 Aloha oe, Aloha...
On Apr 24, 7:35 am, Maren at google <m.pur...@jach.hawaii.edu> wrote:
> Al,
>
> and if the only reason to buy a house is to pay less in mortgage
> payments
> than in rent, that's good enough for me to be a wise investment and
> on the other hand no investment to make a profit at all. We live in a
> paid
> for house that we're not planning on moving out of. when we bought
> this
> house with a substantial downpayment we first paid twice as much on
> the mortgage as we paid in rent before (same house), at a time when
> mortgage interest rates were above 10% even on 15 year mortgages.
>
> I wouldn't consider the house I live in an investment as such, other
> than
> maybe for the far distant future. We bought that house to live in it,
> and while it may need some work, heck, it's paid for, dedicated
> 'non-speculative residential use' for the second time now (10 years
> each), and while I don't really consider it an "investment", at the
> same
> time it's about the best investment we made so far.
Of course, you realize that many home buyers in the mainland are
paying increased mortgage payments that strain their budget. Not only
that, it is probably the worse investment that they made, because
current prices are way below the speculative highs when they bought
it. They can find a cheaper place to rent but they want to own their
own home.
Like you say, they don't consider it an investment, and would like to
live their dream of their own home if they can afford it. Foreclosing
on them and millions others like them would be very disrupting to our
society, not to mention the unfairness that most of them were lead
into their terrible loans by shyster sub prime loan officers. Some
like Jerry have no compassion or sympathy for their situation. In
fact, Jerry still insists that all people buy a home for TWO reasons--
for their dream and as an investment. He doesn't like the bailout like
for example, rolling back their interest rates to say 5%. But my own
opinion is similar to George Soros recent book as I mentioned earlier
in this thread. If our govt likes deregulation as it has done under
Greenspan, then it must be willing to afford the mess that
deregulation creates like the bailout of savings and loans, sub prime
loans, etc. |