Who all is in this bucket that doesn't own a home?

Every day that passes I get more depressed about the housing market. Needs to be a crash soon, otherwise I don't know why I just won't continue to rent.

At some point the market will stop paying these ridiculous prices for homes.

Inflation blows

Ghost of Bizbee said:

---

At some point the market will stop paying these ridiculous prices for homes.

---

Read this to yourself in 5 years and see how far it gets you. Starter /reasonable homes rarely lose value like you are hoping.

If you are in the middle and upper market (500k and beyond) ... yes those will fluctuate.

Underlying home prices drive rent rates too. You think the capitalist that owns the asset you lease isn't seeking a return above cost?


Now if your saying that you'll consume at a lower level (like an apartment inside a complex) due to your perception of overvaluation in housing - that could be a winning strategy.

Most people's personal life (family with kids) make that pretty impractical

evestor1 said:

---

Ghost of Bizbee said:

---

At some point the market will stop paying these ridiculous prices for homes.

---

If you are in the middle and upper market (500k and beyond) ... yes those will fluctuate.

---

Hahaha. I can tell you don't live where I do.

Im in my mid 30's, single, and dont own a home. I travel a lot and owning a home just sounds like too much work (I know this makes me sound like a typical millennial lol). I would rather rent pretty cheap and be able to save/invest a lot in my taxable account, which is what Ive done for the past 10+ years or so.

I think if/when I get married, thats when I will buy a home. But I dont think it makes sense for me to buy a home as a single guy. Plus, I dont want to buy a home in the suburbs as a single guy either.

We're in a bubble for sure but that doesn't mean you can't still find value if you are diligent and flexible. If you're in Houston come buy the cheapest house in westbury and get a roommate. Follow the old adage "cheapest house in the best neighborhood" and just do it. A basketcase on a busy road can probably be had for close to dirt value, and if the location is good (not willis or sealy) there is almost 0 chance you won't get your money back in a couple years, especially considering what you collected/would have paid in rent. Buying a home is still one of the most surefire ways for a young person to build wealth in this country, you just might have to work a little harder at it right now

Edit to add: a basketcase will eat you alive if you don't have interest and ability (and/or ability to learn) to do medium sized house projects, and/or experience being your own gc. The really big stuff (roof, hvac, underslab plumbing) can be replaced as part of the transaction

So your advice is to buy a lot value house on a busy street in Westbury and ask the seller to pay for repairing/replacing all the major structural and mechanical items prior to close?

Sounds like a slam dunk to me.

I wouldn't buy in either of those markets right now.

In Seattle, you'd have to pay $700K to live in a dump in Federal Way. In the Bay Area, you'd have to live 100 miles inland.

Yeah you couldn't pay me enough to move to bay area. I know because my wife had an offer a couple years ago and we did the math, and the number she would have needed was outrageous

Diggity said:

---

So your advice is to buy a lot value house on a busy street in Westbury and ask the seller to pay for repairing/replacing all the major structural and mechanical items prior to close?

Sounds like a slam dunk to me.

---

Yeah good luck. Sellers ain't paying for **** in this market.

utah, get me two said:

---

lucked out with their homes and interest rates

---

Im not sure that's how it works…

Gotcha.

I guess I'm looking at it from the perspective of someone who saw what was likely coming and pulled the trigger to lock in a low rate. My wife and I knew we would be in the market soon so we did what we could to pull the trigger when we did rather than miss the boat. I don't consider it "luck" per se. Just a matter of priority and geographical location.

I bought a crappy house in a meh neighborhood at the lowest point-2011. I still live there, have a tiny mortgage, no other debt. The key is living life for your own true enjoyment, not to impress others.

ABATTBQ11 said:

---

CC09LawAg said:

---

utah, get me two said:

---

lucked out with their homes and interest rates

---

Im not sure that's how it works…

---

It kind of is. It's hard to find a great house in a low interest market because they go quickly. You have to be lucky enough to find out it's on the market much less put it an offer and get it. You can buy any house in a hot market, but getting a house you really like takes some luck.

---

We found our dream house in the 2.75% rate environment last year and it was 100% luck.

Red Pear DFW Luke said:

---

Save Ramsey

---

Lol

Charismatic Megafauna said:

---

Buying a home is still one of the most surefire ways for a young person to build wealth in this country, you just might have to work a little harder at it right now

---

But its not the only way for a young person to build wealth. I have a pretty nice stock investment portfolio for being in my mid-30's, and thats because I have been able to rent for cheap, and sock a ton away in my investment accounts. I think Im wealthier due to the fact that Ive been able to rent for cheap, as opposed to buying a house and having most of my net worth tied into it.

I'm surprised you can find cheap rent somewhere that you can't find an affordable home. Our rent in Denver was only slightly cheaper than our mortgage.

The Pilot said:

---

I'm surprised you can find cheap rent somewhere that you can't find an affordable home. Our rent in Denver was only slightly cheaper than our mortgage.

---

I pay $1050 a month for a nice apartment inside the loop in Houston. I wouldn't be able to find a similar price point for a home mortgage inside the loop in Houston lol.

You will never buy a house if you are trying to time the market. Millions of homebuyers can provide evidence of that. Buy what you can afford now, upgrade in the future.