Attitudes of Young Americans Bode Ill for Housing Recovery

2013-06-20 03:45:43

#1

Macbeth: Banned; +2,444|5576

Lets try something different.
http://www.forbes.com/sites/peterjreill … -recovery/
tl;dr Young people 18-35 are becoming less interested in home ownership. Moving out to the suburbs and buying a house is no longer fashionable among the young. This is bad since our economy is built around home ownership.

As young people, mostly, what are your views on home ownership. Something you want to do one day? Something you couldn't care less about?

Me? I'm in the couldn't care less category. I don't want to be tied down. Still am inheriting a house in Florida from an aunt though. So I guess I will technically be a homeowners one day.

2013-06-20 03:48:34

#2

Cybargs: Moderated; +2,285|6707

I'd like to own a house. landlords can be pricks sometimes.

https://cache.www.gametracker.com/server_info/203.46.105.23:21300/b_350_20_692108_381007_FFFFFF_000000.png

2013-06-21 07:21:35

#3

Extra Medium: THE UZI SLAYER; +79|4186|Oklahoma

I wouldn't worry about it, Obama will probably start a universal free house program before it's all said and done with.

Obamacare
Obamaphone
Obamahome

Why not.

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Last edited by Extra Medium (2013-06-21 07:29:59)

2013-06-21 08:03:20

#4

jsnipy: ...; +3,276|6513|...

It's not for everybody, just like owning a business is not for everybody. I'd worry about oil more than house in terms of economy stability.

2013-06-21 09:09:03

#5

pirana6: Go Cougs!; +682|6281|Washington St.

I'd say I COULD care less but it's not a lot.

The idea of 'settling down' doesn't really appeal to me because there's no place I want to 'settle down' in. Like McB said, I don't want to be tied down. Really the only thing that makes me want to buy a house is the fact that the highest percentage of my paycheck goes to rent which is ultimately wasted money because you see no return on that. You do with a house, tis an investment after all. If I could spend what I spend on rent towards some sort of investment, I doubt I'd ever own a house.

edito: It should be noted that there's no place I really call 'home'. There's the city that I grew up in, but I'd love more than anything to get out (i.e. find a job elsewhere in the world). And it should be noted that I have no kids and want no kids. Should I have them, a house I own would probably be a smarter idea.

subpost: Why don't kids our age want to have kids like they did in the past? Same as the housing issue.

Last edited by pirana6 (2013-06-21 09:11:10)

2013-07-01 23:38:18

#6

unnamednewbie13: Moderator; +2,053|6762|PNW

"less interested in homeownership"

I'm less interested in space shuttle ownership, but I'd still like one someday.

2013-07-02 03:00:59

#7

Uzique The Lesser: Banned; +382|4245

unnamednewbie13 wrote:
"less interested in homeownership"

I'm less interested in space shuttle ownership, but I'd still like one someday.

yeah no that makes no sense at all. you are treating people not wanting a home with that much incredulity? many nations are simply renters - many european nations, for e.g. they rent in the centre of beautiful cities, lovely apartments and property, but they never want to own. yet you somehow think that's so ridiculous that it's on par with wanting to own a space shuttle? riiiight.

2013-07-02 04:02:43

#8

Extra Medium: THE UZI SLAYER; +79|4186|Oklahoma

You can't really blame young people for not wanting to own in America. No 25 year old guy wants to be saddled with a 30 year mortgage and then have to worry every year if his rates are going to suddenly skyrocket to the point he can't afford it and end up ruining his credit. The entire housing system is rotten and people are wising up to it and saying no to it. I've looked into buying a home and it only took about a day worth of research to straight up say FUCK THAT SHIT.

2013-07-02 04:26:41

#9

Steve-0: Karma limited. Contact Admin to Be Promoted.; +214|3950|SL,UT

Extra Medium wrote:
then have to worry every year if his rates are going to suddenly skyrocket

rates don't skyrocket with a fixed loan.
only stupid people get variable rate loans and the last bubble was entirely fueled by anyone who wanted to live the dream and didn't want to pay for it.

it's okay, America needs people willing to serve fries with that.

2013-07-02 07:32:57

#10

DrunkFace: Germans did 911; +427|6672|Disaster Free Zone

Extra Medium wrote:
You can't really blame young people for not wanting to own in America. No 25 year old guy wants to be saddled with a 30 year mortgage and then have to worry every year if his rates are going to suddenly skyrocket to the point he can't afford it and end up ruining his credit. The entire housing system is rotten and people are wising up to it and saying no to it. I've looked into buying a home and it only took about a day worth of research to straight up say FUCK THAT SHIT.

But being saddled with a lifetime of Rent is totally ok?
Then every year having to worry that rates will skyrocket to the point they can't afford it and be forced to move.
Also every year having to worry about the landlord just evicting you cause they can.
And to top it all off you can't even put a fucking nail in the wall to hang a picture without someone elses consent, let alone doing any major refurbishments of your home.

Renting is fucking shit and a huge waste of money.

2013-07-02 08:45:54

#11

Uzique The Lesser: Banned; +382|4245

DrunkFace wrote:
Extra Medium wrote:
You can't really blame young people for not wanting to own in America. No 25 year old guy wants to be saddled with a 30 year mortgage and then have to worry every year if his rates are going to suddenly skyrocket to the point he can't afford it and end up ruining his credit. The entire housing system is rotten and people are wising up to it and saying no to it. I've looked into buying a home and it only took about a day worth of research to straight up say FUCK THAT SHIT.
But being saddled with a lifetime of Rent is totally ok?
Then every year having to worry that rates will skyrocket to the point they can't afford it and be forced to move.
Also every year having to worry about the landlord just evicting you cause they can.
And to top it all off you can't even put a fucking nail in the wall to hang a picture without someone elses consent, let alone doing any major refurbishments of your home.

Renting is fucking shit and a huge waste of money.

how is someone 'saddled' with rent? you pay it, then you're free. doesn't seem like a 'saddling' to me. no commitment - or only very short-term, anyway. can up and move anytime, normally within the month's notice. home ownership is just not an essential part of life for every culture/society, it's as simple as that. most countries that seem to vehemently push the virtues of 'property' are those that are also heavily invested historically with the 'protestant work ethic', as weber coined it: people who are fine slaving away today and making sacrifices for some fabled 'future'. normally in the case of property ownership that 'future' is pretty much just 'posterity', in the sense that you pass on your lifetime's accumulated capital to your kids. not every family or culture want to live that way. it's not a black/white thing. both ways have their merits.

not to mention the fact that to get on the property ladder in most 'top' world cities (in the west, anyway) is fucking near impossible. i'd rather rent in new york or london and enjoy a decade or so of capital-city lifestyle than suffer out in the west midlands somewhere, just because the 'mortgage rates are affordable'.

2013-07-02 16:32:56

#12

Jay: Bork! Bork! Bork!; +2,006|5348|London, England

DrunkFace wrote:
Extra Medium wrote:
You can't really blame young people for not wanting to own in America. No 25 year old guy wants to be saddled with a 30 year mortgage and then have to worry every year if his rates are going to suddenly skyrocket to the point he can't afford it and end up ruining his credit. The entire housing system is rotten and people are wising up to it and saying no to it. I've looked into buying a home and it only took about a day worth of research to straight up say FUCK THAT SHIT.
But being saddled with a lifetime of Rent is totally ok?
Then every year having to worry that rates will skyrocket to the point they can't afford it and be forced to move.
Also every year having to worry about the landlord just evicting you cause they can.
And to top it all off you can't even put a fucking nail in the wall to hang a picture without someone elses consent, let alone doing any major refurbishments of your home.

Renting is fucking shit and a huge waste of money.

I pay about $1600 a month for a two bedroom apartment with a 30 minute commute to work. In order to get something even remotely equivalent space-wise (with a commute twice as long) I'll have to spend at least $400k minimum, which comes out to ~$1800 a month. Plus property tax. Plus homeowner's insurance. Plus time spent landscaping. Plus money spent doing maintenance and upgrades. Owning generally sucks a big fat one and is completely pointless unless you have kids.

"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat

2013-07-02 16:38:39

#13

pirana6: Go Cougs!; +682|6281|Washington St.

Jay wrote:
Owning generally sucks a big fat one and is completely pointless unless you have kids.

But in (enter length of mortgage here) years you'll own something worth $400k if you buy the house. If you keep renting you will still own nothing.

Basically every dollar (minus the issues you mention, which obviously adds up but it's not a net of 0) you put into your mortgage aside from interest to the bank you'll see again if/when you sell.

2013-07-02 16:46:00

#14

Jay: Bork! Bork! Bork!; +2,006|5348|London, England

pirana6 wrote:
Jay wrote:
Owning generally sucks a big fat one and is completely pointless unless you have kids.
But in (enter length of mortgage here) years you'll own something worth $400k if you buy the house. If you keep renting you will still own nothing.

Basically every dollar (minus the issues you mention, which obviously adds up but it's not a net of 0) you put into your mortgage aside from interest to the bank you'll see again if/when you sell.

If I took the money difference between owning and renting and invested it instead, I would have far more money in the bank after 30 years than I would when I sold the house. You have to understand that when you buy a house with a mortgage you have to see the price of the home just about double to see any form of profit at all.

Take out a mortgage for $500k at 3.5% and at the end of the 30 year mortgage you've paid $805k for the home. I will have paid $305k to the bank in interest ($850/month). During that time I'll have also paid about $1k/month in property tax, another $360k. So to break even, I need to see that $500k home turn into a $1.165M home. That doesn't normally happen unless there is hyperinflation like in the 70s, or a silly housing boom like in the 00s.

Last edited by Jay (2013-07-02 16:48:39)

"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat

2013-07-02 17:16:48

#15

Extra Medium: THE UZI SLAYER; +79|4186|Oklahoma

DrunkFace wrote:
But being saddled with a lifetime of Rent is totally ok?
Then every year having to worry that rates will skyrocket to the point they can't afford it and be forced to move.
Also every year having to worry about the landlord just evicting you cause they can.
And to top it all off you can't even put a fucking nail in the wall to hang a picture without someone elses consent, let alone doing any major refurbishments of your home.

Renting is fucking shit and a huge waste of money.

You are a fucking idiot.

2013-07-02 17:18:06

#16

Jay: Bork! Bork! Bork!; +2,006|5348|London, England

Don't even get me started on the concept of the 'starter home' and how it's the worst possible thing to ever do with your money...

"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat

2013-07-03 02:16:19

#17

Ilocano: buuuurrrrrrppppp.......; +341|6657

And yet, somehow your landlords seem much inclined to own these properties. Multiples in fact. Must be something there about owning property.

As someone with two 15 year fixed rate mortgages soon to be paid off, I'll be using the lease money to help pay for more property.

2013-07-03 02:42:46

#18

Extra Medium: THE UZI SLAYER; +79|4186|Oklahoma

Ilocano wrote:
And yet, somehow your landlords seem much inclined to own these properties. Multiples in fact. Must be something there about owning property.

Something, something, something, a moon full of unemployed astronauts.

2013-07-03 03:04:57

#19

Dilbert_X: The X stands for; +1,810|6096|eXtreme to the maX

Property is seen as just another investment by most people these days, and it often makes more sense to rent than buy.

The days of the 30 year career with a single company at a single site are long gone, mobility is more of an asset than owning a home with all the attendent costs and liabilities.
For many people it does make sense to own a rental property or two and rent themselves - it gives mobility, investement in an asset and many of the costs can be set against income for tax purposes when they can't as an owner-occupier.

Русский военный корабль, иди на хуй!

2013-07-03 03:46:57

#20

Jay: Bork! Bork! Bork!; +2,006|5348|London, England

Ilocano wrote:
And yet, somehow your landlords seem much inclined to own these properties. Multiples in fact. Must be something there about owning property.

As someone with two 15 year fixed rate mortgages soon to be paid off, I'll be using the lease money to help pay for more property.

Because they paid cash, or they inherited.

"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat

2013-07-03 04:08:30

#21

Uzique The Lesser: Banned; +382|4245

Jay wrote:
Ilocano wrote:
And yet, somehow your landlords seem much inclined to own these properties. Multiples in fact. Must be something there about owning property.

As someone with two 15 year fixed rate mortgages soon to be paid off, I'll be using the lease money to help pay for more property.
Because they paid cash, or they inherited.

or they earned more than enough. my gf's parents are the biggest letters i know, but they have an annual combined income of like $500k

2013-07-03 04:39:36

#22

Cybargs: Moderated; +2,285|6707

Ilocano wrote:
And yet, somehow your landlords seem much inclined to own these properties. Multiples in fact. Must be something there about owning property.

As someone with two 15 year fixed rate mortgages soon to be paid off, I'll be using the lease money to help pay for more property.

yeah too bad not everybody is a hardworking asian and has to rent.

2013-07-03 04:43:50

#23

Uzique The Lesser: Banned; +382|4245

most asians i've met (in london) rent. it has nothing to do with race. it is to do with specific circumstances and the area you live. ilocano as the alpha asian overlord wouldn't be owning two properties if he lived in london - especially west london. it's that simple. just like a high-flying lawyer could build a nice property portfolio and own a nice big house... if they wanted to live 100+ miles out in the countryside from their inns of court. it's not rocket science. people rent in high-density, high property-cost, quick-turnover urban environments. especially in europe, where the usual city-planning layouts doesn't go on the usual 'concentric circles' model of 'downtown -> urban -> suburbs'. most european city livers live much closer to the centre - short walk/subway/bus distance - and don't commute miles out on the freeways to their detached suburban houses. in paris, for e.g. the whole city is pretty much 4/5 storey townhouses, beautiful things, with incredible apartments. most of the middle-class inhabitants of the city live in these apartments as a rentier-class. it's just a different model. ditto cities like frankfurt or vienna.

Last edited by Uzique The Lesser (2013-07-03 04:44:43)

2013-07-03 04:57:38

#24

Cybargs: Moderated; +2,285|6707

same goes with housing in NYC and Sydney atm.

GL buying a decent house/apt under 800k+ in the city/urban area.

edit: or youre a rich asian businessman who decides to buy up 20 properties coz you can.

Last edited by Cybargs (2013-07-03 04:58:13)

2013-07-03 05:27:28

#25

Uzique The Lesser: Banned; +382|4245

my family (grandfather, especially) go at it a different way: land ownership. literal property. areas of land. he bought a bunch back in like the 1970's on the edge of up-and-coming towns, and now he's been steadily selling them off to property developers and planners and making loads of money. better form of investment - if you have the ability and the know-how - than the property market, tbh. then again my grandfather had a lot of ties to property development, real estate, building contractors etc. so it was essentially a sort of well-informed network. i wouldn't even know where or how to begin with that. definitely a lot cheaper than buying up properties and joining the landlord class, though.

BF2S Forums Attitudes of Young Americans Bode Ill for Housing Recovery

unnamednewbie13 wrote:

Extra Medium wrote:

Extra Medium wrote:

DrunkFace wrote:

Extra Medium wrote:

DrunkFace wrote:

Extra Medium wrote:

Jay wrote:

pirana6 wrote:

Jay wrote:

DrunkFace wrote:

Ilocano wrote:

Ilocano wrote:

Jay wrote:

Ilocano wrote:

Ilocano wrote:

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