Comments on: The Cherry On Top – A New Way to Look at Buying Real Estate http://www.kathrynsconversations.com/the-cherry-on-top-a-new-way-to-look-at-buying-real-estate/ Personalized Money and Lifestyle Tips for Thirty-Somethings Fri, 18 May 2012 19:11:48 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Kathryn http://www.kathrynsconversations.com/the-cherry-on-top-a-new-way-to-look-at-buying-real-estate/#comment-17551 Kathryn Tue, 24 Apr 2012 05:11:08 +0000 http://www.kathrynsconversations.com/?p=186#comment-17551 Yes go with the bold colors you'll love. It was my moms idea. Wait, paying off your mortgage in 4 years? Amazing. I'm with you, if I didn't own already, I'd definitely be looking. Rents are sky high, and interest rates are so low. One of the few times that the math actually works when doing the rent calc vs mortgage payment etc calc. Keep me posted on your hunt, will be curious. Yes go with the bold colors you’ll love. It was my moms idea. Wait, paying off your mortgage in 4 years? Amazing.
I’m with you, if I didn’t own already, I’d definitely be looking. Rents are sky high, and interest rates are so low. One of the few times that the math actually works when doing the rent calc vs mortgage payment etc calc.
Keep me posted on your hunt, will be curious.

]]> By: Leigh http://www.kathrynsconversations.com/the-cherry-on-top-a-new-way-to-look-at-buying-real-estate/#comment-17479 Leigh Mon, 23 Apr 2012 06:40:16 +0000 http://www.kathrynsconversations.com/?p=186#comment-17479 I absolutely love your wall colors! I'm planning on buying a condo this year. I'm taking this extra time I've been given to decide on paint colors. My current vote is for a turquoise wall in the living room and a burgundy wall in the master bedroom, with perhaps a yellow or purple (or both!) wall in the second bedroom. The way I'm looking at buying a condo is improving cash flow by pre-paying as much of my housing expenses (other than HOA dues and property taxes) as possible. When I look at the fact that I could pay off a mortgage in 4 years on my current budget while maxing out my 401(k), it seems a no-brainer to buy a place, once I find the perfect place. I absolutely love your wall colors! I’m planning on buying a condo this year. I’m taking this extra time I’ve been given to decide on paint colors. My current vote is for a turquoise wall in the living room and a burgundy wall in the master bedroom, with perhaps a yellow or purple (or both!) wall in the second bedroom.

The way I’m looking at buying a condo is improving cash flow by pre-paying as much of my housing expenses (other than HOA dues and property taxes) as possible. When I look at the fact that I could pay off a mortgage in 4 years on my current budget while maxing out my 401(k), it seems a no-brainer to buy a place, once I find the perfect place.

]]> By: The Tucker Max school of making money | KATHRYN'S CONVERSATIONS http://www.kathrynsconversations.com/the-cherry-on-top-a-new-way-to-look-at-buying-real-estate/#comment-17381 The Tucker Max school of making money | KATHRYN'S CONVERSATIONS Sun, 22 Apr 2012 00:46:20 +0000 http://www.kathrynsconversations.com/?p=186#comment-17381 [...] they don’t want to look to buy a house because they think real estate prices are going to continue to go down, buy a house if you’re gonna be in it for longer then 5 years or [...] [...] they don’t want to look to buy a house because they think real estate prices are going to continue to go down, buy a house if you’re gonna be in it for longer then 5 years or [...]

]]> By: Kathryn http://www.kathrynsconversations.com/the-cherry-on-top-a-new-way-to-look-at-buying-real-estate/#comment-4575 Kathryn Thu, 11 Aug 2011 14:54:08 +0000 http://www.kathrynsconversations.com/?p=186#comment-4575 Hi K, lenders look for a debt to income ratio of 28% in order to qualify for a mortgage. So your monthly mortgage payment can't be more than 28% of your monthly gross income. Then, they look for a total debt to income ratio of 36%, so your total monthly debt (includes all debt, not just mortgage), can't be more than 36% of your total monthly gross income. It's easiest if you back in to it that way to see if it makes sense. There will always be great homes to buy....not worth it to buy if you're gonna feel stretched financially. But, if you pass the mustard above and feel like your jobs are stable, you can see in the chart above how much prices have come down and interest rates are pretty low right now. Hi K, lenders look for a debt to income ratio of 28% in order to qualify for a mortgage. So your monthly mortgage payment can’t be more than 28% of your monthly gross income. Then, they look for a total debt to income ratio of 36%, so your total monthly debt (includes all debt, not just mortgage), can’t be more than 36% of your total monthly gross income.

It’s easiest if you back in to it that way to see if it makes sense. There will always be great homes to buy….not worth it to buy if you’re gonna feel stretched financially. But, if you pass the mustard above and feel like your jobs are stable, you can see in the chart above how much prices have come down and interest rates are pretty low right now.

]]> By: Kristen O Giordani http://www.kathrynsconversations.com/the-cherry-on-top-a-new-way-to-look-at-buying-real-estate/#comment-4566 Kristen O Giordani Thu, 11 Aug 2011 04:22:06 +0000 http://www.kathrynsconversations.com/?p=186#comment-4566 This is really thoughtful and helpful. My hubby and I own a home but have been debating selling and either renting a place or buying a condo or something more affordable. Our costs have remained the same for the past five years but our incomes have been cut in half, so things are -- needless to say -- tight. We love the idea of owning, but not sure whether we should invest in something else right away or rent and try to save. Though the idea of throwing money away on rent kills me when we could use the forced savings. That's what I see as a benefit to home ownership. If we're not spending the money we're putting into our home -- and even if we break even or even make a bit less it's a whole lot more than we probably would have saved otherwise. Is that a silly assumption? Anyway, sorry, long comment. Thanks for the advice though and I LOVE your purple and green walls. I had a purple wall that is now blue -- so I'm totally on board with that whole nesting thing. This is really thoughtful and helpful. My hubby and I own a home but have been debating selling and either renting a place or buying a condo or something more affordable. Our costs have remained the same for the past five years but our incomes have been cut in half, so things are — needless to say — tight. We love the idea of owning, but not sure whether we should invest in something else right away or rent and try to save. Though the idea of throwing money away on rent kills me when we could use the forced savings. That’s what I see as a benefit to home ownership. If we’re not spending the money we’re putting into our home — and even if we break even or even make a bit less it’s a whole lot more than we probably would have saved otherwise. Is that a silly assumption? Anyway, sorry, long comment. Thanks for the advice though and I LOVE your purple and green walls. I had a purple wall that is now blue — so I’m totally on board with that whole nesting thing.

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