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/biz/ - Business & Finance

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28271980 No.28271980 [Reply] [Original]

is buying a house that i spent 250k on and will receive 1k a month on after all expenses are paid worth it? house will be paid in full

rent will be roughly 1800 but property taxes and management company will bring down the amount i pulll in.

its a long hold

>> No.28272186

>>28271980
you can break even after about 21 years

>> No.28272607

>>28272186
alternatively i can leave it in a bank account and let it accumulate like 5 dollars in interest a year?
property value is only going up and the market where i bought is very strong. but can you give me some more thoughts

>> No.28272910

>>28271980
no u nigger

250k trading stack, if you make 1% A WEEK you can make 10k a month lmao

250k sunk for 1k return PLUS maintenance? are you fucking high?

>> No.28273188

>>28272910
im in it for the long haul
also
>250k trading stack, if you make 1% A WEEK you can make 10k a month lmao
assuming whatever i invest into doesn't automatically crash. investingn 250k for literally 10k? imagine losing 250k for 10? you're literally playing roulette

>> No.28274069

>>28272186
>>28272910
What these mongs dont take into account is that your property will appreciate in value. Other factors like age/risk tolerance and so should also be considered but I'd reckon it is a safe investment provided the property isn't in some ghetto.

>> No.28274208

>>28274069
28 years old, property taxes accumulate to 20k a year but i can claim about 16k so really i only get taxed on 4k by the time taxes come around

>> No.28274262

>>28271980
nigga just put that money into some utilities stock
boomer way to do it but fuck the dividends are worth it

>> No.28275091

>>28274069
You know you can invest in more than one thing at a time right?

>> No.28275341

>>28274069
>muh capital gains
>hello, this is the city
>we are assessing your home value this year
>it's gone up by $50 000
>you'll need to pay more property tax than last year
>you should feel ok with it because your house is worth $50 000 more this year!
>we are not going to increase the tax rate but we will continually increase your assessment value every year!
>don't worry about the details
>number go up!
>also when accessing this capital gain, you need to take a line of credit from the bank, with interest of course!
>or you can sell it, but then you have to buy another house to live in anyways
>this system continually makes you "feel" richer every year
>but in fact no actual liquid funds actually materialize

>> No.28275482

>>28275341
fucking kek! the first time i've ever heard a theory that real estate is a scam
>>28274262
>>28275091
you guys do realize the stock market is literally about to pop.

>> No.28275555

>>28271980
It'll appreciate in value at least as much as inflation each year and you have disposable income on top of that so yes. Remember to always have 20 grand laying around though in case the roof falls in or something.

>> No.28275558

>>28274069
>What these mongs dont take into account is that your property will appreciate in value
or you can buy some assets that appreciate more like someone with a brain. real estate is a meme investment, upkeep and opportunity cost make the appreciation look nonexistent

>> No.28275624

>>28274208
Wait what holy shit where do you live that property taxes are 8 percent on a fucking house holy shit

>> No.28275697

>>28271980
You can always put it in the house and then take loans out against your equity.

>> No.28276021

First, do Airbnb, don't just rent like a brainlet. It's a lot easier if it's in a nicer place.
Second, taking 20 years to get money out of it is fucking retarded and not a good way to store your wealth.
You need to pay a good bit up front for this to be a worthwhile investment.

You're better off gambling shitcoins.

>> No.28276093

>>28275482
>you guys do realize the stock market is literally about to pop.
it won't. they can't let another depression happen so they'll "fix" it.
remember money is just fake numbers

>> No.28276470

>>28275624
its funny people rag on places like nyc for its high taxes etc but then when you look at property taxes nyc has a fraction of what other generally considered red states have as property taxes. texas
>>28275697
i can always sell it for a gain and get all my money back with no risk
>>28276021
im an airbnb expert, this is not a place to airbnb, this is a place where a family holds up for 3-5 years for their kids to get a great education and stable living before they save up enough to buy their own home
>>28276093
they can try what they like, its fucking bursting.

>> No.28276596

>>28273188
Anon this post shows you know as little about the stock market as the rest of the board knows about rental properties.

If you put 250k in a diversified tech portfolio, you can easily double it within 4 years.

AAPL/AMZ/NET/TSMC/NVIDIA/QCOM

I am buying my first rental property soon, a duplex in SF, and that is only because I am already too heavy on the stock market and crypto. Make sure you have allocated on those first.

>> No.28276823

>>28271980
You're not seeing the whole picture if you just take rent as a static variable
>property value goes up
>rent goes up
You break even sooner than you think

>> No.28276931

>>28275624
he is retarded. tx rates are high, but not fucking 8%.

>> No.28277331

>>28276596
again, that is assuming nothing crashes. what do you think happened to everyone who thought they were too smart in 2007? they ended up fucked and working in a mcdonalds.
i've got 250+ in apple already and thats because i invested back in 2007.

>>28276823
i know that, and i also know my propety value goes up. i just want peoples thoughts but everyone here is such a crypto faggot addict they can't say anything but invest in bit
>>28276931
roughly 4k a year or 2.1%. yea thats where im investing and its because its such a fucking stronghold.

>> No.28277446

>>28277331
>i just want peoples thoughts but everyone here is such a crypto faggot addict they can't say anything but invest in bit
True, I also plan to put a good chunk in rental property once my gains are high enough. It's just secure income, for you and your next generations, definitely worth to reduce your risk exposure.

>> No.28277461

>>28276093
This. Can’t tell you how many times in the last 10 years I cried wolf. I’m a fucking bear now

>> No.28277594

>renting out a house while there's still an eviction moratorium

idk anon

>> No.28277730

Property is the safest bet you can make dude. So of course it's worth it. You're always going to make your money back.

Sure, you could double or triple your money if you invest it all, but you could also lose it all that way. Become a landlord and have safe guaranteed security for you and yours. Or risk it all on stocks and crypto and become mega-rich or kill yourself when it doesn't go your way.

Buy the house fggt.

>> No.28277783

>>28271980
You can see this sluts granny panties lmao embarrassing

>> No.28277908
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28277908

>>28271980
Think about it twice if you just buy one for profit, the alternative is just investing into some long term stock/ETF.
Renting out a house can be absolute ass depending on your tenants and shit constantly breaking down (possibly due to them), if you don't mind the overhead it's probably a good investment.

>> No.28278134

>>28277461
10 years? that means you weren't buying after the massive crash of 07, what a dumbasss. i'll save the rest of my money for after this shit pops
>>28277594
texas(which is where imbuying) is a very landlord friendly state, you can have state troopers there the next day if you decide these people are fucks
>>28277730
glad someone reasonable is speaking up. i know its an initial massive loss but in general i have 50 years to live and by that time i'll be reaping enough rewrads from it i won't give a fuck. not to mention social security won't be a thing so it makes more sense to invest into real estate, also i can become my own property manager whenever i want and take back another 1800 of rent a year.
>>28277908
replacing all appliances with 5 year warranties, roof has just been done, seller paid for foundation repairs, AC and water heater are brand new. what else do you think could be wrong?

>> No.28278182

>>28277331
> again, that is assuming nothing crashes. what do you think happened to everyone who thought they were too smart in 2007? they ended up fucked and working in a mcdonalds.
i've got 250+ in apple already and thats because i invested back in 2007.

Anon the fed is printing dollars. The price of these stocks will keep going up because the acquisitive value of the dollar is going down.

Also, imagine you get a tenant on this bad economy locked for years as your property taxes raise above what you make of rent? You’ll be fucked and have to buy them out.

>> No.28278207

Op, don’t listen to these neets. I was a Real Estate Agent for years, investing in real estate is the smartest thing you can do. Hell, during Covid last year the prices went up 10%. Around here you can quite literally rent a basement and upper for a combined total of more than the monthly mortgage. Sure there’s property tax and “upkeep”, but you make an astounding net profit. Don’t forget that money paid into your mortgage is money that returns to your hands later on in the sale.

>> No.28278212

>>28271980
Need WAY more details to understand your situation.

T. Two houses and buying more master race

>> No.28278282

>>28272607
Hes saying get a 15yr and pay extra pmnts to own it outright in ten. I think

>> No.28278368

>>28278182
>acquisitive
K.

>> No.28278392

>>28275341
Don’t forget when you sell there are listing fees and the government taxes your gains if not a primary residence
t. 2 investment properties and while still being a wage cuck,

>> No.28278453

>>28278134
>replacing all appliances with 5 year warranties, roof has just been done, seller paid for foundation repairs, AC and water heater are brand new. what else do you think could be wrong?

Not necessarily always something big, maybe some shutters are broken, maybe the fucking sink is leaking or some retard punched the drywall.
All of that is relatively cheap to fix but requires your attention, I personally just couldn't be arsed to do that.

>> No.28278512

>>28271980
you are a stupid fucking nigger, there are an infinite amount of better things you could do with 250k, but go on, be a retard
>b-but society tells me home investments are a good idea

go fuck yourself keep the money and live like a king, shit live of half and throw the other in crypto
DUMBBBBBBBBBB FUCKINGGGGGGGGGGGGGGGGGGGGGGGGG NIGGERRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRR

>> No.28278531

Buying a house might as well be an investment in your kids life, or maybe your retirement. Unless you get really lucky with the market.

>> No.28278550

>>28278453
>Not necessarily always something big, maybe some shutters are broken, maybe the fucking sink is leaking or some retard punched the drywall.
>All of that is relatively cheap to fix but requires your attention, I personally just couldn't be arsed to do that.
Lol. Google what investment has made more millionaires than any next three in history.

>Can’t fix drywall
Wew

>> No.28278603

>>28278512
This is definitely the post of someone with sound and measured advice

>> No.28278619

>>28272186
rent goes up over time too

>> No.28278682

>>28271980
Depends, for me property is the end game, after I make it I buy several houses for passive income and 2 for myself

>> No.28278737
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28278737

>>28278550
I'm saying it's annoying to have some retard call you up just because some small thing is broken and they want you to fix it, not that it's not a good investment.

>> No.28278780

>>28278603
you dumb, ugly, pantie sniffing, woman bashing fucking ape. kill yourself, nobody will be missing you

>> No.28278919

>>28275341
>>28275558
What about my post isn't true that those mongs made it out that OP would not have an asset after 21 years that has appreciated in value, I take cognizance of the fact that other assets may have better returns but my point was that OP would not spend all that cash and then "only break even after 21 years".

>> No.28278977

Judging by how hilariously risk adverse op is, I'm guessing hes german

>> No.28278991

>>28271980
Yes.

>> No.28279044

>>28271980
go on, buy it, make your shitty investment. in 5 years when the market crashes again I will pray for your inevitable downfall, 5 years after that when the world starts ending I will come find you and rape you and your children.

make a smart decision anon.

>> No.28279181

>>28278780
>powerful

>> No.28279269

>>28278919
>I take cognizance
This board sucks these days. Poos, chinks, and low iq retards

>> No.28279347

>>28279044
This tranny needs a b&

Mods do your fucking job and swat this fucking idiot

>> No.28279350

>>28278977
>risk adverse
Do burgers really?

>> No.28279446

>>28271980
buy a water boat anon
trust me
t. dee lyfe

>> No.28279455

>>28278550
>Google what investment has made more millionaires than any next three in history
That's like saying there are more Chinese people in China, which is true as more people invest in housing than the stock market, but the stock market has historically outperformed the housing market. So your point is misguiding. I'm pro buying property but don't make it seem better than the stock market.

>> No.28279480

>>28279350
Yes, yes we do.
Pray tell what’s out you off your tea, Liam?

>> No.28279489

>>28274069

My Bitcoin will appreciate much faster. I'll rent from him and in 20 years we'll see who has the bigger net worth.

>> No.28279520

>>28279455
>I'm pro buying property but don't make it seem better than the stock market.
Lol. What metric would you like to use to compare?

>> No.28279669

>>28279455
>That's like saying there are more Chinese people in China, which is true as more people invest in housing than the stock market, but the stock market has historically outperformed the housing market. So your point is misguiding. I'm pro buying property but don't make it seem better than the stock market.
You write the same in every thread and you make it obvious what an insufferable faggot (no, really, you’re gay for real) you are. You’re also too young to post here

>> No.28280003

>>28271980
no. 1% rule

>> No.28280037

>>28279669
>what is ad hominem
Piss off mong you don't know me and I don't post here often, just because multiple people don't agree with your stupidity doesn't mean we are all out to get you.

>> No.28280215

>>28280003
actually maybe this deal isn't that bad but the expense ratio seems a bit light. what is the financing situation

>> No.28280303

>>28280215
also why not self manage instead of hiring a management company? if the management company will eat a good chuck of your profits and not care about it as much as you would

>> No.28280619

>>28280303
break down the numbers for you: 1800 gross rent, let's say 50% expense ratio so 900 net rent, 25% down on 250k is 62500, 75% of 250k 187.5k loan. I don't know what rates are but let's say rates are 3%, 791 mortgage. let's do the math. 1800 gross - 900 expenses = 900 net rent - 791 mortgage = 109 times 12 = 1308 yearly net rent/62500 = 2.09% cash on cash. let someone else buy it probably the best call. maybe my math is off I did this fast

>> No.28280902

>>28280619
the people crushing it in real estate are either buying a property where they can renovate and raise rents, buying a property for less than it's worth, or self managing to get higher returns or some combination of the three

>> No.28281168
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28281168

>>28272607
Watch this video anon:

>https://www.youtube.com/watch?v=MhSDeX491ps

His channel is pure gold for what you want.

>> No.28281216

>>28280902
>the people crushing it in real estate
bought 20 years ago. and now they need new blood to buy their bags to fund their retirement. greater fools ahoy.

guess what jackasses. i'm not buying your million dollar crackshack.

>> No.28281917

>>28278134
Uhh renters tearing walls, paint, flooring, bathroom tiles and other shit up, god forbid you have a fucking septic tank btw along with renters "don't have to pay" moratoriums and such. Real estate is shit.

>> No.28282271

>>28281216
yeah the point is sort of that there is a lot of dumb money out there that is willing to overpay. single family investing is a tough game. you not only have to compete with other investors, but for single family you are also competing with retail buyers who just want to live in the home and don't really care if they are getting an extremely good deal. lots of people get shilled the idea of buying rental property and then they go out and overpay and make shit returns after everything has been accounted for.

>> No.28282694

>>28272607
If this is the alternative that you instinctively think of then you are ngmi

>> No.28282758

Despite what the casinofags say about max returns you should also keep in mind that real estate is a relatively stable asset that will limit volatility and drawdowns of your overall portfolio.

My apartment is making 18% APY (taking into account appreciation in my city), but helped a lot in limiting the impact the 2020 crash had on my portfolio. I bought for 90k, spent two months renovating, 10k in materials and 5k for two Polacks, and it was estimated 130k.

>> No.28283686

>>28272607
Put it all on Gamestop