Your Monthly Mortgage or Rent Payment?

[Porchev]

I am curious, how much is your monthly mortgage or rent? To not get too personal, I chose some pretty wide ranges in this poll. But I will share that my mortgage payment is about $965 a month.

 

[Spartacus FPV]

When I had 3 roommates my rent was ~$450, by myself rent was ~$1200 for a decent place. The new luxury apartments I'm looking @ are $1600... but would rather pay half that in a mortgage and actually end up owning something after a few years.

 

[Gaius46]

Do you care about property taxes? In some places property taxes can exceed the mortgage payment. I'm not that bad but my property taxes are close to 60% of my mortgage payment

 

[soot]

Well above $2000.

But my property taxes (about $11,000/year) are held in escrow by my mortgage bank for biannual payment so that really jacks up the number on the check I send to the bank each month.

 

[molten_dragon]

Our mortgage with taxes and insurance is about $1400 per month. When we were renting, we paid about $1000 a month, but that was for a place a third the size of our current house. With a few exceptions, I don't really get why anyone would choose to rent with housing prices and mortgage rates so low right now.

 

[Porchev]

Do you care about property taxes? In some places property taxes can exceed the mortgage payment. I'm not that bad but my property taxes are close to 60% of my mortgage payment

60%? Damn! My $965 mortgage payment includes my property taxes. I live in a good neighborhood, 3 bedroom, 2 bathroom, 2 car garage house on an average subdivision size lot.

 

[ttwtt78640]

We are now paying $300/month for rental of a two bedroom mobile home (12'x64') on about 1/3 acre.

 

[Gaius46]

60%? Damn! My $965 mortgage payment includes my property taxes. I live in a good neighborhood, 3 bedroom, 2 bathroom, 2 car garage house on an average subdivision size lot.

Yeah. I live on Long Island and property taxes here are completely screwy. My mortgage is $1800 and property taxes are about $1000 a month. That's for a nothing special, typical middle class home, though my lot is bigger than average for the area.

Go a mile in one direction and the same house is taxed at about $6000. A mile in the other and the taxes would be close to double what I pay.

 

[americanwoman]

Mortgage with everything is $580 a month. We live in a small 2 bedroom house that's perfect for the three I us. Just a starter home but well within our budget and have been there about 7 years now. Diverse urban neighborhood, which I love.

 

[ttwtt78640]

Our mortgage with taxes and insurance is about $1400 per month. When we were renting, we paid about $1000 a month, but that was for a place a third the size of our current house. With a few exceptions, I don't really get why anyone would choose to rent with housing prices and mortgage rates so low right now.

With a rental you have no liability for any needed repairs, including repalcement of most major appliances. Looking at only the mortgage payment verses rental cost usually ignores that added expense of home ownership. Paying a 30 year note that includes the cost of appliances and materials (e.g. carpet) that will likely last far less time is not as thrifty as one may think.

 

[Porchev]

Yeah. I live on Long Island and property taxes here are completely screwy. My mortgage is $1800 and property taxes are about $1000 a month. That's for a nothing special, typical middle class home, though my lot is bigger than average for the area.

Go a mile in one direction and the same house is taxed at about $6000. A mile in the other and the taxes would be close to double what I pay.

Wow. I didn't realize property taxes were that high there. I paid $1,650 in property taxes for the whole year (in 2012).

 

[SmokeAndMirrors]

$710 in rent per month for a decent one-bedroom. Top floor, urban location.

 

[Fisher]

Some lenders require both the taxes and the insurance to be escrowed, in addition some people have PMI that is part of their mortgage payment which can vary with their risk of default. I think the FHA PMI is now around 1.5% and does not drop off when you get to 22% equity like it used to.

Ours is significantly above $2K but involves multiple properties. We opted for a 15 year term and have refinanced once to get a lower rate but are still on the same 15 year payoff plan. Actually we are ahead of schedule as we have made extra principle payments so it will be more like a 12 year plan. We continue to make the original payment amount from the first loan even though our payments technically dropped several hundred dollars per month on the refi even with cash out to replace two roofs. I also have other mortgages on other properties that are held in the name of fictitious entities, but most of those are held by a private individual who really doesn't care when we pay him because these loans are low interest payable within a year of demand notes as part of his estate planning scheme.

 

[Porchev]

With a rental you have no liability for any needed repairs, including repalcement of most major appliances. Looking at only the mortgage payment verses rental cost usually ignores that added expense of home ownership. Paying a 30 year note that includes the cost of appliances and materials (e.g. carpet) that will likely last far less time is not as thrifty as one may think.

Yes the landlord usually has the responsibility for the repairs and it is really nice to not have to deal with repairs as the renter, however, the landlord is often charging more than what they pay on the house, so indirectly renters are paying for new appliances that go bad. At least that has been my experience...I own a rental house. I do hate 30 year mortgages though; I have a 15 year mortgage on the house I live in. I would have a 15 year on the rental too, but rates are not good if the house is not your primary residence.

 

[Porchev]

Some lenders require both the taxes and the insurance to be escrowed, in addition some people have PMI that is part of their mortgage payment which can vary with their risk of default. I think the FHA PMI is now around 1.5% and does not drop off when you get to 22% equity like it used to.

Ours is significantly above $2K but involves multiple properties. We opted for a 15 year term and have refinanced once to get a lower rate but are still on the same 15 year payoff plan. Actually we are ahead of schedule as we have made extra principle payments so it will be more like a 12 year plan. We continue to make the original payment amount from the first loan even though our payments technically dropped several hundred dollars per month on the refi even with cash out to replace two roofs. I also have other mortgages on other properties that are held in the name of fictitious entities, but most of those are held by a private individual who really doesn't care when we pay him because these loans are low interest payable within a year of demand notes as part of his estate planning scheme.

I am set up with the taxes and insurance going into escrow. I don't pay PMI though since my mortgage was 80% of the value of the house. I do wish someone would have talked me into 15 year loans long ago, because I would be a little better off right now.

 

[molten_dragon]

With a rental you have no liability for any needed repairs, including repalcement of most major appliances. Looking at only the mortgage payment verses rental cost usually ignores that added expense of home ownership. Paying a 30 year note that includes the cost of appliances and materials (e.g. carpet) that will likely last far less time is not as thrifty as one may think.

I suspect that if you stick to the same quality of appliances and materials that an average apartment complex uses, owning a home will still be considerably cheaper.

 

[ttwtt78640]

I suspect that if you stick to the same quality of appliances and materials that an average apartment complex uses, owning a home will still be considerably cheaper.

We now pay $300/month rent and I can find nothing comparable, for less than that amount, to buy. At age 60 buying makes little sense to me.

 

[Lutherf]

Wow. I didn't realize property taxes were that high there. I paid $1,650 in property taxes for the whole year (in 2012).

You'd be amazed. NY and PA stick out in my mind as having absolutely ridiculous assessments for property tax and some areas also have a completely separate tax for their school district added on top of the regular tax. My property taxes in Tucson are comparable to what you pay but I have clients in PA who are living in a similar neighborhood/house and paying more than 5x what I do.

 

[radcen]

With a rental you have no liability for any needed repairs, including repalcement of most major appliances. Looking at only the mortgage payment verses rental cost usually ignores that added expense of home ownership. Paying a 30 year note that includes the cost of appliances and materials (e.g. carpet) that will likely last far less time is not as thrifty as one may think.

Right, but the flip side to renting is that the landlord has financial incentive to hold off replacing old appliances as long as possible. Many landlords won't do maintenance or replacement until they absolutely have to.

 

[Gaius46]

Wow. I didn't realize property taxes were that high there. I paid $1,650 in property taxes for the whole year (in 2012).

I wish.

Taxes (and utilities fwiw) on LI are large problems - and believe it or not both Nassau and Suffolk counties - which make up most of LI - have financial problems.

About a third goes to the local school district, about a third to the county PD and the rest for everything else. Both our public school teachers and PD are among the most highly paid in the country.

 

[ttwtt78640]

Right, but the flip side to renting is that the landlord has financial incentive to hold off replacing old appliances as long as possible. Many landlords won't do maintenance or replacement until they absolutely have to.

True enough, but landlords also know the cost of tenant turnover (make-ready costs and property vacancy). It is often better (financially) to keep the current tenant happy than to suffer the costs of tenant replacement.

 

[Josie]

My mortgage is about $780 a month.

 

[GottaGo]

Paid off the mortgage last November, 17 years early. Driving factor on that was a combination of the mortgage company being the worst one in the country (details upon request) and a savings account earning .004% versus a mortgage with an interest rate of 5.25%.

I had been paying $551, not inclusive of taxes and insurance, which were paid separately. Taxes are $1800 a year (4 acres lake front) and insurance is $800 a year with full coverage and replacement.

 

[penn1954]

Paid off the mortgage last November, 17 years early. Driving factor on that was a combination of the mortgage company being the worst one in the country (details upon request) and a savings account earning .004% versus a mortgage with an interest rate of 5.25%.

I had been paying $551, not inclusive of taxes and insurance, which were paid separately. Taxes are $1800 a year (4 acres lake front) and insurance is $800 a year with full coverage and replacement.

Sounds like Bank of America.They suck!!!:mrgreen:

 

[GottaGo]

Sounds like Bank of America.They suck!!!:mrgreen:

Nationstar out of Dallas.

Our bank sold off a block of mortgages, and we happened to be one. Of course, they were more than happy to refi us back if we were interested. Like I want to lay out $2500 because they sold us off? NOT! So we empties the savings (and then some) and paid the sucker off.

Things that Nationstar did.
1. Three months after they started servicing our loan, somebody there hit a wrong key and had us marked as a discharged bankruptcy. They, however, kept accepting the payments including the additional principal payemts. Only found out because after the third month of not receiving the statement, I called them. I won't repeat my language.

2. Sold some equipment, so had a sizeable chunk of cash. Wrote two checks, one for payment, one for principal. Month goes by, check for payment is transacted, principal check is not. Call, am told that they don't accept personal checks over $5000 (no one could tell me where that gem was in writing), and it would be returned to me. Fast forward three months and 8 phone calls later, still no check back. They lost a $10,000 check and expected me to pay for the stop payment.