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A Growing Problem in Real Estate: Too Many Too Big Houses

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161–170 of 440 posts

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#161

Earlier quoted context omitted.

Those two complaints are easy to fix. Get a yard service - I pay $150 a month for them to come twice a month. Get a home warranty - it’s about $600 a year and they fix everything - appliances, hot water heaters, plumbing, etc. I haven’t purchased one for current home because it’s a new build, but I did for furnished rental property I previously owned. In the grand scheme of things for an owner occupied home it’s prob…

Do not get a home warranty. It's about $600 a year and they do nothing when you report an issue. When you call to complain, they send a contractor. Who doesn't show up. When the third contractor they promise to send finally shows up, they're the cheapest contractor they could find in 100 miles and they make the problem worse. Finally you threaten to sue and they close the policy and give you cash in lieu of replaceme…

I had two furnished rental properties and I never had any problems with them.

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#162

One of the trends that I can only hope continues is getting rid of this idea that home ownership (especially single family home ownership) is the American dream. I live in and own a detached single family home (was a compromise with my spouse) and to be honest, I hate it. I hate having to take care of the yard, to deal with unreliable tradespeople when things break, to deal with the huge expense of minor home repairs…

Home and property ownership are deeply tied to some of your fundamental rights given as a citizen in the US. Many freedoms granted to you can be superceded once property is owned by other private entities because they require a spatial context.

Take gun ownership or something less controversial: a grill. If you own the home, you can grill to your heart's content. If you rent, there's likely all sorts of rights you forfeit in a contractual agreement (lease) and using a grill is often explicitly banned (it's a fire hazard and doesn't effect the property owner to disallow it, only helps them).

Thankfully, many states have enacted protections that override what can be contracturally restricted for living dwellings, granting new explicit rights but these are by no means exhaustive and vary from state to state and even by municipality.

In the case described, you're choosing convenience over liberty. "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety." In this case I would support home ownership over dealing with mild inconveniences of maintenance (then again, I'm used to performing maintenance).

At the same time, many don't have that same choice and its not about choosing prefered conveniences. Renting is the only option for many because they can't even imagine starting a mortgage or gathering the necessary downpayment. On-top of that, as mentioned by others, property ownership becomes a huge financial liability that in today's economy and job market for many makes juggling finances even harder by reducing socioeconomic mobility. Maybe they wish to own and could currently afford it but the liability is too great to consider due to volatility in the job market.

With ownership, slightly better income opportunities often have to be passed by because once relocation fees, market flux, and logistics of a current mortgage are factored in, many opportunities turn out to be large setbacks. Unfortunately many must choose between renting and flexibility for enough income to live reasonably vs many granted rights they're forced to give up in order to survive--I dont consider this a convenience choice. This should not be the case, but IMHO, it's a result of the ongoing further and rapid concenteation of wealth and power in the United States that lead to these scenarios.

We are losing our country to a very few peoples' gains. Perhaps its always been this way but it feels like a more recent trend from my limited view

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#163

Earlier quoted context omitted.

My grandmother is living alone at the moment in a house where she and her husband raised 4 boys, each with their room and a bathroom for the children at the first floor and a bedroom, an office, a kitchen and a living room at floor level. There's also a basement with a parking space for the car and three rooms and a laundry room. And it's surrounded by a 0.35 acres garden. Yet, it's cheaper to live in the empty house…

Staying in the home you own and have raised your family in makes sense (my own grandmother is in the same situation). The article is not about that, it's about people who decide to move to gigantic "dream homes" as they reach retirement age, and apparently we're supposed to feel bad that they have a hard time selling them for more than they built them.

It's about being stuck with something inadequate.

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#164

One of the trends that I can only hope continues is getting rid of this idea that home ownership (especially single family home ownership) is the American dream. I live in and own a detached single family home (was a compromise with my spouse) and to be honest, I hate it. I hate having to take care of the yard, to deal with unreliable tradespeople when things break, to deal with the huge expense of minor home repairs…

I also hate maintaining a detached single family home with a yard. I also hate being responsible for the fixes. But that situation is still far better than renting. When we rented, we were subjected to eviction at any time, for nearly any reason, for basically no notice (60 days, which in the US is effectively zero notice). Your subjected to every whim the crazy wildly-irrational housing market throws at you (we've h…

> we've had 12% yearly rental increases for a decade straight now

That was part of the motivation for buying my first house. The rent was going up $50/month every 6 months, and the mortgage was going to cost only $100/month more than the rent. I figured in a year I'd break even, and in 2 years I'd be ahead.

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#165

Earlier quoted context omitted.

School today is an archaic design. Education has no bounds with the internet and the spread of information where it is no longer asymmetric. School and universities are falling out of favor. What matters is what skills you have over what degree. The internet and the corpus of knowledge equalizes this. This assumes connectivity is a given – I believe connectivity will be tablestakes in a variety of situations and ince…

I think/hope that in 20 years, this will be true. I'm not sure it's true enough yet to let you really ignore the school system and/or university. You can homeschool, though...

I believe sooner than 20 years, it's not the norm yet but we're closer than most would admit I'd say. This is based on my personal experience and business endeavors.

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#166

Earlier quoted context omitted.

This has an interesting inheritance of why properties go up in value in relation to supply and demand and an economy. If the needs of society are pushed to an average of not needing to venture out anymore due to automation and manufacturing + remote work then we start to focus internally on community. If that's the case, how much does the location matter outside maybe the view you're able to afford?

I'd argue that it matters _more_ in that case, because the returns to clustering will be higher, and the non-work features (access to outdoors, climate) will matter more. I think in a world where you don't worry about jobs, and worry less about living expenses, Boulder and San Diego and Manhattan get _more_ desirable.

Why would they be more desirable?

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#167
post #147

Earlier quoted context omitted.

Am I the only one who has always seen renting as a temporary arrangement only? If you don't own something, somewhere, doesn't that mean the same as being homeless? Not trying to offend anyone. Genuinely wondering, are there people who really don't want to own real estate ever in their lives?

I've been renting for a long time and I have never considered myself to be homeless. When it rains I generally stay dry. I'm not sure how renting implies or is in any way similar to homelessness. I still have the means to provide shelter for myself. I could even rent a hotel room for quite a while, long enough to find a new place for sure. I don't see how the risk of being evicted (is this something people worry abou…

How many kids do you have? I have 6 and moving in the elementary school district is a huge pain. There aren't alot of rentals and big surprise, nobody wants to rent to someone with 6 kids. Not only is 60 days notice not enough time. The landlords require 60 to 90 days notice and of course every rental wants you to move in immediately. In my experience, it's rare to find someone advertising a rental more then 30 days out from availability.

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#168

One of the trends that I can only hope continues is getting rid of this idea that home ownership (especially single family home ownership) is the American dream. I live in and own a detached single family home (was a compromise with my spouse) and to be honest, I hate it. I hate having to take care of the yard, to deal with unreliable tradespeople when things break, to deal with the huge expense of minor home repairs…

Those two complaints are easy to fix. Get a yard service - I pay $150 a month for them to come twice a month. Get a home warranty - it’s about $600 a year and they fix everything - appliances, hot water heaters, plumbing, etc. I haven’t purchased one for current home because it’s a new build, but I did for furnished rental property I previously owned. In the grand scheme of things for an owner occupied home it’s prob…

That must be a huge yard, or is there some landscaping involved?

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#169
post #97

This article claims that these homes are going because buyer preferences have shifted towards smaller homes in walkable areas. I don't disagree with this, but I'm surprised the article didn't factor in the cost of these homes. These homes are priced in the millions and are generally not in areas known for high salaries. Coming up with that much money is out of reach for most members of younger generations. Some peopl…

For $3 million far from town why wouldn't you just build yourself?

Re: A Growing Problem in Real Estate: Too Many Too Big Houses

#170

One of the trends that I can only hope continues is getting rid of this idea that home ownership (especially single family home ownership) is the American dream. I live in and own a detached single family home (was a compromise with my spouse) and to be honest, I hate it. I hate having to take care of the yard, to deal with unreliable tradespeople when things break, to deal with the huge expense of minor home repairs…

I'm right there beside you - I'm coming on two years of home ownership, and I'm not terribly enjoying it. I love the neighbourhood, but I just don't think I'm cut out for home ownership. I've had more problems in 2 years of home ownership than I had in a decade of renting. It's cost a ton more money. Is it an investment? Possibly, but I've sunk a fair bit into it as well. I now wake up on Saturday mornings with a lis…

I had the same home ownership experience...I kept waiting for it to get better but it just got worse. Really took a toll on my partner and I's mental health. Owned for just shy of 10 years. Been renting for a little over 2 years now after finally getting out of it. Renting has its own pains, but that stuck feeling of home ownership + all the maintenance it entails far eclipses rental annoyances in my opinion.
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