MASSIVE ANNUAL HOUSING EXPENSES CAUSING MAJOR BUYERS REMORSE!

According to Clever Real Estate 58% of Home buyers who purchased a home in 2020 have buyers remorse it's even worse if they purchased after 2020 at 68% to have buyers remorse. The reason? It cost way too much to maintain a home. The average is almost $18,000 a year to maintain the average single-family home. Most of these new home buyers were not prepared for these massive expenses and that is it in addition to their monthly mortgage, taxes, and insurance. I wonder what kind of effect this will have on the housing market when these people can't afford it anymore and need to sell.
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[@ryanwilliams989]

I’m in Michingan and the housing market here over the last 7-8 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $590k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quite mediocre neighborhoods. Then you’ve got Better, average sized homes in nicer neighborhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.

[@BiancaSherly-qt6sb]

A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advise but get buying, cash isn’t king at all in this time!

[@maryHenokNft]

I've been in touch with a financial advisor ever since I started my business. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders.

[@maggysterling33254]

@@maryHenokNftKudos on the effective execution of innovative ideas and tactics that lead to significant advancement. As I seek guidance from a trustworthy advisor, would you be willing to share details about the individual assisting you?

[@maryHenokNft]

Wright promptly do a web check where you can connect with her *Gertrude Margaret Quinto* and do your research with her full names mentioned..

[@TheresaAnderson-kf5xw]

I am going to look her up, I have about $81k i want to start with, might be small but it's better than nothing though. Since the 08 crash is playing out again.

[@tatianastarcic]

I think it's time to make it more appealing for potential buyers. Real estate can be quite the rollercoaster! the stress and uncertainty are getting to me. I think I'll cut rents to attract potential buyers and exit the market, but i'm at crossroads if to allocate the entire $680k liquidity value to my stock portfolio?

[@BridgetMiller-]

"Overall, buyers hold a lot of the cards right now, and sellers are having to give out more concessions to close a deal." All the best, buying on sale is actually one of the best ways to invest in stocks, and advisors are ideally suited for such task

[@nicolasbenson009]

Until the Fed clamps down even further I think we're going to see hysteria due to rampant inflation. If you are in cross roads or need sincere advise on the best moves to take now with financial markets will be best you seek a fin-professional with fiduciary responsibilities who knows about mortgage-backed securities for proper guidance.

[@berniceburgos-]

this sounds considerable! think you know any advisors i can get on the phone with? i'm in dire need of proper portfolio allocation

[@nicolasbenson009]

There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’ Melissa Terri Swayne” for about five aiyears now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.

[@Michaelparker12]

She appears to be well-educated and well-read. I ran a Google search on her name and came across her website; thank you for sharing.

[@stevenwistort9903]

I used to own properties and sold them all for simple living in the country. My mobile home cost 25k, it's paid off. I refuse to be a slave of the system. Life is to short folks. Enjoy less stress in simple living and Praise the Lord!!

[@stuwest3653]

Or don't praise a false god

[@MH-53E]

​@@stuwest3653Don't be an idiot. Christ is King...

[@jayjay-bz3rr]

@@MH-53E. Just don’t tell Ben Shapiro

[@michaelmeyers3664]

Many have chosen Barabbas !!!

[@bryanspayde5681]

And what’s great about a mobile home your taxes go down every year ..

[@RichardMoore-jg5tl]

It is difficult to make exact projections for the housing market as it is still unclear how quickly or to what degree the Federal Reserve will reduce inflation and borrowing costs without having a substantial negative impact on demand from consumers for anything from houses to cars.

[@RossiPopa]

I agree, It's not just the prices, but also the increasing interest rates that are making it more difficult for people to afford homes. With a good FA you can make up your portfolio.

[@RusuSilva]

Agreed. I deal with an investment advisor for this reason. I currently have over $800k invested in a diversified portfolio that has grown exponentially and is suitable for all market seasons. Our current project for this year is a more concrete ballpark target.

[@FusunTumsavas-cq7tp]

How can I participate in this? I sincerely aspire to establish a secure financlal future and am eager to participate. Who is the driving force behind your success?

[@RusuSilva]

Monica Shawn Marti is the licensed coach I use. Just research the name. You'd find necessary details to work with a correspondence to set up an appointment.

[@FusunTumsavas-cq7tp]

I appreciate it. After searching her name online and reviewing her credentials, I'm quite impressed. I've contacted her as I could use all the help I can get. A call has been scheduled.

[@take5th]

As a guy who has been up and been down, who has built a home, owned a few, seen the economy over five decades and interest rates as high as 17%, I now have a small home, on a small piece of land, in a decent but not great neighborhood. I am embarrassed by this house about once every couple of years in comparison to some of my peers, but every other minute I sleep well, can afford maintenance, taxes, insurance, have little yard work, etc. once you’ve had something showy and expensive, use your head and get something basic and solid. No fake stucco, no soft woods outside, no large hoa fees, fake luxury appliances, etc. Clean, well maintained, and up-to-date home is a home, regardless of size.

[@user-os3qm3nb2k]

Possessions can own you instead of you owning them

[@08turboSS]

Ah the real true high intrest rates of the 80's if I recall. 15-17% interest.

[@08turboSS]

Todays rates are half of those.

[@rst90274]

As I have grown older, I feel no need to have things to show off nor any interest in keeping up with the Jones. I have zero debt and income to last me the rest of my life.

[@Liz-fw3xi]

Thankyou advice like this helps me. 1st time buyer

[@shirtlesslager]

One never really owns a house in the USA. The local government owns it.

[@strangeraver6043]

America Dream haha Denial is ugly.....its now the MEXICAN DREAM where you strive to work Govt/Criminals/Telenovela star(social media influencer)

[@andydhillon1977]

Anything with a title issued by the government is never truly owned privately. Most parents don't even realize they aren't the true parents of children under 18. They are just guardians.

[@imperialkhmer6146]

Every US citizen is a property of the government.

[@blackworldtraveler3711]

Last I checked only around 15 countries in the world have no property tax and about half of those have some time of stamp duty,front loaded, or similar tax. Good luck. I will be renting a beach cottage on Rarotonga Cook Islands for a year in 2026. They have real estate property taxes. And the person I’m renting from says the money from her rentals are taxed as well.

[@sues3218]

Correct, even if you pay off the mortgage, just stop paying your property taxes and see what happens. It is an illusion.

[@trahmom4407]

The worst is when people buy in a newly built subdivision and the taxes are low. Then the assessment comes in 😮 if they aren’t aware of it that is a huge pill to swallow! I warned a family member of that and he laughed. Their home foreclosed. Hang in there everyone 😊

[@mommom3172]

Buyers don't realize they have no representation when they go straight to the builder. They have no recourse.

[@investorbro21]

these are the same annoying people taking pictures everyday in front of their sold sign for instagram.

[@Francisco-po1cf]

I’m living in a new build neighborhood for 4 years and my taxes only went up $200.

[@radiomanze1296]

​@mommom3172 Also CDD and homeowners association fees that usually rise every year

[@BREEZYM6015]

Where was this comment before I jumped in blind? I hope that doesn't happen to me. 😂

[@jobellecollie7139]

My buyers remorse? An hoa who thinks they rule the world! They even say they override the ADA Law! I'm fined if I decide to take my service dog outside for a walk in my power wheelchair. They even questioned the validity of disabled veteran car tags! I paid under market value, since I didn't require upgrades since handicap updates I needed. Which are now on hold, per hoa! I got a fixed 2% rate on a partial loan of $40k. I got fined $500 for a lone dandelion! I've lived in everything from tents to Quonset Huts. I have my caregiver measure my lawn, since anything over 2 1/4 inch in height! I need to move. I like my house. I like my neighbors. I HATE my hoa. It's my first and last goat rodeo with an hoa!

[@maxwellblackwell5045]

Vote them out.

[@ericg1149]

Show up to the HOA meetings Vote them out, get on the HOA board. You'll be surprised how quickly it can get turned around when you start voicing what everyone is thinking.

[@KS0102]

Oh that one is easy; you can sue them.

[@1969bones69]

As a veteran I get your frustration. You can fight the HOA board/vote or you can move. I'd move personally. Fighting low IQ board members on a power trip is exhausting. Best of luck to you mate.

[@jasonking0510]

I would pick that dandelion and put it in an envelope with a card with a big middle finger drawn on it🤬

[@marrlena947]

I've lived in Spain for 10 years and I am never going back to the USA. Life is better in the Andalucían mountains with better produce, low property tax, beautiful scenery and about 10% what I spent in the USA. I easily live on $1,000 a month.

[@colettespencer3357]

Wow! That's amazing. Did you know people when you moved there? How do you make money? Do you have dual citizenship?

[@marrlena947]

@@colettespencer3357 I didn't know a soul when I moved here. Now I know dozens of people and it feels like family. Property is so inexpensive here that I was able to buy a beautiful house for 45,000 euros which would be my downpayment in the USA. I work as a writer so I can live anywhere. Yes, I am a dual citizen.

[@manningviralmedia]

Here in central Ohio homes are being appraised at outrageous rates. People are losing their homes left and right due to taxes being increased sometimes by thousands of dollars. My home's taxes just went up by over $4,000.00. No upgrades, no square footage added, not even a paint job, just a letter from the auditor's office saying the value has increased. It is crazy, we have been in the home for almost twenty years and don't really want to move, but we may have to reconsider and relocate. By the way there is no mortgage on most of these homes, just high taxes and insurance.

[@jimb3093]

Come on up here to northern Ohio. I live 50 miles west of Cleveland. Cheaper up here. We have homes here for sale.

[@user-lh5re8jh7u]

Smelling like a 5th amendment taking.

[@marionkorte7801]

Does Ohio not have a cap on how much taxes can go up once you buy a property? Here it's 1.6% no matter how much appraisal goes up. Great protection if you're in a property for years.

[@gulfgypsy]

Happening up in MN. Folks who have lived in their homes upwards of 50 years, no mortgage yet tax assessments are going up far beyond what anyone would pay for the property. They appeal and are told that private property appraisers, appraisals on the property aren't valid - Only county tax assessors.

[@GenXamerica]

What area of central Ohio is that? There are few affordable homes even available for sale.

[@texashsad]

The homeless need to scoot over and make room on the beaches for the new homeless.

[@hectorrodriguez2686]

Most people buy a house as an investment instead of buying a home or shelter. They buy too big, too luxurious, they buy the most home they can at their peak earnings years. Do the opposite.

[@DIVISIONINCISION]

It can be both, young Hector. Bought a 4/2, 2Ksqft custom corner lot for $175K in 2019. Was a great investment and obviously better than renting. The house has full solar, stained concrete, tinted windows, granite/marble. When I do unload it, will not have trouble getting my price.

[@kookietherapy9398]

I agree w you, yet harder and harder to find those basic ranch homes anymore, and they are still outrageously priced. I sure a hell don't want to 'take care' of any home over 1500sqft.

[@amyhudson1016]

💯

[@redtiger7268]

I have been in real estate for near 2 decades now. Most people do not buy homes as an investment. They buy homes as status symbols. This is why they buy more home than they need or can afford. Investors look at the cash flow.

[@blackworldtraveler3711]

Yeah that’s where people mess up. I started saving/investing early at 15. My first home was the smallest in a secure gated community of condos 1500- 2400 sqft range in the 90s. Even though I paid $70k for it my net worth was already around $400k with wealth reinvesting and compounding when I bought it. Then years later I bought two condo rentals with cash after housing crash in 2008 for investment and income. My net worth was over two million by then and debt free. So one of the important mistakes I see many make is not saving/investing early in life. Seems everyone throws away money not saving/investing then want to play catchup buying home with costs like maintenance,taxes,insurances,utility bills,mortgage,interests,upkeep,etc.. and call it an investment. A lot of YOLO,FOMO,keeping up with the Joneses,etc.. Many even throw a family or and/or divorce into it all with debt.

[@maxwellblackwell5045]

If someone stole my house because of unpaid hoa fees, they would need witness protection.

[@andydhillon1977]

Easy to say. Everyone is a tough guy in make-belief land.

[@HarrisonCountyStudio]

Ya, good luck.

[@jimshoe402]

@@andydhillon1977 I don't think so Bud brother is E8 SF and other Brother 6'4 took them to court. They sent their lawyer,😍

[@maketheconstitutiongreatag5038]

You won't do anything

[@Theoregon420]

Wouldn't be so sure, that might put the person on the street

[@MARILYNANDERSON88]

Purchasing a 75 year old electric and sewer connection and 30 year old roof and 25 year old hvac at full market price, then getting assessed for infrastructure upgrades is hurting 1st time home owners.

[@jjohnson8977]

Structure not infrastructure

[@buffetline2605]

For real. These people had no idea what they were buying into.

[@seamusoreilly804]

@@buffetline2605 Isn’t there supposed to be an inspection and report to prospective buyers?

[@joeyork9891]

Exactly Boomer are the most privileged Then their child

[@Cody62]

You need to really do your research before moving into an HOA community. We moved into what is known as a planned urban community and found out later that there was only a fraction of reserves needed for the roof replacement! No reserves for sewers and roads, which I also found out were owned by the HOA The property was built in the 1970’s. If you are able to negotiate on price then these are great bargaining chips.

[@cphipps1969]

After being a renter all my life, finally bought my first home 3 years ago at the age of 51. No regrets!

[@sues3218]

It depends where you bought. Some area's will not get hit as hard in this housing downturn, and some will get hammered.

[@blackworldtraveler3711]

@@sues3218 He already said no regrets.

[@FreestylingIsLike123]

You bought it outright?? Or you plan on working to death?

[@bobbowie9350]

congrats!

[@candelariaw1668]

@@FreestylingIsLike123what difference does it make? You don’t know when you’re going to die first of all. Second enjoy the fruits while you’re here!!!

[@elcee8]

I’ve been renting my entire adult life and I don’t have plans to buy a house anytime soon. I get so annoyed now when coworkers point out to me that I’m wasting money by renting. Ugh. There is SO much to purchasing a home nowadays. I don’t want to be a slave to my job. Right now, because I pay $1800/month renting, I’m able to take months out of the year off not working, just doing whatever I want to. If I were to purchase a home in my area (which I don’t want to move from), I’d have to work full time and work all of the time to pay for a house I am rarely in and give up my “free” lifestyle.

[@shirtlesslager]

Love renting when away, but own a house as my primary residence. Renting is iffy because the landlords like to sell and stuff. Can default back to "home", which I keep empty.

[@truthseeker1959]

@@shirtlesslagerEmpty? Yeah, until the squatters move in….lol.

[@francismarion6400]

Buy cheap sell high.

[@shirtlesslager]

@@truthseeker1959 Always possible, but unlikely.

[@jimmywarren6685]

Well, you go ahead and continue to pay 100% interest and NEVER have equity in anything....I will continue to pay my mortgage and I will have something.

[@cherylmcwilliams7238]

I bought an older home in 2018, not in an HOA. I had been renting for a while. I have no regrets. Yes, the home needed updates. I did most myself being a previous homebuilding contractor and saved thousands of dollars. I purchased for 127k in 2018, it's worth 350k today in a soft market SW FL. I have a good interest rate, pay lower than the average rental costs and do not spend that much each year on maintaining the property. The most important advice I can give is not to get locked into an HOA situation. Settle for something that you afford in bad times as well as good.

[@tobyk5149]

solid advice

[@marklane870]

If HOA includes all monthly bills at a low rate it's a no brainier, 550/no for everything even electric is a deal, not to mention the no headache monthly check writing. One bill for everything even internet and phone lol

[@lukeskywalker2116]

I have buyers remorse from my marriage. Marring the wrong person is the most financially disastrous thing you can do.

[@TheNewChevyRoll48]

True. At least your house doesn't take half your stuff with it when you can't make payments on it anymore.

[@Josh.Stovall]

💯%

[@rollwithit5150]

It appears they want all of us on the street

[@rollwithit5150]

Technically it’s not money, it’s currency, and they can just print it whenever they want.

[@Getloose360]

They want to steal every American's hard earned money to spend unchecked. Inflation is also a form of taxation. The American Nightmare achieved.

[@GranFinale]

The "American Dream" was never home ownership. The term was co-opted to sell houses. It originally meant coming to the U.S. with nothing and becoming successful, on your own.

[@rst90274]

Well said. Its like DeBeers and their slogan, Diamonds are forever. We can now man-make diamonds from carbon, identical to the real thing and flawless, they sell for about 1/20th the price. We're on the cusp of making 3D printed homes that are superior to wood framed homes. Much of the hard work is done by the printer. They would be virtually indestructible, storm proof, insect/termite proof, nearly fireproof.

[@ThePerimeters]

@@rst90274 and unaffordable due to quality

[@rwaterssydney]

Retirees in Australia are moving to Spain and Thailand where they can buy a property outright for under 100k, live on their pension, have free healthcare and affordable living expenses. The median house price in Australia now is $1 million. Average homes in working class suburbs are over a million to buy. Nearly every new apartment block has serious defects and you need a lawyer just to deal with Strata. It's nearly impossible to buy an apartment built before 2000 that's defect free, or rent on a pension now.

[@ozmunky]

Taxes in Spain will kill any Aus retiree who is silly enough to be tax resident.

[@glennbeadshaw727]

There's no free healthcare you haven't contributed a lifetime of taxes to those countries but look how quickly you run over there looking for something for free

[@rwaterssydney]

@@ozmunky they're living on their AU pensions.

[@joebidet2050]

​@@ozmunky property tax in Spain is low Income is from outside Spain And even if they did tax it How would they know how much you get? Use atm to withdrawal in Spain From aus pension that was deposited into aus bank

[@afrivox]

Same insane prices in Auckland nz, so my retirement plan includes pretty much SEA. Have been thinking of securing some piece of land in the Philippines but haven't worked out the logistics and legalities yet

[@chriszavos]

I never regretted buying my home after being a renter for almost all my life. I got tired of landlords.

[@jvz28az]

The regret isn’t buying a house, it’s buying an overpriced house and at a bad time in the economy.

[@steves3688]

Very smart move!

[@thejuicerr]

@@jvz28az There will never be a time when buying a home feels like a no-brainer. It's only after years of ownership and hard work that you reap the rewards.

[@chriszavos]

@@jvz28az I did buy an overpriced house but I never regretted that. I'd rather buy an overpriced house than pay an overpriced rent. I saved money when rents were low to be able to afford buying a house, and I refused to pay an overpriced rent because rents never go down. There is never a bad time in the economy to buy a house if you have the money.

[@eshoo8000]

@@chriszavosbuying overpriced house is same as being taken for a ride.

[@charlesp467]

Easy 18k per year in states like Texas and Florida. Taxes and homeowner insurance can easily cross the 18k threshold on a 600k + residence. He wasn't saying in repairs or upgrades .

[@overcastfriday81]

Thanks for the heads up Michael. It sounds like elderly people should have their HOA fees auto-paid by a service like CheckFree so the foreclosure process you describe would not kick in until there is a substantial HOA fee hike. If that happens six months later, and survivors didn't step to the plate even after all those months, some legal process seems inevitable. Also, if an elderly person knows her beneficiaries are slow and/or legally inept, she can arrange to have an executor wrap up all loose ends with no effort required from the beneficiaries.

[@overcastfriday81]

I think a better question is, if there is an unpaid HOA fee, is it overkill to allow foreclosure? Shouldn't that just become a lien?

[@s99614]

The rent is too damn high!

[@Alex-jx5bx]

Damn right 😊

[@dalecannon3791]

Yes, Jimmy McMillan would agree

[@marcuswelby9601]

Prices are still crazy high in Vegas. I bought out there in 2009 for 103k and it dipped all the way down to 88k now it's worth almost 400k

[@MGTOW_Modality]

That's crazy equity.

[@DIVISIONINCISION]

Nobody is paying $400K for a used house in Vegas. They would live in Phoenix for those prices.

[@marcuswelby9601]

@@DIVISIONINCISION sold it in 2019 for 260k and moved east. I still track the price. Wish I stayed but plan on Sun City Arizona once this house in Ohio is paid off. 6 years left!

[@nitalove9416]

Good for you!

[@marcuswelby9601]

@@nitalove9416 right place right time

[@user-os3qm3nb2k]

Michael your info is good for people that dont understand there is so much to know regarding real estate. Everyone that re-fi's re-sets their loan so most of the payment is interest, so many life changing decisions that by listening to you can make or break their life. Keep up your good work 💥

[@nogames8982]

I feel very lucky. I bought a house in 2001. I paid it off and then used a home equity line of credit to do some very much needed updating. Once that’s paid off, I will be debt-free. I’m glad I did it. There’s no way in. Heck I could buy a house now and there’s no way I could afford the rents that they are charging now.

[@RedEyeC]

We are never, ever debt free. Even after death the Federal and State taxation departments want immediate taxes paid on the deceased.

[@USVIsteve]

The American dream is to get out of America

[@morganhill2586]

Yep, make passive in south and N America & roam the world living around your means

[@dertythegrower]

heh. 2:37

[@stevenwistort9903]

My next step is to get out of America, although I'm living cheap now. To much unrest and inflation here.

[@BREEZYM6015]

I'll be right behind you. You go first. 😂

[@bhaltazhar105]

Bye-bye. Don't let the door hit you in the ass. 🕯🕯🕯

[@Gemini-kl1wn]

I can't speak to the cost of home ownership in Florida, but being a homeowner for over 40 years, mostly in Southern California, my expenses were nowhere near $18K a year.

[@sarashann]

Ditto Would love to know where he came up with that number.

[@ramonanieubuurt105]

My house was built in 2002. Never had a house payment. Cost maybe 2k a year for repairs.

[@Patching4Health]

Why do I get the feeling that corporations are going to own 90% of homes by 2026?

[@alfonsoalfonso5254]

Corporations are hedge funds that politicians retired or in office are a member. Hedge funds pay cash. Hedge funds are billionaires, Multimillionaire and politicians, are the ways to steal our homes but more important you life as a economic slave. As KINGS and QUEENS did, do as we tell you to do or become homeless. History lesson, I know learning is time consuming, or be a slave !!!

[@carolbagwell6769]

Pottersville. 🤔

[@endorphinrider62]

They only own 2.5% of homes at the moment, not enough to influence prices.

[@tomasviane3844]

Was my thought as well. Half of the houses will be owned by BlackRock...

[@tobyk5149]

conspiracy theory

[@sewnsew6770]

Back in 2005 I bought a home. I then found out home ownership was much more expensive than I realized And the recession came a knocking I had buyers remorse lol

[@jmsena]

But did you die though? Lol jk

[@BREEZYM6015]

You didn't know the recession was coming so why have buyers remorse?

[@sewnsew6770]

@@BREEZYM6015 because my property taxes went up and my home owners association fees Were parking restrictions I decided I wanted to move to another state to find a different job Also the place had a lot of post construction issues Long list lol It took me 15 years to sell it as the value dropped 50 percent and took 15 years to recover the value If I want real estate will buy an REIT lol

[@hcox1111]

I bought a new house in 1985 and I paid zero in maintenance {besides mowing the yard} bought it for 45000 and sold it for 95000 in 2000.

[@andydhillon1977]

​@@hcox1111Who cares about exceptions to the rule. Extremely rare to have $0 maintenance costs. I don't even believe it. I've owned 2 brand new houses and both needed some form of maintenance. My experience is the overwhelming majority of homeownership.

[@robertlaird6746]

Legal loopholes like this shouldn't be allowed. I agree with you! I also don't agree with having property taxes. We really don't own our land because we end up renting from the government by paying property tax. Such a scam that needs to end.

[@user-vy6xw5lb5l]

I listened to you a year ago. I am a widow. After my husband died I had to get help to maintain my house also I owned a lot next to me. Taxes got crazy on that empty lot.. I was such a worry all the time being a widow. I am 67 In good health. Maybe I lost money now that I am renting apartment. But, It is so nice to call Maintenance when things break. Also I have houses all my life.. I also can travel now.. I ha e some freedom.

[@kathleenepugh9495]

Kudos to you....smart move!🎉😊

[@andydhillon1977]

I know what you mean. I'm in a similar dilemma.

[@deannacrownover3]

Thirty years ago, my husband and I purchased a small, 99,000 home in Oviedo. We lived there for 26 years and when we were offered $400,000 for that house, we understood that the bubble was about to burst and we sold it. We had 100% equity in the home, having lived there so long. Our interest rate was a fixed 2.5 interest rate. We also owned land in North florida, which was hunting land. Because my husband builds homes, I had him build us a cabin with a summer kitchen, livestock pens, etcetera. We chose to build our cabin in the center back of the property in an ancient oak hammock. We even have a creek that cuts across the back two acres. From the road looking in, you would swear this piece of property was completely undeveloped. It's even difficult to find the driveway. Our property taxes went from 3,300 a year to $400 a year, we still live in the great state of Florida but our nearest neighbor is 210 acres away!

[@daw764]

You are 100% correct about renting. I live in Clearwater, Fl 2 miles south of Dunedin. The neighborhood I rent in has Sales between 400k-600k. The minimum mortgage payment is around 2500. I live in a 3bed 2 bath with almost 1600sqft. I currently pay 1650 per month. For me it makes way more sense to rent. I have No additional home cost other than rent and utilities. I only hope the owner does not decide to sell. Great content my friend!!

[@alfonsoalfonso5254]

I had a fellow employee who retired early because his high school friend had apartment. Rent per month was $600.00. In Westwood CA, his friend died, his children raised rent to $1,200.00 then later to $1,500.00. He had to relocate and get a part time job. Bomb in to him years later. Politicians are saying “ in the future you will own nothing and be HAPPY.” Politicians place there money in HEDGE FUNDS to purchase apartments and homes, ALL CASH !! You are a sleep if you do not SEE THIS OCCURRING. Good night? Early 1990’s.

[@jkmarshall3553]

You live off Cleveland Ave?

[@daw764]

@@jkmarshall3553 - Close!

[@daw764]

@@jkmarshall3553- Close.

[@tobyk5149]

@@alfonsoalfonso5254 California law limits home rental increases to 10% per year.

[@patriciamay6396]

With $8600 per year in taxes and $1200 per year for insurance in addition to our mortgage, we still don’t pay $18,000 ever year BUT some unanticipated problem such as a tree knocked over by a storm, flooded ceilings from heavy rainfall, wet basement (all of which happened to us) always happen. Some years are more expensive than others

[@francismarion6400]

​@@geocam2If a fast food worker is worth $20 then a tradesman should start at $40 and his boss should clear 40% on that guy's labor or it's not worth running a business.

[@HarrisonCountyStudio]

@@francismarion6400 $40? HAVC guys are charging $95-$125 a service call, electricians $100+,… if you got a tradesman at $40 an hour, take care of him, because he is taking care of you.

[@houseofshred3725]

13:32 The amount of power HOA's have over people is ASTOUNDING. Why anyone submits to that is completely and entirely beyond me.

[@SY-qg6qn]

Just bought a new house and the big selling point was no HOA.

[@tobyk5149]

the Karens love being able to wield the HOA as a control mechanism or a weapon against their younger neighbors

[@houseofshred3725]

@@tobyk5149That’s depressing.

[@luhoffma8836]

I love owning.

[@shirtlesslager]

Best is to own a "homestead", and then rent, globally. Always have that fallback. Keep it empty.

[@pshodean]

my first house shocked me. $200 every time I walked into home depot, which was almost weekly. No one ever said anything about that! Renting is by far the cheapest living. Forget the BS tax savings stuff. Now I owned a mortgege co. for a while. Now years later yes owning is the best but I'm not playing keeping up with the Jones etc anymore either.

[@geraldkoth654]

Full time travel in an RV which is now 14 years old and still better than any apartment. Truck is 17 years old and runs better than when it left the factory. Best decision for retirement ever. I did buy a lot in an RV park for the summer and I find great places to stay in the winter for a low monthly fee. I do have a Thousand Trails Membership with $585 dues per year and stay 3 months free every year going north and south. Did a number of years in Florida in the winter but it is now priced outside my budget. My biggest single expense is Federal Income Tax.

[@poodledaddles1091]

You don’t need to spend 18k extra each year to “maintain” your home for 30 years. I call that fuzzy math:)

[@Whistler326]

I definitely dont spend that but expenses like the roof or replacing a hot water heater do add up!!!

[@tarikviaer-mcclymont5762]

​@@Whistler326that's not each year though

[@tarikviaer-mcclymont5762]

That's absolutely false no one is spending 18,000 unless you have a 2,000,000. I'm calling 🐮 💩 . Mike you gonna have to give itemized examples

[@tjlarson6519]

That's not fuzzy math. That's math wearing a full length mink coat.

[@tjlarson6519]

Calling your lender if your are in trouble is worthless. During the pandemic i lost my job and called them immediately and they told me to call them back AFTER i was at least 3 months behind because there was nothing they could do until then

[@kevinschlosberg7124]

Do you really expect us to feel sorry for those buyers with “remorse” after purchasing a house two years ago?? I don’t…

[@jimmyamico4713]

Excellent video the only part of it I disagreed with is when you said in the beginning of the video that the houses in Las Vegas are going down actually since 2022 they’ve been going skyrocket through the roof I’ve been watching them every day for the past 2 1/2 years and they are unbelievably expensive. They are catering to the rich from California and Washington and anybody in the United States that are willing to pay cash cause almost 60% of the homes are being bought cash by the rich other than that phenomenal video as always, MICHAEL.❤

[@Marie-ts8rp]

Thanks for the weekend vid Michael😊

[@SqueakyChase]

I'm old, retired, tired and I'm quite comfortable. I generally have no patience when it comes to listening to younger generations 'sage' advice. However, I do like listening to you. Young people can learn a lot from you.

[@syoung4471]

We have everything paid off. I will say for anyone that wants to own a home, you need to have money saved up for different repairs. We had our property taxes go up last July. Fortunately my state is not that bad. Those FL property taxes, yikes. all I would tell someone is expect things to be around $15k on average for bigger repairs/replacements ( roof/fencing/driveways/kitchens). The hot water heater we just had to replace in February and that was $1k. Also, I wanted to add from yesterdays video. I know I left a comment but didn't get into the reason I watch videos like yours. For me it's about being prepared. I want to know the truth and what normal people are seeing/experiencing which is why I also read comment sections. I don't see it as being negative/doom/gloom like some people try to make it out like. I live in reality and I can't brace for things that could be ahead if I just lie to myself and pretend everything is fine. I see it as a way to prepare for the worst and hope for the best.

[@gumerzambrano]

Nobody in my family owns property in the US so I wasn't aware of property taxes or HOAs. Thanks for educating me 🤙🏼

[@drc3po]

Why would it cost 18k per year to maintain a house? The most I ever spent was $2200 one year to replace the central AC. Another year I spent $900 to repair the gas furnace. One year I spent $250 on paint & brushes to paint it myself. This year I spent $1200 to replace washer & dryer. The other years I spent nothing except gas & oil for the lawnmower.

[@benton-benton]

Property tax and insurance might be included in that 18k.

[@drc3po]

@@benton-benton Maybe. My property tax is $750 a year (over 65 exemption) and my HO insurance is $1500 per year. Tax was $1900 before I turned 65. I am perfectly middle class, but in MS which is half the price of FL.

[@CM7777...]

Your still spending.What will it be next?

[@drc3po]

@@CM7777... It wont be 18k per year 😄

[@shayscott7498]

I own a small townhouse in the DC suburbs in one year to replace the ac system was $12K (home depot contractor), tankless water heater after tank exploded and significant water damage (over $10K). A house is nothing more than $10K a year in unexpected stuff. I have sunk so much money in a house that the inspector said was "perfect" that it isn't even funny! Water issues in the basement was untold expenses because noone it appears can "fix" it.

[@poodledaddles1091]

18k a year is not maintenance, it’s keeping up with the Jones.

[@DIVISIONINCISION]

The crazy thing about those who try to "keep up with the Jones'" are in a different tax bracket and will NEVER be able to keep up with the Jones'. Those who have money live their life and aren't comparing to others.

[@Resmith18SR]

​@@DIVISIONINCISION😂😂

[@TruthbeforeTrust]

The average Florida property taxes is about 9k$ year alone. Then how much would you spend to maintain a home during a year? Maybe 5k$. That is 14-15k$ a year for a Florida home to maintain. If you are trying to improve your home. I would suspect the cost to go up to 20k$ / year for a Florida home.

[@zfreak2808]

Agreed. I was spending about $10k/year for 5 years to fix my crappy house, but that’s not most people. I’m down below $5k/year and I’m still fixing up my house

[@missylearned9821]

I’m shocked it’s only $18k a year more than the mortgage payment. That’s $1500 / mo. Very easy to hit that number when you account for property taxes, property insurance, utilities and the maintenance on a home. Very easy. And the bigger the property the higher the utilities and maintenance on a home.

[@fredk9999]

Thank you to our host for these daily outdoor segments. Always learn a lot

[@thejuicerr]

Keep renting! The crash is near 😂

[@mrpips000]

bought in 2014 and have zero regrets even after replacing every appliance and hvac since and thousands in upgrades. I bought a house I could afford and not for vanity.

[@tobyk5149]

2014 housing prices were low compared to historical trend and the mortgage payment was less than rent cost for equivalent home in most areas of the US. I dont see your point. Nobody has a time machine to travel back and buy in a buyers market at those low prices

[@Mongrelasilcrosses]

Good for you. Nobody asked… there’s No point in commenting if you didn’t purchase in 2020. Keep scrolling

[@mrpips000]

@@Mongrelasilcrosses haha. someone's butthurt.

[@lickitysplit2413]

Sounds about right regarding lawyer playing the system; sounds like the loophole needs to be corrected in our state legislature.

[@sawmill123456]

My boss who lives in Hialeah Gardens in a gated community tells me his taxes have tripled from the time he moved in!!!

[@TimeToBeKind]

I went to see three houses today, my brother’s neighbors; two couples moving to South Carolina and one to Alabama. The two couples going to South Carolina have become good friends since they moved into their homes, and now they are going into a new community that is under construction. Selling their house will give them enough cash to buy a much nicer house, with $400.00 insurance and $800.00 in taxes… yearly.

[@TinCupChalice40]

You will never convince me that renting is the better option long term.

[@maketheconstitutiongreatag5038]

Better to rent from the city (Property Tax)

[@jeltoninc.8542]

Hey Michael you’re the big dog thanks bro I sometimes follow you on your daily walks without you knowing. It’s fun to watch! Live!

[@jjohnson8977]

Little known fact. Bank loans you money your initial payments for first 10 years go direct to paying off interest NOT TO THE EQUITY IN YOUR HOUSE

[@williamquigley852]

That should not be a little known fact. The principal and interest pay down schedule is usually attached to the loan documents. A quick scan will show you this.

[@giantclam1822]

Little known fact to 20 years old ? Thats why you bang out 4 xtra payments a year.....mortgage 101

[@Cari.diamond1]

Thank you, now I know. I am a renter because I can't afford a home now.

[@jjohnson8977]

@williamquigley852 I agree but most people don't understand it. They pay on a loan for 5.years. then do a refinance thinking they are saving money by dropping payments. When in fact it's opposite. When people do that they are restarting loan paying bank all interest since the loan is new. Banks love the refi to "drop your payment" it's a scam to keep us rats on the wheel

[@jjohnson8977]

@giantclam1822 agree extra payments are way to go. Also clearly mark payment as to be applied to principal only. This avoids extra payments going to loan, which is just paying interest off

[@KoDeMondo]

Hi Micheal good morning buddy, I'm calling you from Australia here all the homeowners expenses and taxes are mostly passed to the tenants which they have seen their renting skyrocketing. In Perth, WA we see price around 800aud/weekly. My rent is 650aud/aud and for me is already too high (I'm around gross salary is 180000aud/yearly) despite I'm in the high salary bracket. The house prices are also very expensive around 1mil.dollars for a 4x2 but here maybe the difference with US mortgages system because the banks landing you money with only short term interest rates for max 3 or 5yeras then the homeowner needs to finds a new mortgage for his house with an different rates so there is quite a number of them they are now not even elegible seen the new interest rate!! I'm honestly keep renting although this was cost me change house already 6times in the last 8years 😤

[@shondathomas7825]

I bought my house in 2017. It does not cost 18k a year to maintain. I could not afford that. Not sure where they are getting those numbers

[@debbiec6216]

*Speaking about homes for sale , just today, there's 2 homes for sale ( all of a sudden )* . $425K and $550K . *I haven't checked to see how much they are going for , they are existing homes* Both of them are on the corner , I learn NEVER have a home on the corner . Our old home was on the corner, nightmare.

[@morganhill2586]

U mean the one w the most land Sq footage

[@debbiec6216]

@@morganhill2586 Some homes has more space ( sq ) . I am speaking about , you noticed MORE traffic and hear more noise with vehicles. That's exactly what I am speaking about !!!

[@DIVISIONINCISION]

You're dead wrong. The Corner lot is larger and only one neighbor. Also, corner lots sell for higher than the other hedged in homes. You are clueless about real estate.

[@86Framer]

@@DIVISIONINCISIONIf you live somewhere that gets snow and has sidewalks. You get to do at least double the amount of snow shoveling with a corner house. It’s really hard/expensive for some people to handle.

[@DIVISIONINCISION]

@@86Framer I'm in Texas. We had one day of snow each of the last three years. One day. No shoveling because I can work from home.

[@commonsense6967]

Yes, taxes go up 10% each year on my investment rental, but I pass the increase on to my renters. I cannot even think of ever selling it because I've owned it for so longthat I'd payhalf the sales price in capital gains. So at my death, my heirs will inherit it free of those capital gains (stepped up basis.) Good thing I'm 72.

[@jaymian8117]

Bought a home in 2021. 2000/month with escrow. Dont regret it and definitely dont spend 18k on maintaining...

[@Heavnsangel79]

Same…and my interest is below 3%.

[@waynebollman]

Dude, that's not a "loophole"; That's organized government racketeering.

[@garymensurati1631]

Agree 💯💯

[@Corkfish1]

I owned a house and hated it. I rent now and my landlord has never raised my rent. In the meantime I'm stacking so much money I don't know what to do with it.

[@fullclipaudio]

Buy gold and silver

[@amymalina5073]

I totally agree with you about renting vs. owning. I owned a home when we raised a family and needed to be in a certain school district etc. But now, I feel SO lucky to be a renter in a place I also love.

[@laurajane4806]

I enjoy your perspective. I remember as a young buyer one summer every major appliance went on the fritz. There are things you expect and things you don't, constantly.

[@tenajones2841]

People need to stop blaming others for their “unknown” high maintenance and/ or property taxes. Those figures are available before you buy. Owning is always better than renting (duh). But you have to buy correctly - put 20% down, have a 15 year loan which the payment PITIA isn’t more than 25-30% of your take home pay. If you can’t afford that, you can’t afford to buy , so sadly, you’ll have to rent. BTW, Short sales and deed in lieu transactions are going to cost you in TAXES. Research that one before you do that!

[@leedrowlette2847]

Best home security is to have all your assets in a trust, and not live in any HOA. Lived once in an HOA, and their fees continually are increased, and one is enslaved to the by-laws. Hell No. Done with those cowboys.

[@rhondae8222]

Great video. Thanks for sharing.

[@blazonbyrd5996]

If they say buy a home - I rent. If they say sell your home & rent - I'm looking into buying. Once you figure out that everything is backwards here and they want to control the narrative... You rarely make financial mistakes. Well done, Michael.

[@floydestelle6242]

Pay off your house and then you pay your insurance and taxes, and guess what you have something of value! How much value does rent give you?

[@MGTOW_Modality]

Renting is just running at full speed on a treadmill. Home ownership is having a healthy pace.

[@suzannederringer1607]

One rarely can pay off a house quickly or buy for cash. Even when it IS paid off - Taxes and Insurance (in my experience) keep going up and you have no control over that. Plus routine Maintenance and/or major Repairs. Been there done that. Happy to rent and have the option to relocate depending on costs or politics or just a personal desire to be somewhere else.

[@Yup333]

Its called the American dream because you have to be asleep to believe it

[@BREEZYM6015]

Not necessarily.

[@jeswmuke]

You made really impressive analysis of renting ones home to become a landlord. Its a hassle with negative cash flow. Thanks for sharing !

[@panhandlepads]

Lumber went from $9 a 2x4 to $3 a 2x4 cheaper to build now

[@keithkamps77]

You know what's funny when we buy a boat the acronym is "Break Out Another Thousand" then say when you buy a house it's a better thing but I beg to differ being a home owner, I'd rather break out another thousand for a boat instead of 10's of thousands of dollars for house issues!!!!! Thank the lord I'm very good mechanically, carpentry, roofing, electrically and with plumbing and heating, if you don't have any skills and have to rely on others for everything you are basically screwed unless you are rich.

[@maxdoubt7680]

So true!! makes me glad I was born into a poor 'DIY or die' type of family. Still working on Covid recovery tho' lol

[@roseeze166]

Micheal, thank u so much. U said what ive been trying to say but couldn't articulate as i dont have real estate savy but i can sense that all isnt right. People really should be listening to your channel b4 purchasing a home. You mentioned all the hidden expenses that are not tallked about but PURPOSEFULLY hidden so that they can loose the home and the vultures sell the same home a hundred times My uncle a Nigerian immigrant saw through the game said he was never buying a home in America. Thanks again. And im gonna listen to this again. Love this channel!

[@MartysFadingHand]

Hey Michael. One strategy to save your house that you didn't mention is to recast your mortgage by paying a lump sum to your principal which which lowers payments over the life of your loan. Peace.

[@johnwade3476]

Moral of the storey you NEVER own your home unless you keep paying

[@benton-benton]

Property tax and maintenance, insurance. Yep.

[@consciouscrypto3090]

I remember what it was like when I was a few years into my mortgage and my business just started drying up. What I'd been doing before simply wasn't working. My cashflow was decent, maybe $7k/m, but my expenses were more like $11k/m, much of it house related. Then I found out I needed to put about $40k into the house for a repair. Eventually I got a year of forbearance, just paying interest, taxes and insurance, but never was able to pull out of it. I wound up selling the house. Lucky for me I'd bought at the bottom of the market and was selling at a high point, though not the actual top that developed in 2021. So I paid off the mortgage and walked with enough to buy a house for cash in a different state. But I sold that too and am renting now, enjoying being able to call someone when there's an AC problem or need for new gravel to be put down, rather than needing to find the money myself. I'll eventually buy again, but it will definitely be a cash purchase and I will definitely stay within my means to be able to set aside that $20k/yr for anticipated reinvestment needed into the property to maintain it.

[@damarcusgates6818]

Nothing but facts and great advice every single video. Thanks bro😎

[@Cari.diamond1]

Very informational. Thank you!

[@InvestingWithAdamK]

Total sleezball. . . The lawyer stealing homes that is.

[@Prophezora]

When "everyone" is doing it...dont do it. 🎉

[@pointnIaugh]

Exactly

[@BREEZYM6015]

That's why I don't go to the gym. 😂

[@Ramonimalik]

@@BREEZYM6015😂😂😂

[@andydhillon1977]

Excellent advice. My parents told me that in my teenage years.

[@noreenn6976]

Congrats on 160K subscribers!

[@argeldelacruz9545]

You can get a home improvement loan when you first purchase your property We pretty much fixed up the whole house for 50k just had to pay upfront but they give you the money back right away and it raised the value of the house almost 100k. 👍🏽

[@mistiinseattle]

I agree. I bought a condo and so regretted it. Managed to sell and now in a wonderful apartment and could not be happier.

[@jmsena]

It’s playing out eventually. I just learned about someone who heloc’d their home to keep up with inflation and lifestyle expenses. That ain’t going to end well.

[@mowtivatedmechanic1172]

I’d heloc a house and go buy another house cash.

[@gregorymcmahan3914]

Thanks, Michael. "Just think of it like dating: the longer the list, the higher the risk." Priceless!

[@jeffsilverberg5848]

Thank you for your insights and analysis 😊😊😊

[@waveriderz2687]

Houses and rentals are not readily available in Hawaii, unless money's no object! When available, rent is higher than a mortgage. People with cash moved here during the pandemic. Many bought multiple properties driving locals, young people, and seniors out of the market!

[@hsparna999]

What's the latest on the city that burned to the ground? Are the locals screwed?

[@waveriderz2687]

@@hsparna999..Lahaina was the hub of the island, both culturally and economically. Many are still without homes. Living with family, camping, in hotels, and wherever they can get housing. Quite a few have unfortunately had to leave to the mainland to find a new life. Many of the families had been there for generations, and have family spread throughout the Hawaiian Islands. The spirit of Aloha is what we live by here, so It was like a part of our hearts were torn out when the fire occurred. It will be decades before Maui recovers, and who knows if it will ever be the same. I wish them well in their recovery!

[@clintperry799]

$18000 A year I'm calling total BULL SHAT !!!!!!!

[@RupertMDoc]

My guess is that includes people who get expensive renovations. I have a family member who had their kitchen and neighboring room redone, and the cost of renovation was about the same for the house itself.

[@desertsunset8025]

Exactly.

[@desertsunset8025]

​@RupertMDoc yearly , for 30 years . No way .

[@thejuicerr]

$18K/year? This guy stepped on BS on all those walks.

[@user-sd5ul1jy6e]

18k sounds about right on average…. how else would HD and Lowes stay in business. HOAs tend to dictate timely maintenance with no regard for cost to the home owner.

[@mattanderson6672]

Thanks Mitch

[@jackwilson3121]

Florida needs to change that HOA foreclosure law. How did that ever become legal?

[@uneducatedEntrepreneur]

Houses are flying off the market here in Coral Springs Florida

[@mowtivatedmechanic1172]

Same in palm beach county. I scored one cash as it hit Zillow and alerted me at the same time. I got ahold of the selling agent and told her I have cash and can close today.

[@pumpupjam9648]

Renovating my electrical receptors and new light fixtures. Then on the market it goes. Always rented, will rent again. Cost on home outweighs cost of rent. Not worth to own a house in this system. Upkeep and maintenance can wipe you out.

[@seebunlim3605]

I find this channel fascinating, even though I’m not American or living in America. Housing is definitely getting so expensive everywhere.

[@PianoMatronNeeNee]

Thanks Michael for the great info. Something’s gotta give. Hope we wake up from this housing nightmare.

[@richardb.7054]

The loophole needs to be patched! That's messed up😮