From HousingWire:
Cost to rent rising faster than home prices
Nationally, asking prices for condos rose 7.3% year-over-year in September, according to Trulia’s (TRLA) latest rent and price monitor.
That’s more than the 6% increase for single-family homes.
Asking prices for condos rose more than 15% year-over-year in Miami, Denver, and West Palm Beach. Condo prices rose faster than single-family home prices in 18 of the nation’s 20 largest condo markets, Trulia reports.
“Although condo prices are outpacing single-family home prices, they are following similar patterns,” writes Trulia chief economist Jed Kolko. “Condo prices and single-family home prices are both rising faster in metros with stronger job growth and those that had a more severe housing bust in the past decade (a bounceback due to the “rebound effect”). In fact, metros with bigger condo price increases also tend to have bigger single-family home price increases.”
…
Growth in rents, meanwhile, also outpaced home price gains in September as well, rising 6.5% year-over-year in September.“Like the for-sale market, the rental market is tighter for multi-unit buildings than for single family homes. Census data show that the multi-unit vacancy rate has been falling steadily, but remains elevated for single-family homes. Despite the multi-unit construction boom, the cost of living in these buildings is rising faster than in single-family homes – both for renters and buyers,” Kolko writes. “This is not necessarily a sign of a permanent shift toward city living. But it certainly reflects a reversal from the past decade’s bubble, when demand was strong for single-family homes in the suburbs and beyond.”
frist
“not necessarily” == “could be” Either way, it’s a hedge. The suburbs had a good run.
“This is not necessarily a sign of a permanent shift toward city living. But it certainly reflects a reversal from the past decade’s bubble, when demand was strong for single-family homes in the suburbs and beyond.”
gonna be a long day…….
The End Is Nigh (JJ Organizational Behavior Edition):
Best line……“I was a witness in one class-action case against a publicly traded international company where p0rnography was so pervasive that a senior executive had hired an assistant whose sole job was to file his p0rn.”
Watching P0rn at the Office: ‘Extremely Common’
By Claire Suddath October 09, 2014
Watching P0rn at the Office: ‘Extremely Common’
Office workers have long mastered the art of hiding what they’re really doing. Online shopping when the boss walks by? Minimize your browser! Perfecting your dating profile when your co-worker comes to chat? Press F4! Yet earlier this year an employee at the U.S. Environmental Protection Agency got caught, almost literally, with his pants down. A special agent from the EPA’s Office of Inspector General showed up at the senior-level employee’s office to find out why he’d stored p0rnographic images on the network servers. The agent walked in on the guy—you guessed it—watching p0rn.
When pressed, the employee admitted he’d been watching sexy sites for two to six hours every workday since 2010. That’s somewhere from three to eight months of continuous p0rn watching. The man, who makes about $120,000 a year, is on administrative leave while the government investigates him. So far, EPA officials have found more than 7,000 p0rn files on his work computer. At a congressional hearing, it was revealed that he liked to visit a website called Sadism Is Beautiful.
Similar p0rn scandals have erupted recently at the Department of the Treasury, the National Science Foundation, and the Federal Communications Commission, where an employee said he watched p0rn for up to eight hours a week because he was bored. In 2010, 33 Securities and Exchange Commission employees were found to have viewed p0rnography repeatedly instead of doing their work. One senior attorney downloaded so much that he ran out of hard-drive space and just started burning p0rn to DVDs he kept around his office.
One senior attorney downloaded so much p0rn he ran out of hard-drive space
“It might surprise you, but this sort of stuff is extremely common—at all kinds of companies,” says Nancy Flynn, founder of management training company ePolicy Institute. A 2010 Nielsen (NLSN) survey found that 29 percent of U.S. employees have looked at p0rn at least once at work, their sessions averaging 13 minutes at a time. That’s nowhere near the EPA dude’s consumption, probably because everyone knows that at private companies, if you get caught, you’ll likely be fired. Schools are less tolerant, too. In 2006 a Wisconsin biology teacher was fired for looking at thumbnail images of p0rn for only 67 seconds.
“If there is a sexual harassment or discrimination lawsuit, you can take it to the bank that e-mail and Internet search will be looked at—which means p0rnography can come into play,” says Flynn, who also appears as an expert witness in the occasional sexual harassment lawsuit. “I was a witness in one class-action case against a publicly traded international company where p0rnography was so pervasive that a senior executive had hired an assistant whose sole job was to file his p0rn.” The suit ended in a settlement.
Things don’t move as swiftly in the federal government. “There is an administrative process we must follow,” EPA Administrator Gina McCarthy explained during a June congressional hearing, when asked why her p0rn-crazed worker was still on the payroll. The EPA’s employee policy forbids viewing or downloading “sexually explicit” material at work, but like many government agencies, it doesn’t guarantee that doing so will get you fired. “Any way that we can make these processes move more quickly, I’m all for it,” McCarthy said.
“Agency after agency has an unbelievably horrendous problem with people looking at inappropriate material on their government computers. Shouldn’t there be internal blocks on websites? We have them in my congressional office,” says Representative Mark Meadows (R-N.C.). In response to the EPA scandal, he introduced a bill that would make it illegal for federal employees to tap into p0rnography while at work, meaning they’d automatically be fired. “Hopefully, the bill won’t be necessary. We’re trying to get agencies to institute their own zero-tolerance policies,” he says. In the meantime, perhaps the government should consider investing in another controversial workplace practice: the open-plan office.
Enjoy your Ebola NJ. Don’t forget to wash your hands!
Muhahahahahaha!
In my next life I want to come back as a virus. There won’t be any man child libtards in my next life.
I’m so effing tired of Ebola (even though I used it in a punchline earlier). Rather, I’m tired of the hype and politicization of it. By both sides. STFU already.
ISIS is hype. Ebola is nothing to be messed with.
Get with the program……THIS is ISIS
http://www.youtube.com/watch?v=FdBRLV6PGro
4, I heard that pron watching is an addiction. Can someone collect disability for it?
Long time ago I worked with a guy whose big claim to fame was playing football for FSU. Dumb blonde jock guy, but stockbrokers don’t need to be that smart, just willing to blab on with overconfidence. Lots of the younger ladies in the office were fawning over him, because he stayed in shape. His wife was a semi-bodybuilder type, pretty enough, thin, but he probably had younger and more nub1le options (he also claimed that Whitney Houston once tried to lezz out on his wife at some party, btw.) Anyway, I left that firm. Then 5 years later I heard from a colleague that this ex-football guy got in big trouble – he got caught with an office pron addiction, and the really weird part was finding out that he was fixated on big fat floppy Afro-American pron.
unmod
so watching pron at work wasn’t that bad, the
“really weird part was finding out that he was fixated on big fat floppy Afro-American pron.”
only racists would make the distinction
Good spung shui office design is a must.
Regarding the rental market, I don’t know how it’s measured in some of the better towns in Bergen/Passaic/Essex, etc. I suppose Jersey City, Hoboken, etc. is the best measuring tool to use. I don’t know what the rental market looks like for the outlaying areas. If you can’t afford to buy a 4/2.5 listed at 650K plus, does it make you qualified to rent the same house?
[14] gary – A lot of them are renting already with a 30 year lease plus $1000-$1500/month occupiers fee paid directly to the town. The occupier fee usually goes up every year. The problem with renters is they don’t keep the place up, but why should they? They’re renters.
If you can’t afford to buy a 4/2.5 listed at 650K plus, does it make you qualified to rent the same house?
[15] A lot of them would like someone to take over their lease too.
[15] If you stay to the end of the lease without signing a new lease you get a lifetime free lease, but you still have to pay the occupier fee and it will still go up. Most people don’t do this though, they just sign a new 30 year lease every couple years.
My company put out a beautiful spread for breakfast while arriving to work today. It was like a Venetian table at a lavish affair. Thank G0d for the rich and entrepreneurial spirit; without it and we would never enjoy the comforts and finer things in life.
ExPat,
What is an occupier fee? It’s an additional cost per month on top of the rent?
[19]Some people call it property tax, but it’s a misnomer.
ExPat,
What is an occupier fee? It’s an additional cost per month on top of the rent?
[20] A lot of articles don’t even mention that there is an occupier fee when they discuss whether 30 year leases on houses are affordable or not.
When you sign a conventional 1 year lease the landlord just bundles the occupier fee into the monthly payment, you don’t have to pay it directly to the town, the landlord does it for you. Usually banks own the properties with the 30 year leases and they sometimes do the same thing, but this raises the cost of the lease substantially but not enough that experts ever consider this fee when they write whether the 30 year lease is affordable or not.
#18 Gary -They are trying to keep you a fat and happy corporate muppet. Keep doing a good job and we will feed you tasty treats!
When you rent, that money is gone forever. At least when you buy a home, you get equity. So yes, you have to pay taxes, but so does the renter. Who do you think pays my taxes on my rental property? The taxes are included in the rental price. You also get to write off taxes and interest on your mortgage. So why would I want to rent? If anything, a mortgage is basically forcing you to save money if you don’t have the control to do it on your own.
The landlord is selling the house, now I have to find somewhere new to live. Who wants to deal with that crap.
The Original NJ ExPat says:
October 10, 2014 at 10:13 am
[20] A lot of articles don’t even mention that there is an occupier fee when they discuss whether 30 year leases on houses are affordable or not.
30 year,
I’ll roll over and beg if they want! :) As long as the perks and bennies keep on coming.
MIL is paying $2,000 a month rent for 1 bdr in Ridgewood
[24] I think HR Puffinfruit might be an insurance salesman.
If anything, a mortgage is basically forcing you to save money if you don’t have the control to do it on your own.
Even if you’re underwater?
Refreshing to see the younger generation so enthusiastic about prostate health.
Underwater is really all about timing. Yes, if you are forced to sell in the downward part of the real estate cycle, then it matters. But if you can hold, like all these so called underwater muppets are doing at present time, then what does it matter. You only lose when the sale if final. Until you sell, the price doesn’t matter. So I think the muppets that bought at the wrong time ( the high side of the latest cycle) are smart in making the payment and holding out. Unless they have to move, mine as well refinance and wait it out.
Fast Eddie says:
October 10, 2014 at 10:58 am
If anything, a mortgage is basically forcing you to save money if you don’t have the control to do it on your own.
Even if you’re underwater?
Average guy on the street has zero idea about actual real estate prices, they are basing their own internal valuation of their property on hearsay and print advertising (homes that have not sold).
I’d wager a bet, a big bet, that Joe Sixpack has no idea he is underwater, and it’s more likely that he thinks he isn’t, since he will have a propensity to overvalue his own property.
So, does it even matter?
Hmm that was kind of funny, posted a message and it posted with someone else’s id…
No such thing so long as you don’t sell according to Puffinfruit. House to your left becomes a rooming house, house to your right is empty for years, squatters living across the street, no problem. Just don’t sell and you can never lose.
Even if you’re underwater?
I’d wager a bet, a big bet, that Joe Sixpack has no idea he is underwater, and it’s more likely that he thinks he isn’t, since he will have a propensity to overvalue his own property.
So, does it even matter?
When he realizes he needs to bring a check to the closing table, it matters.
ExPat,
Of course; proximity to NYC, they’re not making any more land, prices here never go down and unicorns and squirrels frolic amid muppet children.
“Average guy on the street has zero idea about actual real estate prices,…”.
So true. Here’s a scenario I see all the time: Guy puts house on the market WAY overpriced. Ask him “How do you figure the house is worth that much?”. He says “Joe that used to live down the street sold his for X back in 2006 and mine’s not only a better house but it’s been eight years and prices have gone up since then “.
For sale in “as is” condition. We know that means a total gut job, top to bottom. So, why is it listed at 569k? The true value of this house is in the low 400s.
http://www.njmls.com/listings/index.cfm?action=dsp.info&mlsnum=1431885&dayssince=&countysearch=false
Condo [26];
MIL is paying $2,000 a month rent for 1 bdr in Ridgewood
8^O
Michael [51];
When you rent, that money is gone forever. At least when you buy a home, you get equity. So yes, you have to pay taxes, but so does the renter. Who do you think pays my taxes on my rental property? The taxes are included in the rental price. You also get to write off taxes and interest on your mortgage. So why would I want to rent? If anything, a mortgage is basically forcing you to save money if you don’t have the control to do it on your own.
The landlord is selling the house, now I have to find somewhere new to live. Who wants to deal with that crap.
You can’t be so ignorant to ignore price. You’re only right to the extent that the cost to rent rivals costs to buy. If rent was $1 a month and buy was $500k, you could still be right about building equity etc., but dead wrong on the best course of action. Unless of course, you make the NARist presumption that renters p!ss away the difference between rent and mortgage on hookers and blow.
Perfect example was my former residence on LI during the bubbly years. I estimated that, yes, I was paying my landlord’s mortgage. The problem is, I couldn’t get their mortgage. They’d owned the house for 15 years by the time I got there. If it was my mortgage, it would have been three times my rent.
The other thing is that, backing out property taxes and maintenance, my landlord was earning less then 2% on the capital value of the house. The ONLY reason it made sense for them to own it is because they bought at such a low price. Someone coming in to buy at then-current valuation couldn’t possibly have made the numbers work.
The less from all this is that if you spot the platitude that you just have while ignoring the price of the asset, you demonstrate profound ignorance.
That is an extreme case. The avg home we are talking about is not dealing with that. I’m not talking about the patersons and newarks. If you bought at peak in paterson and newark, you are indeed a bag-holder. But let’s be serious, these are the people in life that are constant bag-holders, they get taken advantage of on everything they do. Ever see how they get screwed when buying a car, or how bad they get ripped off on their price of their labor. A normal individual is not buying in paterson unless they are a slum lord and are taking advantage of the people living there.
The Original NJ ExPat says:
October 10, 2014 at 11:42 am
No such thing so long as you don’t sell according to Puffinfruit. House to your left becomes a rooming house, house to your right is empty for years, squatters living across the street, no problem. Just don’t sell and you can never lose.
Even if you’re underwater?
We will have to see the results from fracking. If it does pollute as bad as the environmental gurus are saying, there may be less livable land in the future. Pollute the water and we will be living like India.
http://en.wikipedia.org/wiki/Water_pollution_in_India
39- Price does matter, but if you are going to live there for 30 years, it really doesn’t make that much of a difference in the long run. You have to live somewhere and rents always rise faster than the price of homes. The only time rent was getting killed was when they offered 0 down loans to anyone that could sign in the last bubble. I would not want to be a renter in the current market, I would much rather purchase.
Yes, you could rent, take your down payment, and put it in the stock market. But how many people are really going to do this? Let’s be serious. For most people, that down payment is their life savings. Most are scared of the stock market and look at this move as a major gamble. They would much rather put that money into a safer investment like a good piece of real estate. They are not looking to make a million bucks, they are just trying to live a normal life. For most people that rent, they do not have the self control, nor the knowledge to be dumping that kind of money into the stock market. That’s their life savings. I don’t blame them for being conservative and parking it in a home that they will live in for a long time. With real estate, it’s tough to lose a lot of money. With stocks, you can make a lot, but you also can LOSE it ALL. I would not advocate to the 35% of the population that are renters to avoid buying a home and taking your life savings and dumping it into the stock market. I would do it, but I know what I’m doing when it comes to making your money go to work. These people don’t have the slightest clue. They will get killed.
Oh, so you saw this story too?
It would start with a howling noise from a senior football player at Sayreville War Memorial High School, and then the locker room lights were abruptly shut off.
In the darkness, a freshman football player would be pinned to the locker room floor, his arms and feet held down by multiple upperclassmen. Then, the victim would be lifted to his feet while a finger was forced into his rectum. Sometimes, the same finger was then shoved into the freshman player’s mouth.
Yes, you are absolutely right for this location (north jersey). If you were buying in idaho where they had to give land away for free to attract people, I would then say you are wrong.
The better way of stating this would be in the following manner. They are not making anymore land in high value locations. It will only go up my friend. Our area is at the top of the food chain in terms of land value in the USA. You think all these wealthy foreigners jumping over each to park their money in these locations are idiots? Come on now, you know better.
Fast Eddie says:
October 10, 2014 at 11:45 am
ExPat,
Of course; proximity to NYC, they’re not making any more land, prices here never go down and unicorns and squirrels frolic amid muppet children.
“You’re so handsome that I can’t speak properly,” the actress, singer and food writer gushed after introducing Obama to several hundred supporters seated on white fold-out chairs in the lush backyard of her home in the movie star haven of Brentwood, a neighborhood in Los Angeles.
Barf…
http://www.aol.com/article/2014/10/10/obama-raises-money-at-gwyneth-paltrows-home/20976024/?icid=maing-grid7%7Cmain5%7Cdl2%7Csec1_lnk2%26pLid%3D543676
Come on now, you know better.
Indeed I do.
Whatever happened to hazing the freshman by making them steal beer so you and your buddies could drink and smoke weed on a Friday night at the quarry? Hell, even back then you still let the slugs hang around, and even threw them a beer if there was any left by the time the fire was dying down.
Better check over the top of Hamburg Turnpike every now and then and drive through the parking lots of the older condos on Valley Road. They’re coming to your block eventually, but stay there, you’ll fit right in with the education level of your new neighbors.
That is an extreme case. The avg home we are talking about is not dealing with that. I’m not talking about the patersons and newarks
I think I’ll have my kid stick to soccer.
For a lot of non-blue ribbony towns in NJ that just sounds like a normal Tuesday.
In the darkness, a freshman football player would be pinned to the locker room floor, his arms and feet held down by multiple upperclassmen. Then, the victim would be lifted to his feet while a finger was forced into his rectum. Sometimes, the same finger was then shoved into the freshman player’s mouth.
Hey Grim, did you hear the state is giving out grants to the tune of $15,000 – $65,000 per gas station for them to install Generators?
Crazy. Couldn’t they just change building code and have them install transfer switches as a cost of doing business in NJ?….what’s that cost….maybe $500 per station to power the pump circiuts?
Retail Fuel Station
Energy Resiliency Program
http://www.njeda.com/web/pdf/RFS_ApprovedStations.pdf
Lotsa quick cheks on the list……
Ha ha, buying a home gives you “equity” — negative equity?
Don’t forget property tax, maintenance costs, mortgage interest, and opportunity costs, and transaction costs.
Owning a house is one giant expense, not an investment, or a source of “equity.”
#38…not sure what that symbol means…but she is 80 years old, on her own and can walk everywhere. Her SS and my deceased FIL pension from Brooklyn Union barely covers the rent and she is slowly drawing down the $600,000 they got from selling their semi attached house in Marine park 10 years ago that they never updated for her other needs….
Anyone ever hear these National Realty adverts on the radio like 1130AM?
Has Michael invested in this yet?
Attention Investors:
Did you know with only $7,500 down, you can own a Half Million Dollar Investment Property in today’s down market?
Did you know – your Investment Property is purchased deeply below market value and includes $100,000 of Bank Certified Built-In Equity?
A Half Million Dollar Investment Property normally requires 30% cash or $150,000 down. But, today qualified investors can get approved – with only – $7,500! That’s right – only $7,500 cash in for a Half Million Dollar – 5 year Rent Guaranteed Investment Home from National Realty!
Your Property is 100% New Construction, is Cash Positive monthly, has Rents Guaranteed for 5 Years paying down All Expenses and is Professionally Managed by National Realty!
With $100,000 of Built-In Equity and 100% financing you have almost no cash in! PLUS there is NO PROPERTY TAX for 10 years!
There has never been a cheaper time to own NEW Investment Property!
Read more: http://www.businessinsider.com/national-realty-says-it-isnt-a-scam-and-invites-us-to-its-offices-in-hoboken-2010-6#ixzz3FlfgA0oL
56 – I was always curious about that, I’d imagine the typical Bloomberg listener to be a bit too critical to fall for something like that, but given the fact that they continue to play, there must be takers.
So go rent. The more renters competing against each other, the better it is for me(a landlord since 19 years old). Every single cost you mention is calculated into the monthly rent. You forgot to add one more expense to the renter that an owner doesn’t have to deal with….profit.
You guys make it seem like everyone should rent. Owning a home is a waste of money, right? Way better off renting, says the fool. I bet you guys advocate leasing too instead of buying a car.
Statler Waldorf says:
October 10, 2014 at 2:05 pm
Ha ha, buying a home gives you “equity” — negative equity?
Don’t forget property tax, maintenance costs, mortgage interest, and opportunity costs, and transaction costs.
Owning a house is one giant expense, not an investment, or a source of “equity.”
Go ask someone that bought a property 30 years ago in alabama or idaho how they feel about real estate. They will say it’s not an investment. The reason being, they bought worthless land from the start.
Go ask someone that bought a property 30 years ago in the sf area or nyc area, and they will tell you that it was one of the best investments of their life.
People that advocate that renting is better than owning are using false data. They are basing this on national avgs, which are useless from a real estate investment standpoint. Real estate is all about location. Bad location, bad investment. Good location, good investment. The nyc metropolitan area is a gold mine for real estate.
How come most renters are poor and most owners are wealthy? I don’t know too many wealthy people that don’t own property. Why is that?
Oh I get it, you guys think you can buy any property in any location and call it an investment. That’s the same as thinking that you can buy any stock and call it an investment.
In the nyc area, I’m willing to put my life on it, that the real estate prices in our area will be tremendously higher 30 years from now. I don’t care what they paid for their property in 2006 in ridgewood, in time, it will be worth a lot more than it cost in 2006. Can you understand this fast eddie? How about expat? You are calling me uneducated, yet you have a naive view of real estate as an investment. You claim it just loses money. Far from the truth.
Go ask someone that bought a property 30 years ago in the sf area or nyc area, and they will tell you that it was one of the best investments of their life.
And someone who bought in NYC or SF 10 years ago? They are just now starting to grow back the skin taken off their ass.
Listen to yourself, cheesy poofs. If “born on third base and acts like he hit a triple” applies to anyone, its you. You’re not a genius; you’re moderately bright, moderately lucky, and took advantage of advantages provided to you. Act like it.
Aside from recognizing the crook of the “L” in our real estate recovery, inflation protection, tax deductibility, a big reason I bought is because rental stock sucks. If I wanted a nice house, I had to own it. Yeah, poor people can’t pay a lot, that’s why they rent. Its also why rental stock sucks; very little of it is marketed to affluent individuals.
Coming to my block? What the hell are you talking about? Franklin Lakes is 3 min from my house, I guess they should watch out too.
The Original NJ ExPat says:
October 10, 2014 at 1:48 pm
Better check over the top of Hamburg Turnpike every now and then and drive through the parking lots of the older condos on Valley Road. They’re coming to your block eventually, but stay there, you’ll fit right in with the education level of your new neighbors.
That is an extreme case. The avg home we are talking about is not dealing with that. I’m not talking about the patersons and newarks
Already “own” a house, but am under no illusions about the hidden costs associated with doing so. It’s not an “investment” — it’s an endless stream of expenses.
Most people who believe upon selling a house that “I just made [insert large sum here] in equity!” have no concept of all the costs they spent while holding that property (see above posting), nor the transaction costs incurred when selling.
10 years ago? Aren’t their prices at an all time high for both areas? I’m not positive but i think so.
Anon E. Moose says:
October 10, 2014 at 5:43 pm
Go ask someone that bought a property 30 years ago in the sf area or nyc area, and they will tell you that it was one of the best investments of their life.
And someone who bought in NYC or SF 10 years ago? They are just now starting to grow back the skin taken off their ass.
Those are living costs. You pay them either way. Whether you rent, or own, you are paying those costs. It’s not a hidden cost, it’s the cost to have a roof over your head. Did you think the house would last forever? No upkeep involved? That land the house is on has gone up, so stop complaining. If that land value went down, then come talk to me. Remember, if that land didn’t increase in value buying a house would be the equivalent of buying a car. In places where the land is worthless, this is exactly what you are doing.
Statler Waldorf says:
October 10, 2014 at 5:51 pm
Already “own” a house, but am under no illusions about the hidden costs associated with doing so. It’s not an “investment” — it’s an endless stream of expenses.
actually the truly wealthy OWN more than one house/apt
Michael says:
October 10, 2014 at 5:22 pm
How come most renters are poor and most owners are wealthy? I don’t know too many wealthy people that don’t own property. Why is that?
Michael [64];
10 years ago? Aren’t their prices at an all time high for both areas? I’m not positive but i think so.
Eh, not really, not yet.
http://bit.ly/1smmlae
“The average luxury home in the San Francisco Bay Area reached an all-time high of $3.3 million, according to First Republic Bank’s Prestige Home Index.”
“While New York often gets the headlines and huge prices when it comes to foreigners buying residential real estate, San Francisco, Los Angeles and Miami are among the U.S. cities enjoying a torrent of cash coming in from around the world as buyers seek to stash capital in the United States. Or as one real estate observer put it, Miami’s condo boom is a sign of that city’s success in building safe-deposit boxes in the sky.”
http://www.bizjournals.com/sanfrancisco/blog/2014/09/san-francisco-real-estate-luxury-home-record-price.html
If you bought housing in a ‘good’ northern NJ area from say…1991-2001 and sold it between 2003 and 2007… there wasn’t a better ‘easy’ investment. Bought and sold five of them during that period.
Rented out four (after living in them – Morris County). Funny, the only reason I sold them was tenant quality took a nosedive around 2002.
When anyone could get a mortgage as a landlord you got garbage (one guy actually filled the basement with it).
Back in the LL business again (part-time). No wild appreciation on property like then but there are some great high margin deals if you have cash… looking at another this weekend.
Wooooooh! You should have told us that before. Maybe we should refer to you as second cousin to Passion McFruit Rockefeller IV, twice removed? What is it like to live so close to a town of educated professionals (and mafiosos) and how many times were you removed when caught wandering over the town line?
Coming to my block? What the hell are you talking about? Franklin Lakes is 3 min from my house, I guess they should watch out too.
Froofinpoof – Google these terms: pot, kettle, black
You are calling me uneducated, yet you have a naive view of real estate as an investment.
Moose, the bubble years were the time to rent. Congrats on that move. You had no competition. They were all competing to buy a house. So you were paying cheap rent. Don’t think you can go rent now and pay 3 times less than the cost of the mortgage.
You also prove my point as to why you buy. Eventually, what you originally payed for the house, will look cheap. If only you could have bought 15 years earlier.
“Perfect example was my former residence on LI during the bubbly years. I estimated that, yes, I was paying my landlord’s mortgage. The problem is, I couldn’t get their mortgage. They’d owned the house for 15 years by the time I got there. If it was my mortgage, it would have been three times my rent”
Nice to meet you, Mr. Dick. Can you take some time out of your busy day to educate me? I waz nefer edacatted.
The Original NJ ExPat says:
October 10, 2014 at 8:27 pm
Wooooooh! You should have told us that before. Maybe we should refer to you as second cousin to Passion McFruit Rockefeller IV, twice removed? What is it like to live so close to a town of educated professionals (and mafiosos) and how many times were you removed when caught wandering over the town line?
Expat, why do you get so mad when someone states that real estate is a good investment. What’s your story. How bad did you get burned in real estate? Or do you have a friend that became extremely wealthy off of real estate investments and you are mad that you couldn’t do it too? Has to be something. I know fast Eddie is the cheap type that will always complain about the pricing no matter what market he is in, it’s in his nature. He enjoys it. You, I’m still trying to figure out. That’s why I am asking.
Orioles and Royals on. Sometimes it’s nice to watch a baseball game and not care who wins.
Michael – dim and unmotivated as you are, you can merely read through the archives of the last 7 years here to find out my story (including owning RE in your town), but that would require effort and learning (not to mention reading and research skills) on your part which is not part of your makeup. Just to pique (pronounced the same as “peek”) your interest, I have stated several times that I am extremely satisfied with my current RE owned and feel that I am taxed too low for the services received. You could quadruple my taxes and I would not complain…much. You never anger me, btw, you only amuse me. OTOH, you are such an addictive toy that I find it hard to resist winding you up and watching you skitter and hop across the table only to fall onto the hard surface below, changing your form from amusing mechanical plastic and springs to chards of Chinese plastic and substandard metal.
They must be idiots, just like me.
“U.S. millionaires see real estate as the top alternative-asset class to own this year, according to Morgan Stanley. (MS)
About 77 percent of investors with at least $1 million in assets own real estate, according to a survey released today by the New York-based investment bank’s wealth-management unit. Direct ownership of residential and commercial properties was the No. 1 alternative-investment pick for 2014, with a third of millionaires surveyed saying they plan to buy this year. Twenty-three percent said they expect to invest in real estate investment trusts, the second-most popular choice.
Wealthy investors are turning to a rebounding real estate market as fixed-income yields remain historically low and equities surge. U.S. commercial-property values rose 8 percent in the 12 months ended Jan. 31, and have jumped 71 percent since hitting their post-recession bottom in 2009, research firm Green Street Advisors Inc. reported today. The S&P/Case-Shiller index of home prices in 20 cities is up 24 percent from its 2012 low.
“After a year where the Standard & Poor’s Index rose 30 percent, some millionaires are moving money out of traditional, long-only strategies to find outperformance, and turning toward alternatives such as real estate and private equity,” said Gary Kaminsky, a vice chairman at Morgan Stanley Wealth Management in New York. “Sophisticated, high-net-worth investors are much more concerned about losses.””
http://www.bloomberg.com/news/2014-02-06/millionaires-see-real-estate-as-top-investment-for-2014.html
[75] Nom – You care. Recall who manages the Orioles. I would think that would make you an instant KC fan.
gary (18)-
Pull lever, get pellet. They just gussied up your Skinner Box today.
“My company put out a beautiful spread for breakfast while arriving to work today. It was like a Venetian table at a lavish affair. Thank G0d for the rich and entrepreneurial spirit; without it and we would never enjoy the comforts and finer things in life.”
[78] expat,
Ok, you got me. I was trying to be diplomatic.
grim (32)-
You’ve been doing it for years. ;)
“Hmm that was kind of funny, posted a message and it posted with someone else’s id…”
So are you going to tell me? Come on, you already know I’m far too uneducated and lazy to do the research.
The Original NJ ExPat says:
October 10, 2014 at 9:11 pm
Michael – dim and unmotivated as you are, you can merely read through the archives of the last 7 years here to find out my story (including owning RE in your town), but that would require effort and learning (not to mention reading and research skills) on your part which is not part of your makeup. Just to pique (pronounced the same as “peek”) your interest, I have stated several times that I am extremely satisfied with my current RE owned and feel that I am taxed too low for the services received. You could quadruple my taxes and I would not complain…much. You never anger me, btw, you only amuse me. OTOH, you are such an addictive toy that I find it hard to resist winding you up and watching you skitter and hop across the table only to fall onto the hard surface below, changing your form from amusing mechanical plastic and springs to chards of Chinese plastic and substandard metal.
[80] redux
Actually, I’m kinda conflicted. Part of me says Cards deserve it. And part of me doesn’t want to see the Cards burnish their history. But if SF gets in vs. Balt, I’m hoping for another earthquake.
You’re dad must have called you this a lot, maybe still calls you that? I imagine that’s why you keep bringing it up. Rarely a day goes by when you don’t call yourself an idiot, yet no one here calls you that. Often multiple times a day you refer to yourself as an idiot. It’s always the same word. Idiot. Idiot. Idiot. Maybe it should be lower case? idiot. idiot. idiot. It’s in your head. Ringing loudly. Daddy issues. Maybe that’s why grandma took pity on you? Are you looking for a new Daddy here, to validate your investment wisdom?
They must be idiots, just like me.
[83] As a baseball fan I’m always a little irked when a WC team wins it all without doing much during the regular season. St. Louis won the WS one year with 83 regular season wins, IIRC, which is unconscionable to me. Your team should need 93 wins to be in the postseason, I’ll give a pass to the rare 90-92 wins.
LOL. You’re too lazy to drive your Jazzy into the kitchen to butter your own toast.
So are you going to tell me? Come on, you already know I’m far too uneducated and lazy to do the research.
expat (84)-
I’m pretty sure I’ve called turdblossom an idiot on multiple occasions.
[87] clot – but you were doing it an encouraging, hopeful manner, IIRC, challenging him to use the hand he was dealt, add hard work, and one day he would get up the next rung of the ladder…finally achieving the status of low grade imbecile.
What I was saying earlier about risk. Really hard to lose all your money in real estate. Stocks not so much.
“When people discuss investment risk it’s the common perception today that “investing” refers to stocks. If you have ever employed the services of a Financial Planner they simply talk about what percentage of your investments should be in Bonds Vs Stocks or what kind of Mutual Fund you should buy. We are all urged to “diversify” but that term simply refers to securities.
One of the interesting things to consider when answering this question is what does the business world think about the investment risk for real estate Vs the Stock Market? That answer is quite easy to answer.
Just think about how much money a bank will loan you on a house Vs how much they will loan you to invest in a stock and the relative interest rate of each loan.
From what I know, the maximum margin loan you can get on your brokerage account is 50%. On a piece of real property the amount is 80% or more in some cases. Interest rates on margin accounts are typically over 10% Vs less than 6.5% on real property. So the business community is telling us that stocks are an extremely risky investment while real estate is the best investment.
Think about how many homes are demolished Vs how many companies go out of business.
It is estimated that 80% of companies go out of business within 5 years. And you can insure your real estate against nearly every risk – can you insure your stock portfolio?
So it seems like a no-brainer to own rental property from an investment risk perspective – it’s the best investment.”
Read more: http://www.investing-in-rental-property.com/best-investment.html#ixzz3Fo0iYo8i
“I want to distinguish between bad debt and good debt. Some believe that all debt is bad, but I think it is correct to say that investment debt that has a reasonable risk/reward ratio is acceptable (think of your home). Debt incurred to buy that HDTV is bad debt as is buying that new BMW (even if you can write it off!)”
Read more: http://www.investing-in-rental-property.com/get-rich.html#ixzz3Fo2v0ZFm
Yup 50 people cared for this guy yet we are wacist.
http://www.cnn.com/2014/10/10/health/ebola-us-duncan-death/index.html?c=homepage-t&page=1
That dumbass had it coming.
If you buy the right house in the right location and the math makes sense, this is what you can do.
“First of all, why is Real Estate Investing still the best investment?
Appreciation
Suppose you purchase an investment property for $200,000. Let’s say you put $40,000 as a down payment and finance the rest. Over the next year your property grows in value at a rate of 5% (in some areas it’s more and in some areas it’s less). This means your property is now worth $210,000. Your Return on Investment (ROI) for your $40,000 is $10,000 or 25% … in just 1 year. But that’s boring isn’t it? What if you paid less and your appreciation was more.
Monthly Income
But remember, this is an income property that you are renting out to make money. So assume your monthly expenses, which includes your mortgage, insurance, taxes, maintenance, management, vacancies, etc. are approximately $1,300. And let’s assume you can rent this property for $1,500. That’s a cash flow of $200 a month or $2,400 a year. And the good news is that when times are tough in a bad economy, more people are renting so your rental income is even more secure.
Principal Pay Down
You are also paying off your mortgage during that time. At today’s interest rates, you might earn another $4,000 of equity because of your principal pay down.
Total profit on this one $40,000 investment is:
$10,000 Appreciation
$ 2,400 Monthly Cash Flow
$ 4,000 Principal Pay Down
$16,400 Total
That’s a return of 41% and that’s only in the first year.”
I guess the Math makes sense when you ignore every other cost. Most people that buy a house like to put in new rugs, paint, redo the landscaping, change the hanging lights…
I bought last year and I’m already going to be 30k in on spending and this house was probably the most well taken care of and move in ready in town.
Michael will not fare well when we are all roaming the countryside in armed packs and sleeping in the open.
95. Only a fool sleeps in the open. If you haven’t buried your shipping container yet, then you are not ready.
sx (96)-
Ventilation issues with doing that.
OTOH, if fools sleep in the open, that’s where you’ll find turdblossom when it goes from gray to black.
[93] Are they showing Carlton Sheets reruns on TVLand?