Annoyed

Ok..let me make a point that this is in now way associated to the posts anyone made about L.I Real Estate before

Is anyone else who bought or is buying a house friends with HATERS who keep saying that we (you) bought at the wrong time..meaning higher house prices and these same friends keep going on that they are going to rent until the market stabalizes and they can get a house for much cheaper and my favorite..arnt you scared that you paid too much for your home..what are you going to do when it depreciates...

can someone explain to me what is the difference between depreciation of a home and paying rent..arnt we better off having a home and getting back $$ at tax time.

Its soo annoying to the point we are skipping a house warming.

imo, i wouldnt listen to them. as to anything in life, there are pro and cons. while not going into details, as long as you are happy with your purchase, that is all that matters.



i wish i can buy a house today, but for the next 5-8 years, our soon to be co-op will be called home. Supply and demand suggest prices will only go up and up.

You're better off that you bought now, IMO.

No one can predict the market accurately. How long have you been hearing about the 'housing bubble' on the news? For ages, right? LI prices will not go down that much, IMO. There are many, many people out there who are renting until this so-called bubble bursts. The prices may drop, but not that much. So the prices will go down a little, lots of people will jump, and then what?

I heard that when I bought 2.5 years ago. Everyone was saying it's a bubble. Well that may be true, but now my house is worth 60% more than when I bought it. That's some rate of return!

I don't know if the market will continue to be strong, but Grandma always said 'buy bricks' and she wasn't kidding...

Our friends said the same thing to us and about us behind our backs when we bought our house in December. They claimed that we were stupid for buying a house and getting married within a month of each other. That we should rent and get used to living with each other and all this other B/S. In the end I found out they were very jealous of us b/c it was something that they couldnt do financially now or anything in the near future.

I have to admit that at times I get fustrated b/c we are living paycheck to paycheck right now and the credit cards are being used more than ever before but you know what in the 8-9 mths that we are in my house the value went up almost 70grand with the basic work and cleaning up that we did and the market being the market that it is right now and none of them made that kinda return renting their 2 bedroom apts. And come tax time I am the one that has a house to claim and will hopefully get a nice chunk of $$ back and they cant do that.

Dont listen to them listen to your heart you know what you can afford and what you cant and in the long run real estate is always a great investment
good luck

Well, I have friends who bought houses 10 years ago. I was the person telling them that they were crazy because they weren't financially ready, etc. I am soooo eating my words--but at least I admit I was WRONG. I wish I bought a house back then!

We just bought a house and so far we haven't heard comments. We have some friends who rent and some who own.

Don't listen to them. I've noticed some jealousy among our friends. We bought because we were ready to, not because of the market. We want to start a family soon and wanted a house first. We spent several months looking until we found what we feel gave us the best value for our dollar. We LUCKILY and for no other reason got a low mortgage rate which is predicted to climb in the coming months. Agian that was luck and timing, if we hadn't found this house we would still be looking.

What ever the market does you own your house, you get the tax benefit and the benefit of building your assets which you can't do renting - when renting you add to your landlords assets.

You know in your heart that buying your house was right for you or you wouldn't have done it. Let the naysayers say what they want, but I don't think I'd be to quick to invite them for dinner.

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Posted by patti08

Don't listen to them. I've noticed some jealousy among our friends. We bought because we were ready to, not because of the market. We want to start a family soon and wanted a house first. We spent several months looking until we found what we feel gave us the best value for our dollar. We LUCKILY and for no other reason got a low mortgage rate which is predicted to climb in the coming months. Agian that was luck and timing, if we hadn't found this house we would still be looking.

What ever the market does you own your house, you get the tax benefit and the benefit of building your assets which you can't do renting - when renting you add to your landlords assets.

You know in your heart that buying your house was right for you or you wouldn't have done it. Let the naysayers say what they want, but I don't think I'd be to quick to invite them for dinner.

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I completely agree 100%. I just recently bought a small condo and have already been hearing little comments here and there. The point is, everyone has different needs and different tastes. Buying is always better than renting....it's an investment into yourself, not your landlord.
I wanted to buy what I could afford NOW, in the location that I wanted to live in. Sometimes, once you start renting....the rents alone can be high that's it's hard to save up for a decent downpayment on any type of property. My FFIL did not buy his first property until later in life, after his children were adults. He told us that we were smart to buy something now and what we can afford on our current incomes. We can only move up from here. You made the right choice!

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Posted by violet

Also, for people waiting for the house prices to depreciate, wouldn't the interest rates increase? I'm sure if prices dropped so much, the interest rates would be crazy.

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Every broker I went to said this..event he realtors said it.

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Posted by myasmom

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Posted by violet

Also, for people waiting for the house prices to depreciate, wouldn't the interest rates increase? I'm sure if prices dropped so much, the interest rates would be crazy.

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Every broker I went to said this..event he realtors said it.

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Yeah but the flipside to this is... its better to buy a house at 250k with 9% interest over a house at 375k at 5% interest.

Trust me when I say if prices drop significantly because interest rates go up... people will buy. Cause they can always refinance later when rates come back down.

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Posted by DjPiLL

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Posted by myasmom

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Posted by violet

Also, for people waiting for the house prices to depreciate, wouldn't the interest rates increase? I'm sure if prices dropped so much, the interest rates would be crazy.

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Every broker I went to said this..event he realtors said it.

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Yeah but the flipside to this is... its better to buy a house at 250k with 9% interest over a house at 375k at 5% interest.

Trust me when I say if prices drop significantly because interest rates go up... people will buy. Cause they can always refinance later when rates come back down.

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That comes out to the same thing...but I really doubt prices would go that low. People who want to wait and rent can take that gamble, but I'm not. I just predict prices will be at a standstill. If they do decrease, I doubt it will be by a lot.

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Posted by DjPiLL

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Posted by myasmom

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Posted by violet

Also, for people waiting for the house prices to depreciate, wouldn't the interest rates increase? I'm sure if prices dropped so much, the interest rates would be crazy.

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Every broker I went to said this..event he realtors said it.

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Yeah but the flipside to this is... its better to buy a house at 250k with 9% interest over a house at 375k at 5% interest.

Trust me when I say if prices drop significantly because interest rates go up... people will buy. Cause they can always refinance later when rates come back down.

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Do you really think a house in LI will go down to 250k in the near future?
I do see your point though..thats only a problem if you are buying as an investment..if its to make a home its still the same as paying rent and buying later..all money down the drain with this scenario.

DO you really think a house in LI will come down to 250K?

Who knows, but if interest rates do go up its by law(economics) that prices will come down, there is no debating that and its not going to be by a few hundred. WIll a 400K go down to 250K? I dont know? maybe? its only 150K, its not at all impossible. Its not like a 750K house will go down to 250K thats a bit of a stretch, but its got to come down some. Besides with all these homes they are building (and yes LI is being overdeveloped in my mind) and everyone rushing to buy if the bubble does pop then what? who is going to buy all those homes? they'll have more than they need(for that time , anyway) so yes they will have to lower them to sell them.

There is no way that home prices can continue to increase as they have for years and years to come without it having a break at some point. Someone before here said that prices will just go up and up... how is that even possible? if prices go up and up then eventually only millionaires will be able to buy, CAUSE SALARIES arent keeping up with the INCREASES ON EVERYTHING! such as gas, food, RE, credit card interest rates, etc etc.

At one point something will happen, will it be like the RE crash in the early 90's? I dont know maybe.Who knows??

But historically its not advisable to buy in during this time. Especially with risky loans such as arms. For some it works out just fine especially if they have bought the home they intend to live in until they retire or close to it.

But there are alot of people out there buying for the meantime and hoping to make a buck in less than 5 years THOSE are the people that will probably get a big shock if and when the bubble bursts. Some will be able however, to sail thru it, others wont. Its just a fact if and when it happens.

Many Economists are saying the RE will have a crash of some sort and have been right in predicting other crashes. Its mostly also just economics 101.

As most of you know, FI and I have made up our minds THAT IN OUR CASE its not good to buy now and we are very happy with our choice. BUT We never tell our friends who have recently bought that they are wrong or make them feel bad because of it.

I share my opinions here because after all its anonymous.

WE HAVE been made to feel bad and practically told we are stupid in not buying and that we are paying other people's mortgage. THATS JUST AS BAD. Just wanted to share that so you understand the flip side to everything.

ANd PS, RE AGENTS will say whatever they have to to sell. Ofcourse they will make a case for you to buy now! duh! they cant sit and wait for you to buy in a couple of years. RE Agents aint your friends its all business and there is to sell afterall they work on commission.

Lastly, if you have purchased a home where you intend to live forever then it shouldnt matter what the market does in your lifetime:) Enjoy!

If you can buy now..buy now!!! Who knows what the market is going to do in 6 months , 1 year or 2 years..its not worth it trying to sit and guess!

Glenda2004 - I agree with you 100 Percent as do many people I know that are in the Real Estate investment business. We rent despite being able to afford a home. I have friends that can afford homes in the millions and are renting as well. I think its a personal choice that depends on a number of factors. I don't think one choice is better than the other. But, I agree that many new homeowners look down upon renters. Not sure why. Maybe they don't realize that not everyone that can afford to buy does. My husband is in finance and we did a lengthy cost benefit analysis and for us, it worked out better to rent despite the fact that our rent is close to $3000/mo.

Glad you put the other side out there

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Posted by Annieb

Glenda2004 - I agree with you 100 Percent as do many people I know that are in the Real Estate investment business. We rent despite being able to afford a home. I have friends that can afford homes in the millions and are renting as well. I think its a personal choice that depends on a number of factors. I don't think one choice is better than the other. But, I agree that many new homeowners look down upon renters. Not sure why. Maybe they don't realize that not everyone that can afford to buy does. My husband is in finance and we did a lengthy cost benefit analysis and for us, it worked out better to rent despite the fact that our rent is close to $3000/mo.

Glad you put the other side out there

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I could have written this. Ditto on all counts.

I thinks its wrong period for anyone to make anyone feel bad for either decision.
I wouldnt call anyone my friend who looked down upon anything I did or didnt do..the people who made the comments definitely do not speak to us when I need a shoulder to cry on.

I know how it means to have friends who look down on you because we rented. And that is so sad becasue a house is easy come easy go sometimes

As for LI real estate we bought becasue we wanted to have a home where we could do whatever we wanted..my landloard was intrusive so I would pay 1mil to get away from her