Comments on: Home Ownership: it's just a little bit more . . .

By: Mandy

Mandy — Mon, 24 Oct 2011 18:25:50 +0000

This could have been my story! We also purchased a home after 1 year of marriage, then realized how foolish we were. We were planning too many steps ahead, and after only a few years, we were ready to move with very little paid off and a LOT paid in interest. When we sold our house, we ended up owing $10,000—that alone, not to mention the $1,100 per month mortgage, far exceeded what we would have sunk into renting little apartment those 3 years. Now, we’re renting, licking our wounds, and not planning to buy until we can put 100% down.

By: Meh

Meh — Fri, 07 Jan 2011 04:52:45 +0000

What makes people think they’re “homeowners”? Reality check: You are not the homeowner, the bank is. You are the tenant and the bank is your landlord: A landlord who lets you paint your walls any color you want and let you mow your own lawn, but who, when that “rent” isn’t paid on time, puts you out on the street (eviction vs. foreclosure? They smart about the same). And what on earth makes suckers go out and charge up and spend all kinds of money on remodeling a house that isn’t even legally theirs? It’s like buying a new washer and dryer fo your landlord when you’re just a renter. Guess what? When they evict/foreclose on you, they get to keep it all! Sheesh. Wake up, people.

By: Myfreepedia.com » Blog Archive » Star Money Articles and Carnivals for the Week of July 13

Tue, 21 Jul 2009 07:40:32 +0000

[...] Gather Little by Little covers the costs associated with owning a home. [...]

By: South Texas

South Texas — Fri, 17 Jul 2009 16:59:36 +0000

Hopefully the longer you wait, the more down payment you will be able to accumulate.

By: Kristen

Kristen — Fri, 17 Jul 2009 15:22:40 +0000

I’m glad that this post is going to make people aware of all of the “extra” costs associated with homeownership. I guess I’m a little surprised at how surpised everyone seems to be by the extra costs from closing to insurance to home maintenance. When my husband and I started looking at homes we researched all of the costs and figured them in, so there were no surprises. When we found what became our house, our realtor told us all about the closing costs before we ever made an offer. She actually estimated high, so we were pleasantly surprised when they were less. Of course as part of our offer we got the seller to agree to cover the closing costs.

By: FinanciallySmartServices

FinanciallySmartServices — Fri, 17 Jul 2009 14:10:32 +0000

Owning a home can become more like a nightmare if you bite off more than you can chew. It’s important to match your home ownership plans with what you can truly afford.

By: Miss T

Miss T — Fri, 17 Jul 2009 01:33:54 +0000

This is a GREAT post – every first time (and maybe even second time) buyer should read this! Mr. T and I are always shocked at what the bank says we can afford when we get prequalified, it’s like they want us to live like we’re destitute! All the extras really add up and if you want to actually have a savings account – really crunch the numbers.

Last year we sold our home and moved. The bank prequalified us for over $400K – and we laughed and said “No thanks!” We found a home for $235,000 – and it’s still tight some months!! I can’t imagine what life would be like if we had to pay an extra $1000 per month for a mortgage. We definitely wouldn’t be saving up for our retirement!

By: Stew

Stew — Fri, 17 Jul 2009 01:22:31 +0000

Yes, Keri, I think waiting to purchase a house until you have that much saved up is a wise idea. There are some situations where I might do it with 30 or 40 percent, but never less than 20.

By: TheWit

TheWit — Fri, 17 Jul 2009 00:35:42 +0000

I think under the right circumstances e.g. prices are low, etc. it may be wise to purchase a home but the important thing is that we should calculate carefully what we can or cannot afford. As a rule, I don’t take out a mortgage of more than 50% of the home value, so that in the worst case (a forced sale), I can still repay the loan and not be in debt.

By: Melissa

Melissa — Thu, 16 Jul 2009 18:31:33 +0000

Hi Stew,
When the home you were trying to sell closes, you might consider a post about the cost of selling a home with closing cost, realtor fees, etc. It’s not something you think about when you buy the home, and I think it would be interesting information to share.