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Buying a house, maybe


mwiener2

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Looking into a few properties and they'll probly be fixer uppers.

 

So that means taking an extra 20-30 grand out on the loan to fix up the property. I was thinking maybe taking an extra 5k and setting it aside for car playtime fun.

 

Total loan would be less than 200k so payments are gonna be easy. I was thinking of even buying a spare engine and tranny.. ORrrrr

 

 

There's an Imprezza 2.5rs body for sale for a couple hundred... a WRX drivetrain is cheap.... hmmmm

 

 

 

 

any thoughts?

(Updated 8/22/17)

2005 Outback FMT

Running on Electrons

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I say go for it! You might want to check what is already out their for sale, I've seen some nice 2.5 RS swaps for sale in CO for around 5-8k, their was one on sale that was built by SUBA performance a while back. Either way you can have yourself a nice weekend track toy to run and your helping out the economy - it's a win-win situtation! :rolleyes:
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The SUBA car you are talking abotu is now Harvey's car. It's nice.

 

 

Just got off the phone with the realtor. i was looking at a 2bed 2 bath in boulder for 102k. I kept thinking that's worth buying for dirt under the house. Then the realtor calls me back and says there is a 6k land lease on that place. So the land lease alone would be about $580 a month.

(Updated 8/22/17)

2005 Outback FMT

Running on Electrons

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thoughts on buying a house or car? i think adding to your mortgage to buy a toy is a bad idea. why pay for the toy for the next 15, 20, 30 years? you wont use it that long. i would try to keep the mortgage as low as possible by paying for toys separately. better in the long run.

 

if you are single and making less than 75k AGI or married and under 150k and buy before 12/1/09, you can take advantage of the $8,000 tax credit. if you make above those amounts, you still may be able to get a portion of the credit as that is where the phaseout begins. forget what limit its completely phased out at.

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Looking into a few properties and they'll probly be fixer uppers.

 

So that means taking an extra 20-30 grand out on the loan to fix up the property. I was thinking maybe taking an extra 5k and setting it aside for car playtime fun.

 

Total loan would be less than 200k so payments are gonna be easy. I was thinking of even buying a spare engine and tranny.. ORrrrr

 

 

There's an Imprezza 2.5rs body for sale for a couple hundred... a WRX drivetrain is cheap.... hmmmm

 

 

any thoughts?

 

One thought. A 30 year car loan is an expensive way to go.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

:hide:

 

But I might do the same thing. :lol:

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The SUBA car you are talking abotu is now Harvey's car. It's nice.

 

 

Just got off the phone with the realtor. i was looking at a 2bed 2 bath in boulder for 102k. I kept thinking that's worth buying for dirt under the house. Then the realtor calls me back and says there is a 6k land lease on that place. So the land lease alone would be about $580 a month.

 

Never understood building on rented land. To borrow fj1200's saying, "WTF is wrong with people?!?"

 

Oh, and send me your address when you finally buy. I need a cheap place to crash when I come out to go skiing! :p

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Do it. We are doing similar down here in Castle Rock. The ROI will come, just not next week/month/year.

 

And my wife wants to have a property close just in case our kids decide to move out but not too far away.

 

With the housing market in it's current shape, houses are damn cheap.

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Investing in a house also might be better considering our recovery plan is probably gonna push our inflation rate way up there meaning that the house would be relatively a steal in a year or two from now. I mean if inflation is greater than rate you borrow at your getting free money essentially.
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doesn't quite work that way. SO if I can buy 1 apple with 1 dollar now....but then inflation goes up and my 1 dollar has turned into 2....but i can still only buy 1 apple with my 2 dollars now.....

 

that's inflation

 

 

 

 

now if my $1 turned into $2, but now I could buy 3 apples with $2. that's called inflation + Eurasia blew up

(Updated 8/22/17)

2005 Outback FMT

Running on Electrons

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I like the apple analogy. All I know is that with all the first time home buyer incentives and low rates I AM buying a house. I have an offer on a short sale and am still waiting on the bank for a response. If not this house, the next. Either way, I am investing in my rental property future right now.
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No but the fact that the money is borrow throws the apple analogy into a different issue.

 

I borrow money to buy the apple now for $1. The next day inflation has set in and now I can sell the apple for $2. I pay back the $1 I owed and I have made $1 assuming interest is not a huge variable although that $1 made isn't the true same value as it was 1 day ago.

 

All said and done I would be investing/borrowing for a house if I had the change

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um, not quite. In your scenario above, you have an apple. You bought the apple for $1. Inflation sets in and your apple is now worth $2. If you give one of those dollars back to the bank, you're left with $1, or half an apple.

 

So yes, you do get a little edge on the loan due to inflation, but it's a tenth of a percent.

(Updated 8/22/17)

2005 Outback FMT

Running on Electrons

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um, not quite. In your scenario above, you have an apple. You bought the apple for $1. Inflation sets in and your apple is now worth $2. If you give one of those dollars back to the bank, you're left with $1, or half an apple.

 

isnt that the same thing rkl said?!

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I like the apple analogy. All I know is that with all the first time home buyer incentives and low rates I AM buying a house. I have an offer on a short sale and am still waiting on the bank for a response. If not this house, the next. Either way, I am investing in my rental property future right now.

 

Don't hold your breath on the short sale offer. If it is an approved short sale, then maybe. Short sales are such a joke!

 

Just one article: http://www.washingtonpost.com/wp-dyn/content/article/2008/06/14/AR2008061400058.html

 

Many more out there.

 

GL

 

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