The U.S. Will Become A Nation of Renters

[850credit]

US will ‘become a renter nation,' says real estate investor

Rising home prices are keeping prospective buyers out of homeownership — and some investors say it could be good for the rental market.

ca.finance.yahoo.com

“Homeownership is still dead in this country because the only people that are buying homes right now are people that have equity, great credit and a job,” multi-family housing investor Grant Cardone told Yahoo Finance.

“We’re going to become a renter nation in this country,” said Cardone. “Renting will become the economic choice and the desirable choice again…”

Americans — especially renters — have lower credit scores, higher rates of unemployment and less savings for a downpayment than they did at the beginning of the pandemic.

“Homeownership is being driven by the upper class,” said Cardone. “You need a job that is secure, they’re [the banks] going to look at how you actually went through March, April, May and June with your job. If that was even slightly suspect, you’re not gonna get a home loan… You need a better credit score than you needed before COVID, and you need to secure a job.”

 

[Tito_Jackson]

Facts all day!!! My lender is nice as hell right now trying to do everything to make sure our sale goes through.

Hopefully one person out there will read what I am about to say.

Make 2021 the year you buy a house. Even if you make little money and can afford your rent, you can buy a house, especially if you never bought a house before. Through fha and down-payment assistance you can get into your home with little upfront money. Your credit does not have to be perfect. The main thing is your job and a lender who is willing to work with you. If you have at least a 600 score, you will get a mortgage. Yes, your rate will be a little higher, but still cheaper than rent in many cases. Also, get a small fixer upper thats less than $100K. Plan to be there 2 or 3 years. While there, paint, put in floors, update fixtures, fix the landscaping. If you do this overtime, it won't seem like you are spending a lot of money.

You will be able to spring board to a large home because of the home you have. Please consider this. NY and Cali folks, this probably won't work exactly the same for you. Sorry. Prices are way higher and inventory is scarce.

 

[4 Dimensional]

I’ve made arguments in the past that people with money has the biggest advantage. The can buy homes right out while the majority of people are stuck in 30 year loans. And then rent those houses out.

On top of the increasing housing prices that is becoming absurd in many cities. I’m still trying to figure out where all the money from my city is coming from for the housing prices to be what they are now.

There is this new neighborhood beside me that are selling 1200 squared foot houses for 256k. That’s crazy high for those type of cookie cutter houses with no lot space, especially in Greensboro.

I hate the idea of being stuck in such a long term loan while being a slave to debtors my entire life. Between student loans and a mortgage loan, I’m screwed from life unless I start making big money.

 

[xfactor]

http://www.naca.com for brothas with no capital or bad credit.

 

[Tito_Jackson]

I’ve made arguments in the past that people with money has the biggest advantage. The can buy homes right out while the majority of people are stuck in 30 year loans. And then rent those houses out.

On top of the increasing housing prices that is becoming absurd in many cities. I’m still trying to figure out where all the money from my city is coming from for the housing prices to be what they are now.

There is this new neighborhood beside me that are selling 1200 squared foot houses for 256k. That’s crazy high for those type of cookie cutter houses with no lot space, especially in Greensboro.

I hate the idea of being stuck in such a long term loan while being a slave to debtors my entire life. Between student loans and a mortgage loan, I’m screwed from life unless I start making big money.

If it were me and I was looking for my first house, this would be a candidate. You could get in, pay $590 ish a month. I would advise paying twice the monthly as much as possible. Make improvements as you could.

This house doesn't show well. But, once you move the old furniture out, fresh paint, laminant or vinyl floors, new fixtures and hardware in the kitchen and bathroom and a new butcherblock counter top. Equity!!!!!!!

1508 Lovett St, Greensboro, NC 27403 | Zillow

Recently sold: $63,000. GREAT PASSIVE INCOME PERFORMANCE HOME W/ POSSIBLE OWNER FINANCING!!This renovated 3/1 home commands higher values than a sales comparison approach offers. This student rooming Investment home is fully operating & turns $1,175/mo. Very low vacancy!! As an investment...

www.zillow.com

 

[Tito_Jackson]

http://www.naca.com for brothas with no capital or bad credit.

Golden!!!!! I was gonna share this!!!

 

[4 Dimensional]

If it were me and I was looking for my first house, this would be a candidate. You could get in, pay $590 ish a month. I would advise paying twice the monthly as much as possible. Make improvements as you could.

This house doesn't show well. But, once you move the old furniture out, fresh paint, laminant or vinyl floors, new fixtures and hardware in the kitchen and bathroom and a new butcherblock counter top. Equity!!!!!!!

1508 Lovett St, Greensboro, NC 27403 | Zillow

Recently sold: $63,000. GREAT PASSIVE INCOME PERFORMANCE HOME W/ POSSIBLE OWNER FINANCING!!This renovated 3/1 home commands higher values than a sales comparison approach offers. This student rooming Investment home is fully operating & turns $1,175/mo. Very low vacancy!! As an investment...

www.zillow.com

Yeah, if I was a single guy. Without a doubt.

No way in hell is wifey and daughter going for that. Lol.

I know how they are.

 

[Tito_Jackson]

Yeah, if I was a single guy. Without a doubt.

No way in hell is wifey and daughter going for that. Lol.

I know how they are.

New construction $149K

3 bds • 2 ba • 1,232 sqft

400 Lowdermilk St, Greensboro, NC 27401 | Zillow

Recently sold: $15,000.

www.zillow.com

 

[Llano]

Foreclosures will pick up next year, a lot of people are behind their mortgage because of the pandemic. If your an investor trying get another rental, look into doing a "subject to" deal for people who want out of their mortgage. Thats my game plan for my next rental.

 

[4 Dimensional]

New construction $149K

3 bds • 2 ba • 1,232 sqft

400 Lowdermilk St, Greensboro, NC 27401 | Zillow

Recently sold: $15,000.

www.zillow.com

I appreciate it, fam. Trust me. I’ve been looking around.

I know what I am working with right now. I also know what my wife wants. I know what I’m looking as well.

If we meet half-way, then that’s at least 200k in this city.

 

[xfactor]

I’m looking to acquire a farm once the rich rednecks begin to default thanks to Trump.

Foreclosures will pick up next year, a lot of people are behind their mortgage because of the pandemic. If your an investor trying get another rental, look into doing a "subject to" deal for people who want out of their mortgage. Thats my game plan for my next rental.

 

[p5ych3]

http://www.naca.com for brothas with no capital or bad credit.

they also work for ppl with capital and good credit as they can help get a lower than avg interest rate.

 

[305]

Facts all day!!! My lender is nice as hell right now trying to do everything to make sure our sale goes through.

Hopefully one person out there will read what I am about to say.

Make 2021 the year you buy a house. Even if you make little money and can afford your rent, you can buy a house, especially if you never bought a house before. Through fha and down-payment assistance you can get into your home with little upfront money. Your credit does not have to be perfect. The main thing is your job and a lender who is willing to work with you. If you have at least a 600 score, you will get a mortgage. Yes, your rate will be a little higher, but still cheaper than rent in many cases. Also, get a small fixer upper thats less than $100K. Plan to be there 2 or 3 years. While there, paint, put in floors, update fixtures, fix the landscaping. If you do this overtime, it won't seem like you are spending a lot of money.

You will be able to spring board to a large home because of the home you have. Please consider this. NY and Cali folks, this probably won't work exactly the same for you. Sorry. Prices are way higher and inventory is scarce.

Emphasizing this all depends on where you live. Alot of you guys here live in miserable cities in the midwest and south. You will get houses for really cheap next year (I would actually advise you get out of shitty place but if you cant)

Otherwise I disagree with what you have said king. I would advice rent your actual home. Again I go back to this depends on your city. This advice is not for everyone.

Buying a home should only be to make income off that home by renting it. You rent that home and make it pay for the home your renting. You will most likely be able to get a better, flyer, doper home for rent than you would to buy. Buy a cheap home, rent it out, move to Miami, live near the beach for same rent money.

 

[Tito_Jackson]

I appreciate it, fam. Trust me. I’ve been looking around.

I know what I am working with right now. I also know what my wife wants. I know what I’m looking as well.

If we meat half-way, then that’s at least 200k in this city.

Gotcha. Try to convince her to do a fixer upper. It will be the best bang for your buck. No, its not pretty when you first move in, but it is the better business move.

Also, try to buy lower than you can afford. This way you can pay off the house faster and use more capital to make improvements. I know alot of house poor dudes with mini mansions. Don't be that guy.

 

[babygwirl18]

The US is already a country full of renters, in a sense.

Most people that own their homes, have less than 30% equity in it and never plan on paying it off. They just pay their monthly nut, and when they move they pay off the rest of the mortgage and take their gains and put it down on a new house and continue to pay monthly.

From a cash flow standpoint, it looks very much like renter who pays rent every month, and when he moves gets back his security deposit and uses it on a new home.

The biggest difference is interest rates. By law a landlord must put a renters security deposit in an interest bearing account.

For the past 20 years interest rates have been very low and that means appreciation of equity has outpaced interestyou’d get on a security deposit.

Home ownership used to mean actually slowly paying for a home that eventually you would never have to pay for. Now it just means paying a monthly fee for the rest of your life, which is eerily similar to renting.

 

[xfactor]

they also work for ppl with capital and good credit as they can help get a lower than avg interest rate.

Good point. They are good for anyone. The only drawback(s) is they have limits on property purchase price and you cannot own other property in your name but I agree. That is why I posted. We must get into OWNERSHIP.

 

[Tito_Jackson]

Emphasizing this all depends on where you live. Alot of you guys here live in miserable cities in the midwest and south. You will get houses for really cheap next year (I would actually advise you get out of shitty place but if you cant)

Otherwise I disagree with what you have said king. I would advice rent your actual home. Again I go back to this depends on your city. This advice is not for everyone.

Buying a home should only be to make income off that home by renting it. You rent that home and make it pay for the home your renting. You will most likely be able to get a better, flyer, doper home for rent than you would to buy. Buy a cheap home, rent it out, move to Miami, live near the beach for same rent money.

Lol!! No disagreements here. What you shared is what I usually say to those with more flexibility. Renting your home or even buying a duplex are ideal moves.

Nonetheless, cats need to buy property. Despite what any republican, Democrat, liberal, or conservative will tell you.........weath is directly related to property ownership. This is moreso regarding generational wealth.

 

[4 Dimensional]

I know alot of house poor dudes with mini mansions. Don't be that guy.

Mind to give examples of being house poor?

 

[Man_Of_STeeL]

these hedge funds and institutional investors are buyin' up whole zip codes of single-family homes....just to turn around and rent 'em out...

they have billions of dollars under management...they can leverage up 50 to 1...they can afford to over pay for homes...

they are chasin' a return because every other investment is in a major bubble....

 

[Tito_Jackson]

The US is already a country full of renters, in a sense.

Most people that own their homes, have less than 30% equity in it and never plan on paying it off. They just pay their monthly nut, and when they move they pay off the rest of the mortgage and take their gains and put it down on a new house and continue to pay monthly.

From a cash flow standpoint, it looks very much like renter who pays rent every month, and when he moves gets back his security deposit and uses it on a new home.

The biggest difference is interest rates. By law a landlord must put a renters security deposit in an interest bearing account.

For the past 20 years interest rates have been very low and that means appreciation of equity has outpaced interestyou’d get on a security deposit.

Home ownership used to mean actually slowly paying for a home that eventually you would never have to pay for. Now it just means paying a monthly fee for the rest of your life, which is eerily similar to renting.

It depends on the home.

People also buy homes they cant afford and or do not strategically pay off homes as they should. Even paying an additional $100 a month saves 1000's over the life of the loan.
Lastly, one can not dispute that a person who has a mortgage in good standing usually has a better credit profile that a renter. You can still use a house with a mortgage as equity or collateral to buy another house or get loans to start a business. In many cases as early as the second year of being in the home.

 

[babygwirl18]

It depends on the home.

People also buy homes they cant afford and or do not strategically pay off homes as they should. Even paying an additional $100 a month saves 1000's over the life of the loan.
Lastly, one can not dispute that a person who has a mortgage in good standing usually has a better credit profile that a renter. You can still use a house with a mortgage as equity or collateral to buy another house or get loans to start a business. In many cases as early as the second year of being in the home.

Agree with most of what you are saying. My point was just that the people that we call “owners” really don’t own anything.

They make a payment every month, forever. Maybe we should be called super-renters (because their are some financial benefits to “owning”) a home.

 

[kdogg3270]

Mind to give examples of being house poor?

he means when all your money is going into paying the bills, with nothing left over to have fun, buy things, pay into 401k, etc. Basically living paycheck to paycheck.

 

[sumofyallniggasisbitches2]

Facts all day!!! My lender is nice as hell right now trying to do everything to make sure our sale goes through.

Hopefully one person out there will read what I am about to say.

Make 2021 the year you buy a house. Even if you make little money and can afford your rent, you can buy a house, especially if you never bought a house before. Through fha and down-payment assistance you can get into your home with little upfront money. Your credit does not have to be perfect. The main thing is your job and a lender who is willing to work with you. If you have at least a 600 score, you will get a mortgage. Yes, your rate will be a little higher, but still cheaper than rent in many cases. Also, get a small fixer upper thats less than $100K. Plan to be there 2 or 3 years. While there, paint, put in floors, update fixtures, fix the landscaping. If you do this overtime, it won't seem like you are spending a lot of money.

You will be able to spring board to a large home because of the home you have. Please consider this. NY and Cali folks, this probably won't work exactly the same for you. Sorry. Prices are way higher and inventory is scarce.

If they are an option for you use this home buying program NACA.....Best shit ever!

• No down payment,
• No closing costs,
• No fees,
• No requirement for perfect credit,
• And at a below-market interest rate

Home | NACA

www.naca.com

 

[LordSinister]

Home ownership used to mean actually slowly paying for a home that eventually you would never have to pay for. Now it just means paying a monthly fee for the rest of your life, which is eerily similar to renting.

Try asking your landlord to borrow 200k against the equity you built up paying rent for 10 years as the value of the property increased.

You should never be house poor. Get a property and mortgage that is less than you can afford and pay extra on the principal. $100 a month makes a difference if you can afford it.

Avoid paying mortgage insurance at all costs. That's there to tax you incase you default. Why set yourself up for failure and pay the bank to make it happen?

 

[850credit]

Home ownership can be the key to success if you are willing and able to rent out your extra space...bedrooms, basement, or garage/mother in law suite.

 

[mad_bomber]

You never truly own a home. Stop paying your property taxes. You will see who owns your home then.

 

[Dr. Truth]

You never truly own a home. Stop paying your property taxes. You will see who owns your home then.

LOL what? If you can’t afford your property tax you have no business owning the home. That’s what kills people who win those dream home sweep steaks. The house is too big and the property tax is high and they end up foreclosing. Live within your means. You don’t need a 3000 square foot house. People down south and in the Midwest think Mc mansions are needed. All that wasted big ass useless space.

 

[mad_bomber]

LOL what? If you can’t afford your property tax you have no business owning the home. That’s what kills people who win those dream home sweep steaks. The house is too big and the property tax is high and they end up foreclosing. Live within your means. You don’t need a 3000 square foot house. People down south and in the Midwest think Mc mansions are needed. All that wasted big ass useless space.

I was just making a point. You do not EVER completely own your home.

 

[GuessWho21212]

these hedge funds and institutional investors are buyin' up whole zip codes of single-family homes....just to turn around and rent 'em out...

they have billions of dollars under management...they can leverage up 50 to 1...they can afford to over pay for homes...

they are chasin' a return because every other investment is in a major bubble....

This shit here is the next financial crisis bubbling. Billion dollar hedge funds & investors snatching up real estate straight cash, artificially pumping up nearby home values. They rent out the properties and screw over the renters a dozen different ways from steep annual rent hikes, to bullshit processing fees like they only accept rent payments through an online payment portal and there's a fee to use it or them acting as a middle-man for utilities bills and they charge a fee on top of what you're already paying for utilities. And the other problem, wherein it used to be a benefit to renting because any maintenance issues get handled by the landlord, now they're passing off those responsibilities to the renter by burying it deep within 30-50 page lease agreements. Because of all the greedy bullshit, a lot of those rental properties are sitting vacant as well.

That's the problem when you have corporatist politicians who roll back any and all regulations. The only rule corporations are bound to follow is their fiduciary responsibility to turn a profit. If they have to do so using ethically gray or legally ambiguous means, than so be it.

 

[trstar]

I’m looking to acquire a farm once the rich rednecks begin to default thanks to Trump.

My brother and I are waiting for a farm land deals

 

[gene cisco]

You never truly own a home. Stop paying your property taxes. You will see who owns your home then.

Property tax is something to think about for the future. Paying outrageous property tax when you're a senior isn't the business. Old folks barely getting by get screwed by property tax and end up having to downsize. So yeah, not a factor when folks are young, but shit is a reality check for seniors on fixed incomes. Find out quick who is boss.

 

[jagu]

he means when all your money is going into paying the bills, with nothing left over to have fun, buy things, pay into 401k, etc. Basically living paycheck to paycheck.

That has nothing to do with homeownership. That's due to making patently bad decisions.

 

[easy_b]

The US is becoming a punchline throughout the whole world.

 

[jagu]

Property tax is something to think about for the future. Paying outrageous property tax when you're a senior isn't the business. Old folks barely getting by get screwed by property tax and end up having to downsize. So yeah, not a factor when folks are young, but shit is a reality check for seniors on fixed incomes. Find out quick who is boss.

That's not true. At least in GA senior citizens do not pay the school tax portion of your property tax. So they pay $1500 instead of a $4000 yearly tax for a $300,000 home.

 

[Z MONSTER]

Yeah, if I was a single guy. Without a doubt.

No way in hell is wifey and daughter going for that. Lol.

I know how they are.

I don't know the neighborhoods in Greensboro, Is that in the hood? Don't be scared. Be like those other folks who put half million dollars homes in the hood.