Homeowners - did your parents help you buy a home?

[GregN]

I can understand condos are a good option for singles or couples, but the association fees can get high. On paper, I would like a condo more, as I don't spend much time in my yard, but in the long run, I believe a house is better. Anybody who's had both care to comment?

 

[madman]

I can understand condos are a good option for singles or couples, but the association fees can get high. On paper, I would like a condo more, as I don't spend much time in my yard, but in the long run, I believe a house is better. Anybody who's had both care to comment?

It really depends on the association fees. If you've got things like a door man or pool, they're gonna be insane. Elevators? Those will bump the fees up too. However, the association fees cover some common area insurance, so condo insurance rates are lower than a house. They also cover snow removal (for people who live in areas with snow), lawn maintenance, etc. Mine also include water, cable TV and Internet.

 

[FinalbossNYC]

I can understand condos are a good option for singles or couples, but the association fees can get high. On paper, I would like a condo more, as I don't spend much time in my yard, but in the long run, I believe a house is better. Anybody who's had both care to comment?

It really depends on the association fees. If you've got things like a door man or pool, they're gonna be insane. Elevators? Those will bump the fees up too. However, the association fees cover some common area insurance, so condo insurance rates are lower than a house. They also cover snow removal (for people who live in areas with snow), lawn maintenance, etc. Mine also include water, cable TV and Internet.

I learned amenities are for suckers in the end, I had a door man (didnt need it), a gym (partly good unless people break the machines), Pool tables ping pong and tv in the lounge (all messed up from guests or kids), Balconies in NYC are just for smoking guests. The monthly fees were low in my building as they were "gentrifying" the area and wanted bodies to move in so the shops would start setting up, The snow removal thing is standard in most buildings small or large in NYC so that wasnt a perk of fees. We did get 25 year Tax abatement so that was great ! I loved the underground parking and I had a great spot by the elevators since we were the 4th people in the building. If your gonna buy a condo its great for city dwellers so your paying your self the "rent" instead of somebody else but my 1300 sq ft condo in the heart of downtown brooklyn had nothing on my current home in San Diego with its quiet streets and private large backyard all for half the money I sold the condo for.

Investment wise just buy something where the trend "will" be going up not is "already" going up. For happiness investment buy what you want to live in, and remember you can always sell something and move on.... that goes for AES as well

 

[mainman]

I am not a home owner but find you guys who parents helped buy you a home very lucky as not only wouldn't and couldn't my parents do the same for me but I was paying them rent when I was 15 and a half years old and am financially supporting one of them now which is why I am not a home owner. I paid for my prom, my first car, first apt and education by myself. I would say the only thing my parents ever gave me after my birth was the motivation not to be them. I would also guess a large sum of you here have a much more financially stable family background. If I falter I have no one to pick me up.

 

[MattBlah]

My partners parents helped by letting us stay with them for 18 months so that we could save enough for a deposit. Obviously we helped towards all the bills and food and a small amount of rent, but this was still a huge difference from renting our own place. When we were renting we had no chance of saving a house deposit, this way made it a lot easier.

 

[F4U57]

My partners parents helped by letting us stay with them for 18 months so that we could save enough for a deposit. Obviously we helped towards all the bills and food and a small amount of rent, but this was still a huge difference from renting our own place. When we were renting we had no chance of saving a house deposit, this way made it a lot easier.

This is how most young couples are saving for their home deposits in Australia. I guess my wife and I did the same when we were younger.

 

[LoneSage]

How much does an average say 3 bed house cost around where you are living?

First, where do I live? There are city tiers in China: first, second, and third.

First-tier cities are few, some only classify Beijing and Shanghai (and maybe Chongqing and one or two others) as tier 1. Tier 2 cities are provincial capitals. Tier 3 is anything else. I live in a county outside a tier 3, so I call my district tier farmer.

Now, homes in China are valued per square meter. This afternoon I saw a paper taped to a wall saying an 84 squared meter apartment with two bedrooms going for 450,000RMB. That amount is roughly £48k. Keep in mind, this is in a county outside the city.

Meanwhile, when I do go to the city center, I see ads for apartments ranging anywhere from 5kRMB to 12kRMB per square meter (for new apartments currently being built). So you (well, not you - foreigners aren't allowed to own property in China) could buy a 100 square meter shoebox for £130k in a tier 3 city. Minus a garden (I've met Brits here who comment on the non-existence of garden space here).

Now, renting costs? My apartment is paid for, but if I were to pay rent, it'd cost me 800RMB (£85) per month. It's a bit too big for me at roughly 91 square meters. Compare this to living in Beijing, where a similarly sized apartment to rent for would cost roughly 3500-4500RMB (£374-£482) per month, depending on location. That is the difference between tier 1 and tier farmer. I imagine the lack of a garden space would drive most old Brits crazy.

 

[RabbitTroop]

First, where do I live? There are city tiers in China: first, second, and third.

First-tier cities are few, some only classify Beijing and Shanghai (and maybe Chongqing and one or two others) as tier 1. Tier 2 cities are provincial capitals. Tier 3 is anything else. I live in a county outside a tier 3, so I call my district tier farmer.

Now, homes in China are valued per square meter. This afternoon I saw a paper taped to a wall saying an 84 squared meter apartment with two bedrooms going for 450,000RMB. That amount is roughly ｣48k. Keep in mind, this is in a county outside the city.

Meanwhile, when I do go to the city center, I see ads for apartments ranging anywhere from 5kRMB to 12kRMB per square meter (for new apartments currently being built). So you (well, not you - foreigners aren't allowed to own property in China) could buy a 100 square meter shoebox for ｣130k in a tier 3 city. Minus a garden (I've met Brits here who comment on the non-existence of garden space here).

Now, renting costs? My apartment is paid for, but if I were to pay rent, it'd cost me 800RMB (｣85) per month. It's a bit too big for me at roughly 91 square meters. Compare this to living in Beijing, where a similarly sized apartment to rent for would cost roughly 3500-4500RMB (｣374-｣482) per month, depending on location. That is the difference between tier 1 and tier farmer. I imagine the lack of a garden space would drive most old Brits crazy.

That's some wicked indoctrination to make a kid that grew up in the US talk about things in square meters and pounds sterling.

Reading only this, I'd have sworn you grew up in the UK... Not a bad thing, after all. Being an American is not the most desirable, especially on a global stage, and who cares if you're a man-child who doesn't have a clue on how to buy a house or where to send your mortgage payments?

I don't think many of us, plopped down in rural China, could make it work, but you seemed to have thrived. Probably warped you into some weird out-of-water-abomination in the process, but who isn't these days, anyway?

 

[ggallegos1]

I can understand condos are a good option for singles or couples, but the association fees can get high. On paper, I would like a condo more, as I don't spend much time in my yard, but in the long run, I believe a house is better. Anybody who's had both care to comment?

I pay some common charges, however they are not bad for what they are paying for. Grounds maintenance, a pool and tennis court maintenance, heat (huge expense) hot water and insurance. I'm only paying $291 a month for it, and this is lower than some of my peers who either have separate expenses for these items or their complex is charging more for the same or less services.

When you look for homes and condos, the association fees are there on the listing along with what exactly they cover. A lot of people don't read into it a lot, but it pays to ask what and why for every detail of a listing so you can make a better educated decision.

 

[RabbitTroop]

I pay some common charges, however they are not bad for what they are paying for. Grounds maintenance, a pool and tennis court maintenance, heat (huge expense) hot water and insurance. I'm only paying $291 a month for it, and this is lower than some of my peers who either have separate expenses for these items or their complex is charging more for the same or less services.

When you look for homes and condos, the association fees are there on the listing along with what exactly they cover. A lot of people don't read into it a lot, but it pays to ask what and why for every detail of a listing so you can make a better educated decision.

My HOA is high, but it includes everything, including a door man, pool, gym, common areas, building insurance, parking, and all utilities with the exception of electricity. As I said before, I also am in a historic building with a substantial (nearly 80%) property tax savings that more than makes up for the HOA cost, and lowers my monthly overall.

When you factor in what it would cost to maintain a house, a yard, and pay for things like a gym and the higher property tax elsewhere, I still consider my HOA a bargain. Then again, I'm also a city-mouse, and I couldn't imagine living outside of a dense urban city center, so HOAs come with the territory.

 

[madman]

I learned amenities are for suckers in the end, I had a door man (didnt need it), a gym (partly good unless people break the machines), Pool tables ping pong and tv in the lounge (all messed up from guests or kids), Balconies in NYC are just for smoking guests.

Yeah, definitely. Unless maybe you live in a huge high rise w/enough people to spread out the cost of a door man, it's just not worth it. Even then, what's the point? If you're not home and need to receive packages, a UPS Store box is way cheaper which is what used to do. There are even some luxury places downtown here that include maid service and for a 1 bedroom condo I've seen $1,000-$1,200 a month fees. Insane, literally just money you're pissing away. At least mortgage interest and property tax are tax deductible. I'm probably looking at a townhouse for my next place, fees are much lower with those, plus you generally get some yard/roof deck space too.

 

[RabbitTroop]

At least mortgage interest and property tax are tax deductible.

Just FYI, as I see this said all the time and it's only partially true. If you claim a home office, you can deduct a portion of your HOA payments each year. I do, and get a nice little chunk back. It's not a lot of cash, and the percentage you get depends on how big your place is, how big your office is, and how much time you work from it during the year, but yeah... Money is money.

As for the door man, I don't know, they're nice to have. My last two properties have had them, and they do jump your HOA up at least $100-150 more a month than buildings that don't, but then, I live in Downtown Los Angeles where it is nice to make sure there is someone watching the door. They're more security than concierge most of the time, but it is definitely nice to receive and send packages from the lobby. That, and they've helped me more times than I can even think to remember with things like coordinating movers, helping guests find parking, and with events in the building.

That's another thing condos give you. The good ones have a very strong sense of community. My building does book clubs, wine clubs (basically, let's all just get drunk together), loft tours, holiday parties, and invites artists into the lobby to show work for silent auctions. I know just about all of my neighbors, and it really makes the building feel like a home. I lot of that is due to just having the staff in the building that really gives a shit, and I don't mind spending a few extra bucks a month to make sure we have a good set of people running this building.

 

[Razoola]

I did not require their assistance.

I think these days most parents act as security. Unless you have the required down payment in savings before you buy all lenders want somewhere they can get their money back if things go south.

To be honest though I think if as adults you wait until later in life to have a children in your family you should only have one maximum. You can then use this to you and your siblings advantage when it comes to the house you own.

 

[BanishingFlatsAC]

Thanks to this thread, I decided to set up a Voya account that will go towards a down payment on my daughter's house someday.

 

[LoneSage]

Thanks to this thread, I decided to set up a Voya account that will go towards a down payment on my daughter's house someday.

You welcome.

 

[theMot]

Parents helped me a bit with the first but that one is a bit of a dud the rest I have purchased myself.

 

[BanishingFlatsAC]

You welcome.

You're a man of the people Sage.

 

[norton9478]

At least mortgage interest and property tax are tax deductible.

Only if you itemize, which means that you need to rack up $6300 ($12600 Married or $9300 Head of Household) in deductions to make it worth your while.

I'm a few grand from the deduction.

 

[GregN]

I'm surprised to hear how most of your parents don't have money. You'd think that after you've worked 30+ years of your life you'd have some money saved up.

My parents were from the depression era, so they're paranoid about not having money and passed on to me to respect money and save it when you can. A lot of people don't worry about tomorrow and buy SUVs, etc.

My Dad worked for the state and invested much of his money, and had a pension, so he makes per year pretty close to what he had when he was working.

 

[StevenK]

I'm surprised to hear how most of your parents don't have money. You'd think that after you've worked 30+ years of your life you'd have some money saved up.

My parents were from the depression era, so they're paranoid about not having money and passed on to me to respect money and save it when you can. A lot of people don't worry about tomorrow and buy SUVs, etc.

My Dad worked for the state and invested much of his money, and had a pension, so he makes per year pretty close to what he had when he was working.

A lot of people's parents may well have money but it's saved for retirement, not necessarily to give away to children. Do you have any siblings? That's going to make a big difference to how much help your parents could afford to offer.

I assume it works out a lot easier in China as everyone only has one kid, you're channeling two incomes into one child. With the relaxation of the one child policy I wouldn't be surprised if this tradition was axed within a couple of generations.

 

[Heinz]

Some people's parents have no fucking idea how to manage themselves financially for longer than a pay week. That is the god damn reality of the situation. Surprised? I'm surprised you haven't realised that.

 

[LoneSage]

I assume it works out a lot easier in China as everyone only has one kid, you're channeling two incomes into one child. With the relaxation of the one child policy I wouldn't be surprised if this tradition was axed within a couple of generations.

Pensions here are fucking shit. All of the money and resources go into the child. You have peasants who saved their entire life's savings so their son could buy a house and a car. The child has always been the parents' retirement plan, with parents moving in with the kid when they get old. At least in America people have a 401k; in China, they just have their kid. I mean, the local teachers at the primary school I work with only make like 2k or 3kRMB a month (not counting doing private classes outside school). That's a goddamn pittance. Pretty difficult to save a lot of money from that.

It was never a one child act, anyway. Lots of people here have a brother or sister, especially if they're from the countryside. It was just you'd get your ass taxed out the wazoo if you lived in a city and had two kids. I met a Catholic guy who was from a village (he moved to California, holy shit talk about moving on up) and he had like six brothers/sisters...

Speaking of home prices, check out the madness going on down in southern China in Shenzhen: Prices of central apartments in Shenzhen (average wage: 803 USD per month) are currently higher than average prices in Manhattan island (average wage: 11388 USD per month).

http://www.scmp.com/property/hong-k...cends-over-shenzhens-formerly-red-hot-housing

It's gonna be Japan all over again. Until then I'll just ride the wave.

 

[Endlessnameless]

We did it on our own before the housing market collapsed several years ago. I like our house and where we live but in hindsight we just got excited and jumped in without really looking around. We got approved for like 300k but when we did the math we would basically be working to pay the mortgage and thats it =P

 

[Liquid Snake]

Yeah, definitely. Unless maybe you live in a huge high rise w/enough people to spread out the cost of a door man, it's just not worth it. Even then, what's the point? If you're not home and need to receive packages, a UPS Store box is way cheaper which is what used to do. There are even some luxury places downtown here that include maid service and for a 1 bedroom condo I've seen $1,000-$1,200 a month fees. Insane, literally just money you're pissing away. At least mortgage interest and property tax are tax deductible. I'm probably looking at a townhouse for my next place, fees are much lower with those, plus you generally get some yard/roof deck space too.

Nah........townhouse isn't worth. HOA is too hassle to deal with.
I like your house, why you want townhouse anyway????

 

[madman]

My parents were from the depression era, so they're paranoid about not having money and passed on to me to respect money and save it when you can.

Jesus, your parents grew up in the 30s? How old are you, 60?