lol I gain nothing from tracking down links of properties and step by step showing you where the math checks out and where it doesn’t. I really could not care less if I change what you think or not

Water's always going to be the issue with CA. You can build the land denser, but do you have enough water for those extra people?

Alot of people rent as they cant afford the down payment.

Yup. Rent increases in California every year by 5% (due to rent control).

Unless all these renters are getting at least a 5% raise every year, they are getting raped.

This is the truth. Brag about the record low interest rate you are paying and how you sold your home for 30k over value. But completely ignore the price of
The house you just bought appreciating by 30% in the last few years and negating any of that benefit


Still great ways to make money from everything if you know your market well, but the average American is just taking it on the nose with increased asset costs

Buying a house when you don't have an expected time frame in the house of ~7 years is a bad move.

Not anymore

:-/ SD crew. Hold me brahs...

I've been investing in stonks and trying to get some returns to pay my inflated rent next year, but that jig is up whenever the market tanks. It's not a solution that's going to keep working forever.

Going to end up downshifting to like fukking Claremont or going up north to Escondido in a couple years, even as I get further along in my career and make more money. The housing market is phuuuucked. 3 years is kind of my window to where I either get fired or move out of this place.

Even if you are getting a 5% raise every year, and I am beating that, why would you want all of your gains in income to go directly into your housing cost and not actually move ahead at all?

Lol I cash flow my rentals because they are multi families. But even then the long term value is paid off equity and appreciation. Any money gained goes right back into it or saved for future costs. No one is buying and turning single families for rent at a profit without rehabbing them first


Good luck paying $1,200 in mortgage, $250 in taxes, more in insurance and PMI - and finding a tenet that will come in and pay all that AND more so you cash flow. They don’t exist, why? Because at that point they will buy their own property.


Long story short. Negged.

He's talking about these homes:

https://www.zillow.com/homedetails/1...16750828_zpid/

Remember only 40K down payment.

People around me in suburban PA are paying $1,400 - $1,500 all day for multifamily 900sq foot pieces of **** made out of bricks where you can hear your neighbors orgasm.

I don't know, it doesn't make sense. I wouldn't want to rent as it would kill most gains in income. If you buy, at least you can pass that wealth down to your kids.

There are millions of renters living free under eviction moratoriums..... it ain't always a losing proposition....

Agree on that - another good renting occasion is to better understand a market. Moving to a new city for a job with the wife and kids? Rent for a year, see the areas you like and dislike, and then buy. Buying blind can really screw ya

Who do you think is paying for maintenance and repairs where you live right now? Do you think your landlord pays the expenses? lol.

Are you comparing a 1 bedroom apartment to a 3 bedroom home? Why don't you compare buying a 2 bedroom 1 bath home to renting a 2 bedroom 1 bath apartment? I think you'll find the numbers more comparable.


My mortgage is $585 per month. Renting a home with this square footage in this neighborhood is $1850 per month. Lets assume I decide I don't need 1585 square foot, 3 bed 2 bath and a garage + yard. Lets assume I want to down-grade to a 2 bed 1 bath apartment. $1400-1600 per month rent for the apartment in this area. Yes. I put a down-payment on the home. Yes. I have a good deal of equity in the home. Yes. I refi at a very low rate for that juicy low note. But I can't help but imagine what my financial situation would look like if I'd have listened to miscers 6 years ago and kept renting.


Even if I'd have rented a crappy one bedroom apartment at 1K a month for the last six years. I'd have pissed away 72K in rent. I've been putting less then that into my mortgage every month and have about 75K in equity into the home.



I really have a hard time seeing how renters come out ahead unless you just live in a market where rent is cheap and home-ownership prices are ridiculously inflated.

People were saying that the housing market would never crash right before 2008.

Buying a house is in general a good investment, but there will be down periods you need to make sure you have a time frame to ride the variability otherwise you are gambling not investing.

The whole state should ban watering lawns, plants, and those old man toilets.

We live in a fuking desert, we shouldn't have lawns.

If you go down to menifee, you will see many houses just have dirt&gravel or astroturf as their front lawn. That's how every house in California needs to be. If people want greenery, they can go to the east coast or the south.

Logically, we should just have cactus everywhere.

I have a condo, it's up for sale for 20k more than I bought it for 3 years ago, but renting is nice b/c you can just get up and go whenever you want. Sometimes the freedom is worth more than the commitment

You're tied into a lease usually, so you are still stuck on intervals. In this particular market environment, it seems like you can list a property and have multiple offers over the list price within 48 hours with people not even looking at the ****ing thing. I don't see any negatives to ownership outside of potential large scale unexpected repairs and needing to have some cash/credit available for that at all times.

Even if you need a new roof and a new boiler, and you have no cash and borrow at 6-8% on a personal loan, you will still come out ahead in a few years from the appreciation.

We don't have real money any more. Have to adapt to it

your comparing a mortgage you got 20 years ago. 20 years ago rent was bout 350/mth

also you are FORCED to pay property tax/home insurance as well so tack that on.

Lol Jesus F Christ you cash flow because a multi family is MULTIPLE tenants. So if you have a triplex that is 2k in total costs, the 3 renters each pay $800, you will cash flow while ALSO having them save money because $800 beats owning in that same area (good luck finding a mortgage + insurance + PMI for that cheap anywhere)


So the tenant is paying $800 to rent instead of say, $1300 to own their own place. You’re still profiting while owning, it’s still cheaper for them to rent than to own, financially it makes sense for both parties. Apartments work the same way, just at a larger scale, the apartment complex still makes money but you bet your ass it’s cheaper to rent a downtown apartment than own a downtown loft

exactly... wtf? So owning locks in a lower cost of living for your primary residence while everyone else will keep eating massive increases year to year and never get ahead.

It's a losing proposition not to use debt when debt is extremely cheap and assets only go up in value in excess of the cost of debt.

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Sure thing buddy

Yeah, I know, but still it's usually like 6 months or a year, then you have the freedom to move around

my mortgage/tax/association is actually cheaper than rent in my neighborhood

I’ve been on bigger pockets for years , actually got into all this from their podcast.


Any more cards up your sleeve or are you as bad at taking an L as you are at math

only somebody who has never looked at it closely would say this

OP prob lives with relatives

Waiting until I get out of the navy to use my 0% down VA loan. Have 3 years left here and feel like it would be a waste buying a home now.

Too many variable to make such a blanket statement. But in SoCal, unless you’re looking long term, renting is just as viable and responsible option. Short, even sub 5 years, you are setting yourself up for failure between closing costs and getting in at potentially the top-ish of the market which in turn leaves you exposed to potential downturn when you are ready to sell.

In DTLA my rent is $3k for a 2x2. To get something similar, the price would have to be <$650k and that’swith 25% downandnoHOA fees (good luck lol). Doing a quick search for my zip code and immediate surrounding area, that’s not even a slight possibility.

To get anything in that price range, I would have to live either way the fukk out of the city (not an option) or in a borderline slum, and I don’t have the patience or desire to gentrify an area. It’s also the reason I haven’t purchased any investment properties out here, because the ROI is absolute trash at these prices.