) and you are NOT getting $1K of your income tax bill reduced through deduction because you don't own a house. You are in the hole $4K. (did the math)

Anything that you can sell is an investment. Anything that you can sell for more than what it has cost you, is a profit on your investment. You need to realize that a house is a FINANCIAL investment.
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Yeah Baby..........and if the price dips a little during any period of time....REMEMBER...You haven't lost anything untill you sell......by the same token you don't make anything until you sell either.

Buy low......SELL HIGH and don't put your money into anything that you don't understand especially bro-in-laws new venture of putting a TALL MENS Shop in China or some wacky snit like that~!
 
jag4life said:
I agree with that...

But the cost of insuring a house is significantly more than the cost of insuring an apartment. You can insure an apt for under $200/year.... A house will cost you 5-10 times that.
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Are you talking about Renters Insurance? If so, you as a renter are paying HOMEOWNERS Insurance AND RENTERS INSURANCE. What (I THINK) you don't understand is you as a renter are paying HOMEOWNERS INSURANCE on the apartment you live in. That protects the owner for damages to the structural unit of the property. I you then add RENTERS INSURANCE, it protects your personnel property inside the apartment. In the end, you are paying for 2 policies.

Like I said, insurance is something you will pay on both your personal primary home residence and you will pay it on the apartment also, even if you don't have your own Renters Insurance policy.

The cost of insuring a house is NOT 5 to 10 times more. Regardless, you have to have insurance to cover the structure (brick, walls) and market price for labor. You can choose not to cover your personel property on a home policy, which is the same as insuring a rental property as an owner.
 
Yes I was speaking of Renters Insurance and I know it only pays for my belongings... that's all I need it to pay for directly. As far as paying the landlord's policy...of course... that's common sense to know that.
 
And sperm your points comparing owning vs renting really don't matter here. I would rather be in a house also. But the point of this thread is that buying a house to live in should not be viewed as a positive cash-flow investment.
 
jag4life said:
And sperm your points comparing owning vs renting really don't matter here. I would rather be in a house also. But the point of this thread is that buying a house to live in should not be viewed as a positive cash-flow investment.
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It adds to your net worth, thereby allowing you to
have more buying power.
 
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