[Loki]

I think it's kind of old, but still funny.

RECORD 75 MILLION AMERICANS NOW PRETENDING THEY OWN THEIR OWN HOMES

$this->bbcode_second_pass_quote('', 'S')howing no ill effects from a weak economy, housing numbers released by the National Association of Realtors today showed that a record 75 million Americans are now participating in the mass self-delusion that they, and not their banks, actually own their homes.

"Home ownership is the fulfillment of the American (banking industry's) dream, and we are proud to announce that more Americans than ever have been able to (help lending institutions) achieve that dream," said NAR President Richard Schicter.

[eastbay]

I searched around a bit and couldn't fine any hard numbers showing how many Americans actually OWN their homes... as in, owe nothing to anyone... no liens and no mortgage.

If anyone knows this I would like to see the number and percentage of homes paid off in full.

Thanks.

[I_Like_Plants]

I've been slipping the term 'homedebtor' in place of 'homeowner' here and there ...... when emailing, talking with folks, etc.

And that's when I"m not saying 'Merkan!

[pea-jay]

If paying 20% down and financing the rest of a 200K mortgage is called pretending owning a home then what would be paying nothing down and holding an ARM that is going to double after a year called?

[I_Like_Plants]

Pee-jay putting down 20%, on a 200K mortgage on I hope a regular house, not some mobil home or something, with a garage and yards and all that, just makes good sense. Your mortgage is probably a grand or less, and that's about in line for rent for a decent place the cheaper parts of the US, insanely cheap for some areas, a bit overpriced for a few areas.

Sounds like you done good.

Mobiles with $1000/month space rents are $200k out here in Cali though!

Your debt-to-earnings ratio is probably really healthy. Unfortunately, a lot of ppl's are not. They're paying hallucinatory interest-only rates, partial-interest-only rates, etc. There's not much reality connecting the hugeness of the loan vs the smallness of their income. And they're spending money on bigscreens and hummers. You get people in cheaper parts of the US playing the game too, refi'ing their $100k house from 5% to 13% so they can get that new truck, do home improvements that are not needed and the money somehow just goes for cigs and pornos anyway..... etc.

For elaboration on this I refer you to http://www.anotherfuckedborrower.com yes it's a real site!

[pea-jay]

$this->bbcode_second_pass_quote('I_Like_Plants', 'P')ee-jay putting down 20%, on a 200K mortgage on I hope a regular house, not some mobil home or something, with a garage and yards and all that, just makes good sense. Your mortgage is probably a grand or less, and that's about in line for rent for a decent place the cheaper parts of the US, insanely cheap for some areas, a bit overpriced for a few areas.

Sounds like you done good.

[NEOPO]

$this->bbcode_second_pass_quote('I_Like_Plants', 'I')'ve been slipping the term 'homedebtor' in place of 'homeowner' here and there ...... when emailing, talking with folks, etc.

And that's when I"m not saying 'Merkan!

[emersonbiggins]

$this->bbcode_second_pass_quote('pea-jay', 'I')f paying 20% down and financing the rest of a 200K mortgage is called pretending owning a home then what would be paying nothing down and holding an ARM that is going to double after a year called?

[Chaparral]

I'm living in a fixer upper from hell but there's no mortgage and that is the way it is gonna stay. I somehow managed to convince my fiancee that it is better to own a shack free and clear than a mansion with a mortgage. She is on board now. Everyone else I know is constantly obscessing over their FICO scores and bragging about their rates.

Pea-jay, WRT cohousing, have you ever thought of going in on a multifamily property when the market is right? You could team up with like minded others and form a TIC or LLC to purchase the place. I'm thinking of a smaller building in an agricultural area such as Woodland, Calif and perhaps adjacent to ag-land or a big vacant lot that could also be purchased. The idea came to me while banking over Yolo Co at 5000ft and looking down at the land use patterns where the recent sprawl butts up against the open farmland.

[I_Like_Plants]

I wish I'd been smart enough to "surf the wave" as in, get into something about 1998-1999, maybe even earlier, then keep it until 2005 and get out. Then take the money and do a Ran Prieur and buy some farmable land

[dukey]

Americans,
the issue is not just your own homes ..
Foreign companies have are buying everything. Roads, water, electricity. You dont even own your own national parks anymore.

[Daculling]

This perfectly describes the attitude of my family and friends (from the homedebtor perspective) The comedian in the video might be better of than he thinks... (some strong language in the vid).

Owned

[Tyler_JC]

Well, if the payments are less than 1/3 of your income and you will be able to pay it off, you are in good shape.

You don't need to own a house 100% in order to "own" your own home.

A $200k fixed rate mortgage is not a bad thing.

You can't expect everyone to be able to pay cash for everyone, some debt is not a bad thing. Especially when you realize that you can get significant tax deductions for the debt and that inflation will slowly erode the cost of that debt.

The people who are pretending to own their homes are the ones who owe more than the house is worth and have interest-only, ARM loans. Those are the people who are about to get seriously screwed over.

But the vast majority of Americans will not lose their homes in the coming years.

However, the 10%-25% who do end up bankrupt will make a lot of noise!

[NEOPO]

Good shape? Guess I have been reading the wrong forum concerning the implications of the ramifications of oil depletion.....

[Tyler_JC]

$this->bbcode_second_pass_quote('NEOPO', 'G')ood shape? Guess I have been reading the wrong forum concerning the implications of the ramifications of oil depletion.....

[NEOPO]

Collapse at $50 must have been the talk of the town before I got here.

Much of what I have read that directly contradicts your position BTW originated from the most well read and liked participants on this forum.
At this time I fail to see the logic that everything will be "good" or "okay" based simply upon a persons financial situation.

A wealth of information and opinions about said information = junk?
Well isnt that a special, interesting and revealing observation.
One man's treasure.....

[Baldwin]

I just can't imagine living under a mortgage. It's like a boulder held over your head, sucking income every month.

Luckily, my grandfather had bought my current home in the 60's. He gave it to his mother (my great grandma), and now he's given it to my family, but still retians ownership (to avoid having us incur massive taxes). The mortgage has been paid off for decades.

It is so nice to know that a bank will never take away your home. The government might have some hook-nosed lawyer declare that the gov't owns it, but as we pay our taxes, that won't happen.

[ColossalContrarian]

$this->bbcode_second_pass_quote('dukey', 'A')mericans,
the issue is not just your own homes ..
Foreign companies have are buying everything. Roads, water, electricity. You dont even own your own national parks anymore.

[eastbay]

Well... at least we've got our nukes.

I'm not too sure about that.

Having lived a few blocks from the Lawrence lab, I do know that a huge number (maybe even most?) of the nuclear physicists employed there are not American.

[Ludi]

$this->bbcode_second_pass_quote('Tyler_JC', '
')A $200k fixed rate mortgage is not a bad thing.

You can't expect everyone to be able to pay cash for everyone, some debt is not a bad thing.