If one is geographically fixed, Renting sux.
Even though the PTB love to tax assets, one is still better off by “owning”.
Heirs also win.
For example they can raise your rent or other fee by no more then five percent a year and that any lesser increase does not mean that it rolls over (ex: they can not raise your rent by 4% for three years and then in year 4 suddenly raise it by 8%).
This agreement needs to be transferable to the next owners.
A number of elderly are finding that when their place is bought out the new owners raise their fees and rent outrageously.
My 90 year old mother rents, and has for 30 years. She lives in a 100 year old farmhouse on a 300 acre farm on the Chesapeake Bay. The property is owned by a family that has been friends with ours since 1929. They get a stable tenant who pays a year in advance, and she doesn’t have to worry about keeping things up. She’s still sharp, drives (but only during the day) it’s in her hometown, she has family there, and is active at church, and quilting.
She has deer and turkeys in her yard, and bald eagles across the cove.
It’s a pretty unique circumstance, but if anyone deserves it, it’s her.
I call her everyday for the last 12 years.
Own. No mortgage. Get some.
Most these articles are for poor city Democrats.
I retired at age 55, have two houses with ocean views in Hawaii.
All because I did not RENT!
I also did not buy new cars, eat out at fancy restaurants,
or spend my money on the latest Fad.
I went into the military for patrotic and monetary reasons. I eventually earned a STEM degree, not some glamorous “Feel good” womens study or liberal arts education.
Y’all need to sacrifice and plan for your future!
And above all it takes years of work before you can
back off a bit
Rents go up
Mortgage payments don’t
I thought about selling and renting when I became disabled.
That $600 Mortgage is about half of what an 2 bed apartment goes for now, 5 years later
Have they considered a reverse mortgage?
https://www.hud.gov/hud-partners/single-family-hecmhome
wy69
Property taxes on my 800k home in Scottsdale is 1300/year
I hardly pay attention its so cheap.
In order for a person to rent out a house they must own the house, which means mortgage, property taxes, utilities, upkeep and hopefully profit. So it should be cheap to buy a house then rent a similar house.
I never owned a home. I was divorced at the age of 32 in 1979 with two sons to raise. When my boys were young, I would have enjoyed having a home, because we had to move frequently. Back then, I couldn’t afford the downpayment, or the maintenance that went with it. By the time I could afford to buy a home, my sons were getting read to leave the nest, and I didn’t need a house. Now that I’m 78, I’m glad I don’t own a home that my sons will have to get rid of after I’m gone. By choice, neither of them has owned a home either.
Owning if at all feasible. But it depends on the person and their circumstances.
This push to get seniors out of their long owned homes that have risen in value so much over the years is beyond disgusting.
I don’t owe ANYONE anything and certainly feel under no obligation to give up what I worked for my entire life to appease some selfish, entitlement mentality minded, ingrate.
They can do what we did. Buy a fixer upper they can afford and work on it themselves and scrimp and save like we did.
Otherwise....pffffttttt....... take a hike ingrates.
I own my own home. The idea of being at the mercy of a landlord is unimaginable. I bought my current house when it was in the beginning stages of construction. I got to choose the color, appliances, cabinets, countertops, the light fixtures and the flooring. I had four plug outlets placed five feet off the ground in the family room and bedrooms so flat screen TVs could be mounted and plugged in without cords snaking up the walls. I asked for extra outlets in the garage and the builder put in 38 outlets. I’ve never had a problem of not enough outlets. I also had a 220 volt outlet put in and a utility sink. 10 years later and I’m totally happy with my house and I don’t ever have to worry about a landlord dying or raising the rent or evicting me.
… those 55 and older …. Kind of rude to describe seniors as being 55 and older. Im 68 and my financial motivations are entirely different from when I was 56. I don’t have any desire to rent when I have a perfectly nice but modest home in a close in suburb of a major city. With a 2% mortgage for 5 more years and Prop 13 protection. Later I may end up renting a room in assisted living but right now I can have a dog and a few chickens and a couple of fruit trees without breaking the bank. I should be able to maintain this lifestyle for 15 more years then I will decide. I will be one of those 80 and older.
Besides a house is not supposed to be a liquid asset. People who refinance and get home equity loans end up with 30 year mortgages at 6.25 percent. No wonder they think they would be better off renting. They have no equity. 450000 home which they pay for at 2500 a month just to stay ahead of the interest. Equity builds very slowly. Then they buy a boat or a giant RV or go on long trips to Europe and Caribbean cruises.
Owning several stately mansions is best.
Regards,
I am 73. Before Katrina, I lived in one of those known in no tell motels on the way to the NOLAAirportinKenner.
Since then, I have moved inland a bit, and have lived in an apartment complex near the VAMC Alexandria. As one of the diasporic VAMCNOLA employees, I was assigned to work there while VAMCNOLA “regrouped/5000 down to 1500. The remainder were informed by email of thei’s and mine fate’.
The motel costs became all the monthly costs for the apartment. Not bad, right?
Well, with the market bumps, the bug affecting prices, and things, today my rent “and processing fee”, are a whole $70, above what my motel bill was...lights, cable, phone are another $300 on top of that.
The funny sad part is that VAMCNOLA Alexandria has shifted a lot of used to do care, to either the big.hospitals downtown or to other VAMC’s out of state.
Selling a paid off home and becoming renters will not save them money unless they rent a studio rat hole for $700 a month or less with utilities included.
Paid off house has insurance, taxes, utilities, upkeep.
Renting includes insurance, taxes, utilities, upkeep, and profit margin for the owner.
This is not that difficult.
I’m a landlord. A couple of years ago I started getting panicked calls from former renters who wanted to know if I had anything...ANYTHING available. They had all upgraded to larger, better homes over the years. Suddenly, the market had changed, and their new rental homes were sold out from under them. Most leases go month-to-month after the first year. So, there’s no assurance you won’t be thrown out with just thirty days’ notice. Even if you have a lease, it’s still possible for the owner to sell the home, either because of a clause in the lease or because suing to enforce a contract is very, very expensive. Renters don’t generally have the wherewithal. (These sudden market shifts seem to be on an eight-year cycle.)
If you can own a home, it’s better to do so.
Also, I’ve known several people who moved from a home into some sort of retirement or assisted living. No good stories there, either. If you can remain in your own home and have assistance, come in, you’re much better off.
Unless one has a HUGE mortgage, owning is the safest way to go for those on a fixed income. A 2 bedroom apartment can go for well over $2K a month because you also pay for their taxes and insurance...and for utilities. And, unlike a mortgage, rents can go up every year.
Owning a condominium is kind of a happy medium. The fee paid to the HOA is probably worth it unless they abuse their power to make certain rules.
Thank goodness landlords never pass along those expenses to their renters. /s