Is it worth buying a home? Generally speaking.

[Apple_Banana]

My personal opinion, in USA house is luxury if you able to afford go with it but don’t think it will save your rents or it will appreciate etc. Last 2 years different story. If you are ok with renting it’s not a bad idea compared to own a house in long term also. But as someone mention here it is becoming a social status/pressure. Last thing if you want a home before 30’s is best instead owning at 40’s.😜

[Scurvy]

Show off among desis and mainly peer pressure. 

[Swatkat]

29 minutes ago, veerigadu said:

typical 500k loan ki you will end paying 1.2 million over a period of 30 years. So I'm getting myself in debt with 1.2 mil if I sign a 500K loan today. 

After 30 years, adding repairs and depreciation costs. Lets say we pay it off.  Will it still stay valuable? Many people like myself wouldnt even bother buying a home constructed in 1990. Since its 30 year old and its outdated. 

 

On the other hand, 20 years varakuuuu mana payments lo major part interest kiii mingesthadhiii. first few years ayitheee 90% of our payment only goes to interest. 

At the 20th year it will be 50:50 ratio. 

Later years  like 20th to 30th lo neee mana principal ki money major part of our payment add ayithadhiiii. 

20 years ki manam foreclose chesina major part of principal inkaaa alage untadhiii.  karma kaliii manakiii emainaa ayitheee even at that point kudaaaa assameee....

 

Buying a home is not all that rosy. Only benefit is you wont waste money in paying rents per se. Oh may be some satisfaction of owning a place. 

Eeriga na maata vini oka 300k ki paatha home okati tesko oka 70 k renovation chepinchu ammimingu oka 5 years lo. 

[sarvayogi]

12 minutes ago, veerigadu said:

@jambalahaatraja ID emaindhi?? eee kotthaaa ID tho vacchavuuu

I still dont understand what that means..even one my day 1 some guy was asking this. 

[veerigadu]

6 minutes ago, Swatkat said:

Eeriga na maata vini oka 300k ki paatha home okati tesko oka 70 k renovation chepinchu ammimingu oka 5 years lo. 

Naaa plans naaku unnayiiii.....But cheppanuuu brother. aaaa plans implement sesinakaa will tell. Okkodikiii mind mingaliiiii

[Ravi860]

I think ship is sailed with low interest rates! Market is sinking slowly.. e interest rate tho illu konte kastame. I feel like housing crisis incoming!

[Ravi860]

May 3, 2022

Loan amount$300K

Down payment20%

 

 

State

Texas

Credit score700 - 719

 

 

 

30-yr fixed

 

6.75%

 

15-yr fixed

 

5.104%

 

10 / 6 ARM

 

5.965%

[Ravi860]

https://www.marketwatch.com/story/the-pandemic-boom-in-home-sales-is-over-mortgage-rates-soar-to-highest-level-since-2009-as-the-fed-pressures-the-housing-market-11651760108

[rmJU72]

Now is a different situation due to too many unknowns in economy and rates.

but in general mortgage that you can afford is good debt.

just for 20% down on that 500k home example, until recently u were getting 400k loan on under 4%. that’s one of the cheapest long term debts u can get.

And paying off mortgage debt should be the lowest priority compared to other investments like index funds. Index funds historical returns are higher avg 7%+.

[ForEverJava]

24 minutes ago, Ravi860 said:

May 3, 2022

Loan amount$300K

Down payment20%

 

 

State

Texas

Credit score700 - 719

 

 

 

30-yr fixed

 

6.75%

 

15-yr fixed

 

5.104%

 

10 / 6 ARM

 

5.965%

The way ppl are countering I saw ppl making heavy downpayment from their investments from either India property sale or selling their small home in another state and coming down to texas with that money..taking smaller loan 300k and making 400k down payment..I have seen few cases lately..but either way lower interest days are done..

[phatposts]

1 hour ago, veerigadu said:

typical 500k loan ki you will end paying 1.2 million over a period of 30 years. So I'm getting myself in debt with 1.2 mil if I sign a 500K loan today. 

After 30 years, adding repairs and depreciation costs. Lets say we pay it off.  Will it still stay valuable? Many people like myself wouldnt even bother buying a home constructed in 1990. Since its 30 year old and its outdated. 

 

On the other hand, 20 years varakuuuu mana payments lo major part interest kiii mingesthadhiii. first few years ayitheee 90% of our payment only goes to interest. 

At the 20th year it will be 50:50 ratio. 

Later years  like 20th to 30th lo neee mana principal ki money major part of our payment add ayithadhiiii. 

20 years ki manam foreclose chesina major part of principal inkaaa alage untadhiii.  karma kaliii manakiii emainaa ayitheee even at that point kudaaaa assameee....

 

Buying a home is not all that rosy. Only benefit is you wont waste money in paying rents per se. Oh may be some satisfaction of owning a place. 

500k loan - cost to own 1.2M ante - interest should be in the 7% range for the loan. Ippudu interest anta bad unda?
For those that took loans under 3.5% their amortization schedule is much much better. The principal to interest ratios gets to 50:50 at the end of 11y mark vs 20y mark in your example. Anduke market ala rise ayyindi. That is what fed wanted too (i guess).

Why are you thinking about foreclosure after 20y? I dont understand that part. 
Kharma kaali manaki emanna aithe insurance will be helpful to a certain extent. This logic applies to renting also. Neeku edo ayyindi ani no one will give free rental house to you. 

You should never buy a house just because. Primary residence is not only about money - there are other factors like family size, enjoying small luxuries like bigger space, nicer kitchen, garage etc. The money value of those luxuries is very subjective to the individual's situation. 

For me personally - I am OK with owning a house as long as the payments are tolerable for my income. From a point in time comparison - it is definitely expensive than renting. 

[sureshkonda]

2 minutes ago, ForEverJava said:

The way ppl are countering I saw ppl making heavy downpayment from their investments from either India property sale or selling their small home in another state and coming down to texas with that money..taking smaller loan 300k and making 400k down payment..I have seen few cases lately..but either way lower interest days are done..

texas oka lathkor state vaya. motham paisal tho oka illu konte daniki 15k-16k property tax kattale every year. renting is cheaper than owning a home in texas. 

[Guest]

45 minutes ago, veerigadu said:

naadhii emundhiii bro.  naaa Community lo konukko, super untadhiii, nijam gaa baguntadhiii ani seppi referals 10ngipoyeee batch kanteee ila alternative analysis sesetolluuu kudaaaa kavali gaaaa

Ippudu realtors ke commissions diiku ledu for new constructions inka referrals commissions yendanna

[anandam2012]

46 minutes ago, veerigadu said:

naadhii emundhiii bro.  naaa Community lo konukko, super untadhiii, nijam gaa baguntadhiii ani seppi referals 10ngipoyeee batch kanteee ila alternative analysis sesetolluuu kudaaaa kavali gaaaa

nee community ekkada bro? konchem details share chestava? verey thread lo ekkado cheppinatlunnav Tampa move ayyav ani?/

[anandam2012]

1 hour ago, veerigadu said:

typical 500k loan ki you will end paying 1.2 million over a period of 30 years. So I'm getting myself in debt with 1.2 mil if I sign a 500K loan today. 

After 30 years, adding repairs and depreciation costs. Lets say we pay it off.  Will it still stay valuable? Many people like myself wouldnt even bother buying a home constructed in 1990. Since its 30 year old and its outdated. 

 

On the other hand, 20 years varakuuuu mana payments lo major part interest kiii mingesthadhiii. first few years ayitheee 90% of our payment only goes to interest. 

At the 20th year it will be 50:50 ratio. 

Later years  like 20th to 30th lo neee mana principal ki money major part of our payment add ayithadhiiii. 

20 years ki manam foreclose chesina major part of principal inkaaa alage untadhiii.  karma kaliii manakiii emainaa ayitheee even at that point kudaaaa assameee....

 

Buying a home is not all that rosy. Only benefit is you wont waste money in paying rents per se. Oh may be some satisfaction of owning a place. 

consider paying rent for those 20yrs bro..if you have kids you need min 3bed house by the time they grow up...so manam interest pay chestunnam kaani on the other hand manam rent kuda pay cheyali...only thing manam alochinchalsindi enti antey mana affordability chusukovali