Quote:
Originally Posted by NoHaveMSG
It's not even that. They are just letting people loan so much they are putting themselves at a crazy high debt to income ratio. Two of my friends, against recommendation, put them selves in this position.
First is a married couple, one kid. He is sole bread winner but makes 6 figure strait commision. They got a $300K+ loan no money down. They just got this place in december. He killed it last year, this year he is making a couple grand a month less than normal. They just accepted an offer to sell their place recently because they are just bleeding out. At what they are getting it is enough to put them back at zero.
Another couple, unmarried, no kids. She makes good money, he is a goof and makes just enough to afford is stupid truck payment. She bought the place in her name only, it was just under $300. They are a $400 disaster away from being broke.
It's cool to have a nice place, but if you are so over extended you are house poor, what is the point and why are banks allowing this  |
The lending is downright predatory. We just rented out our first house. We didn't price at he top of the market, but we attracted what should be a really great tenant. There was another tenant to choose form, but they had an amazing amount of car debt for a couple who didn't even own a home. After turning them down for the house, I ended up paying them back for the credit reports. I figured they needed the 80 bucks a hell of a lot more than I do.
Quote:
Originally Posted by Tcoat
I am a city boy. The huts on a green mountain top may look idyllic but unless you grew up under those conditions you would get very bored very quickly. If you brought in enough modern comforts (such as electricity) that scene would very quickly change and it would no longer be the serene picture it is now but still not have everything a true city would. Just look at what happened to the Inuit people when tech and power was made available. The simple and peaceful life gave way to one of waste and conflict in just a couple of generations. I guess the moral of the story is that you can have one lifestyle or the other but when you try to combine both everything falls apart.
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I'd take a hut on a mountain if there's a good internet connection (even satellite) and a hospital within half an hour.
Our neighbor is off grid in the middle of the bay area. He runs generators 24/7. Gets propane delivered once or twice a week. Course he has more of a palace on a hill than a hut on a hill. 360 degree views of mostly hills, though. He bought them all so nobody would develop them.
In the end, I've got my home. Now I need to buy a location for our business. Sigh. Last I looked, prices were so high, it was cheaper to rent. That might be different now. Not sure.