I'm tired of seeing people posting that "mortgages are just the bank fucking you" and "owning property is letting the jews win" and all this shit. Yes, centrol banks own everything and there's not much you can do about it, but that doesn't mean you have to be a pathetic NEET for your entire life.
Here's how to own a house and make more money with the bank's money than the bank is making:
Find a decent vacant lot for ~$50k. There are lots around if you look online in your area, it doesn't have to be huge but the more you can get over a half acre, the better. Yeah, you might have to look outside the fucking city you spoiled piece of shit. Now the bank will fund you to build a house on that lot, it's called a builder's mortgage. They give you money in increments based on what the final value of the house/lot will be. They have no problem with lending you $200k to build a house that would sell for $400k. Their first payment has the cover the cost of the lot AND get your house to 40% completion, though, which is where most people struggle to get through. You'll probably need to borrow some money to get through this part, but don't worry, you'll get it back once the build is done. They are giving you the FULL cost to build the house in full, they're just lame about the increments they give it to you in, in order to cover their ass. They don't want to give you the first payment and have you go to Vegas and blow it, and all they can take from you is a vacant lot that isn't worth what they've given you already.
Build a decent house. As in, don't build a piece of shit. Spend some time looking at floorplans and decide on what you're able to afford square footage wise. I just recently built a 1750sq ft home with a fully finished basement for ~$230k. The monthly payment on our mortgage is ~$1150. Make sure your building contractor is including the price of a fully finished basement in the total cost. Two bedrooms, kitchen, bathroom, laundry room in the basement, and there are two sets of stairs to access the basement. One is from the garage, one is inside. Think about which rooms should be above which; you probably don't want the living room in your basement below your bedroom. Use your head.
Complete the house, and rent the basement out to either a couple or two separate people. Price the rooms comparatively to what a dorm room costs at your nearest college/university if you're near one, and if you're not, make sure it's priced comparatively to other rented properties in your area. If shitty ass two bedroom apartments that are small in an apartment complex are being rented for $1000/mth, you can get more than that easily. You are offering a brand new, clean, never been lived in, LARGE two bedroom apartment.
Now, use their rent to pay your mortage off. Where I am, shitty fuckin dorm rooms are rented for around $600/mth. That makes renting the basement to two students EASY for $1200/mth, because it's the same price as a dorm but a hell of a lot nicer. We're close to a university, so that allows us to be a bit more choosy with who we want living there as well, but it's not all that hard to find small families looking to rent a basement apartment rather than a regular apartment, because, again, it's nicer.
Julian Butler
With the mortgage being $1150/mth and rent coming in at $1200/mth, any amount of money you are able to save is able to be chopped right off of your mortgage. My wife and I budgeted ourselves around $1100/mth, so I knew we are comfortable with giving that up. So we put that on top of the rent, and the mortgage gets paid off fucking way faster.
By renting the basement out and also holding ourselves responsible for "paying" the mortgage ourselves as well, we are able to pay off a shitpile of the mortgage over the course of two years. The interest in the first year was around $6500, and we're aiming to pay off close to $28k. The second year we'll pay off a similar amount, but the interest will be less due to owing less.
In two years time, we'll be able to sell a house that we initially paid $230k for, and have the mortgage paid down to ~$190k, for $400k. Our house was appraised by the township at $450k nearly right after we moved in. If you don't believe that houses sell for a lot more than what it costs to build them, you need to give your head a shake. Houses are still being built, so there's your proof.
That's $210k in our pockets if the appraisal is accurate, but we paid ~$55k into the mortgage during that time. Now, we could have done that right off the hop (sold it), but the house value is still pretty much "brand new" after two years. Also, if you don't live in the house for at least a year (I think) you get taxed on all that. So you might as well live in the new house you just designed and built for a couple years.
Brayden Martinez
So basically you start with fuck all, nothing, and go to SAVING ~$155k over the course of two years for living in a new house and renting the basement. You don't even have to sell it, if you stay there and continue doing that, you'll have the mortgage paid off in EIGHT YEARS. The bank gave you the money hoping it'd take 25 or even 30. The bank is willing to give you an amortization period of 30 fucking years and you can pay it off in ten and the house is brand fucking new. And if you don't want to commit to that, you can sell it after the 2nd year for a profit.
Now, you don't have to pay the mortgage off that fast. If you're okay with giving the bank way more in interest, you can have your tenants pay the mortgage for you forever. You're still on the hook for property tax and utilities and all that, but not having a mortgage in a brand new house is a pretty sweet deal. It's certainly way better than being the one paying the rent for the other guy's mortgage.
Daniel Carter
Here's the numbers because I know people will try to say that it's bullshit. You need to make enough money in order to support an $1,100 mortgage payment, that's it. If you can make the mortgage payment, the bank is happy to give you the money and rape you on interest over many years. Those of you paying rent probably pay close to that already. My bank is CIBC so I used their mortgage calculator for reference.2.79% on a two year fixed rate cibc.com/ca/mortgages/calculator/mortgage-payment.htm >First year $230,000 + $6417 interest = $236,417 owed Payment is $1,064/mth = $12,768 per year 1200 in rent x 12 months = $14,400 per year You are paying $1,100 per month = $13,200 per year So you're paying off $27600 total minus the interest per year
Which means, after the first year, you owe $208,319 >2nd $208,319 >3rd $186,028 >4th $163,112 >5th $139,551 >6th $115,329
So now you've lived in your house for five years. The bank will make ~$3200 off of you in interest the following year.
And obviously the entire mortgage is paid off in the 10th year.
Imagine in ten years from now, you were able to sell a house for $400,000+ and literally put all of the money in your bank account. Are you currently able to save $40k per year and put it into your savings?
Also, these numbers just get scaled up the closer you live to a big city. You need to be approved to borrow more for the vacant lot is the only difference; the costs to build the actual house are comparable. It's the price of the land that is scaled way up, so you just have to borrow more to get started. Protip: Don't live in the fucking city if you aren't making mad dosh already
Carson Gray
So, to round this all up, the bank lent you $230,000 with the intent of you taking 30 fucking years to pay it off. This amounts to them raping you in interest because you took so damn long to pay it. You end up paying them back twice as much, that's why banks love giving out mortgages; people are fucking stupid and don't realize how important extra payments are.
You paid the entire thing off in 10 years, and you were under zero pressure the entire time because, if something were to happen in that time and you were in need of money, your mortgage for that month was already paid regardless. You don't even have to be frugal with your savings, this is assuming that you're holding yourself obligated to pay for your own mortgage and that's IT.
Now, you own a house that costed $230,000 to build. The bank made ~$34,480 in interest. You own a house that can be sold for $350,000+ easily, more if you are smart about the design, placement on the lot, etc and now you are making $1200/mth right into your pocket if you don't want to kick your tenants out and take the basement back for yourself. If you want to kick them out as soon as the house is paid off, you've got a finished apartment to put your kids bedrooms, playrooms etc in. You do plan on having kids, right? Or have you given up on that, too?
You borrowed money from the bank... and you made a lot more money with it than the bank did, as well as got yourself a new house to live in, and worry-free mortgage payments for a decade. Oh, and you own a house in 10 years, and that's by holding yourself to the bare minimum of paying your own mortgage and having tenants. If you can save more than that, you could have it paid off faster.
Leo Fisher
Show me your floorplan, I wanna see what this basement you're talking about looks like.
- no one here has a basement
Ryder Edwards
You don't know what a finished basement looks like? Damn, dude.
700m 10500
Aaron Johnson
No, I don't understand... your basement is under your house right? Under the ground with no windows and shit? I want to see what someone is paying $300 a week for
What if I already own a house that has been paid of and it's right next to a university? Any tips on what I should do? The neighborhood is white too.
Chase Watson
So just a windowless house I guess. Does everyone in the leafpile have a basement? Whenever someone builds a house you dig a big hole first and frame it? How earthquake resistant would that be? (I'm in earthquake central)
Samuel Sanchez
Basement is mostly a canadian (especially quebec) thing. It is a common way to pay less for a house but its really not good for family with kids or when you value your privacy. I mean they can hear me banging my wife.
Gavin Torres
What kind of closing costs did you have to pay on the lot?
David Young
Who can build a house tho? The most one person can do is build a cuck shed on a foundation made by professionals.
James Torres
A fucking le- hang on.. this guys alright.
This is a great idea but I feel it would be lot more doable in the states or canada than the UK or europe because of how scarse and expensive land is.
Juan Clark
HahahaHAhaha you shoulda used some thick 13mm bracenoise or something on the walls and ceiling and stuffed some poly in there
Ethan Baker
Buddy here has a point that I touched on earlier. You have to make sure you do the layout properly or else you'll be able to hear buddy bangin' his wife.
There are windows dude. In Canuckland you legally have to have a window in every bedroom of a basement. My basement has like 10 windows. And yeah, when people build a house, they dig a big hole first. I'm not sure about earthquakes dude I live in Canada, you might as well ask me about tropical storms.
Renting to students can bring in some good money if you're willing to meet with them and pick and choose. Does it have a finished basement? Even if it doesn't, where I live there are houses near universities that are two stories tall and have five bedrooms and they ALL get rented out for like $400/mth. So students get to have their own little play pretend families while they go to school rather than live in a dorm. You could do that for sure, even if you wanted to rent to only 2-3 asian female students.
Cameron Myers
No basement actually.
Brody Campbell
What the fuck does this have to do with politics?
Landon Rogers
How much does a basement cost compared to just making your house wider or taller? Why not just build a 2 story house? Is it just aesthetics of the neighborhood to not be that guy with the house that blocks our sunlight?
Alexander Watson
>Find a decent vacant lot for ~$50k. yeah thanks for the advice leaf
Kayden Gonzalez
Yeah there was a buddy telling me about that not long ago. Saying that it was nigh impossible for you bongs to buy land for some reason.
A company that builds houses?
I personally started slaving my ass off the day after I graduated high school and saved up enough money to pay for most of a vacant lot in a private sale. No joke, I bought a three acre lot off of kijiji.
Lucas Green
Finishing the basement costs fucking way less than making the footprint of the house larger and way, way less than a second story. Second story is the most expensive route.
You can do all of the shit I outlined with the numbers scaled up. If your lots aren't that cheap it means your houses are expensive too which means it can still work. You just have to get approved for a bigger loan is all.
Owen Diaz
The middle class being overburdened is directly related to politics, buddy.
You could rent out bedrooms then. How many bedrooms and how many storiesÉ
Liam Davis
i don't think you understand england
the only house builders are (a) jewish companies called housing associations who solely rent property to subsidized tenants, and (b) wealthy people who have inherited land, e.g. prince charles
Elijah Martin
I have a business nowadays. Used to own a lot of appartment buildings for rent. Unfortunatly in quebec the tenant has all the rights so if loser has no money he is not obliged to pay and nothing i can do. My advise to you all....just sacrifice for 2 or 3 years. Work weekends. Do some uber. Put money aside, it is possible for a couple to put 150k in 3 years. Then out a big cashdown on old shitty property and learn how to renovate. Thats how i started. Second advise....always put money aside after you sell because gov wants his cut.
Parker Morgan
why can't you buy a lot out in the country?
Daniel Ramirez
Just 3 bedrooms and 1 story it's in the suburbs of a city.
Eli Smith
> Half acre for 50 grand
top kek
I could drive 5 hours from Sydney and you still wouldnt see half acre blocks for under 200 grand
Cooper Wright
I don't believe you
Matthew Myers
You could probably rent it out to three students honestly. You should find out what they pay to live in a dorm and price it accordingly and see how many hits you get
Ian Wood
there's no real concept of "out in the country" here, leaf. i know you struggle to imagine a land without thousands of kilometers of virtual desert inhabited solely by ten natives and a county ranger named clive, but imagine for a second
>pretty small island nation >packed with millions and millions of people >growing by 700,000 people per year >rural areas (and "rural" here means 3 minutes away from the nearest town) are in extremely high demand because people desperately want to get away from the hideous and depressing and violent cities and towns >rural areas are protected by the green belt directive, which prohibits building on that land so that foreign companies can't just build blocks of flats over the entire countryside for all these pakis and nigs flooding in
Jacob Sullivan
what a jew
Adrian Hernandez
So, you are basically a parasite, using other people to pay off your house?
Hahahaha. Leaf needs to travel more and see how europe and rest of the world is. Once I had to tell a fellow canadian that we are so lucky. He has good advice but that works mostly or only in canada.
Oliver Smith
>£50,000 - £230,000 >those ugly and broken buildings will have to be renovated for £700,000 or be demolished by law, again at your expense nice one leaf
Lincoln Gray
also where the fuck does this leafyboi think someone's going to get £50,000 - £230,000 from? loaning is out of the question, as is saving (unless you're, say, a CEO)
Hudson Gutierrez
Jesus Christ you used to shill this pasta on /biz/ all The time
Ian James
Have you been in a car before or looked at land? You can buy Agland for like 5-50k per arce within a hour or 2 of Sydney.
Most Sup Forumss are retarded Nazi incels with 0 knowledge in economices or anything useful
Blake Evans
Did you even look at the article I linked you? It's a farm and they have severed off 21 acres and they're selling all of it separately. As vacant land.
Oh, you're fucking retarded. You should have just said that.
I fucking knew that was bullshit.
Ryan Johnson
Hey I'm not a Jew I just own my own house and live in it.
Gavin Edwards
I hope getting cucked by the college frat boys in your basement is worth paying off the house in 10 years.
Some of us just buy homes we can actually afford and still pay it off in 8-10 years without having strangers in our homes.
Luke Allen
Right. I get what you mean. Me myself as an architect know that too. Often it is hard to build because you can't build outside the marked areas. If you would do, that would lead to uncontrolled growth of smaller cities. It is linked with lots of laws
Cooper Brooks
>Some of us just buy homes we can actually afford
Would you call being able to easily afford the monthly paymens a "house you can actually afford"?
Because I sort of, you know, made that perfectly clear.
It's important
Kevin Robinson
>work with your hands >have other people work with their hands for you The choice is quite simple, unless you enjoy being a cuck
Ryan Cook
retard, most people here have NO disposable income, so how is one going to save?
Charles Davis
those basements in the website are not inside a property worth 200k, more like 2000k.
Josiah Baker
Yeah I know that buddy
Jace Lewis
If you cannot send double the payment every month. I have bad news for you.
Jayden Gonzalez
Congratulations, you told people that have less money than you that they have less money than you
Daniel Fisher
Sorry for living within my means.
Owen Kelly
That's not all you did, though. Look at your post In a thread for people with low income and no hope of ever owning property
Leo Cooper
Save your money
Adam Kelly
>I will live with my parents for 40 years so I can buy a house out right with out a jew loan or jew rent.
Jackson Roberts
>falling for literally usury Stupid leaf
Jeremiah Powell
Sounds like before he gets involved there are no houses, and afterward there are houses.
Joseph Evans
I lived with them for a few years saving money so I could buy the lot. It's not the worst idea.
Oliver Harris
what are you even talking about
Dylan Jenkins
It's never going to be bright and sunny, but it doesn't necessarily mean no windows. You can get significant natural light with a window well.
Samuel Anderson
The perspective in that it's really fucked up.
And we talked about this and a duplex works better.
Anthony Taylor
>230k whew lad so much for beating the jew, Stopped right there.
Robert Kelly
Duplex fucking sucks
You probably won't pay a mortgage off in 10 years buddy
Chase Ross
Why do Americans always put rocks around thei rhouse like that?
Jose Gomez
>wages are 1/10 what they used to be >get a high credit on such house >credit gets called unexpectedly >can't pay and lose house >Bbbbut hey baby I thought I was suppose to win this game!
Brandon Rodriguez
drainage
Mason Rogers
>>get a high credit on such house >>credit gets called unexpectedly
You can buy land but planning and legal will kill you, that's the problem here. All the money will go to fat arses who don't know which end of a hammer to hold
Gabriel Walker
I ain't reading that shit
Henry Adams
The property's are overpriced and the value cal only decline
Jack Baker
tell me more. free bump.
Brandon Collins
I refuse to take advice from a fucking leaf.
Owen Diaz
what do you desire?
Grayson Wilson
What do you do if the bank wont give you any money at all, I couldnt get a $5,500 loan to buy a used car with a cosigner.
Ethan Cook
Try to stop doing dumb things
Isaac Barnes
Fuck you too budy
Ayden Nelson
Where do you find someone to build you a decent home for only $200,000? All the good home builders are in with the property developers and they are building homes on their own land to sell.
Contractors here won't even answer the phone if you are looking for a home under $500,000. They have bigger fish to fry.
Jackson Butler
>Contractors here won't even answer the phone if you are looking for a home under $500,000.
So all of the houses in your area sell for $500,000+, even the total shitters? Or there just aren't many builders?
Dominic Gutierrez
Or they could save up for several years and buy a regular house in cash
Sebastian Foster
just save $300,000 bro
Elijah Campbell
>just save $300,000 bro Do you live in Hongcover? I live in a city of 2 million and could find a decent house and a nice three bedroom condo for under $180k
Alexander Howard
No the affordable starter homes ($300,000) are build and sold by the big home building companies on land they bought in bulk for new areas, or in redevelopment deals they cut with the city.
Caleb Perez
There will be smaller building companies, dude. Do you think that if a rich person wants to build a complete custom home, they're going to go with the company that mass produces town houses crammed together on giant lots?
There are small companies that exclusively build custom houses, just look into it. It's usually a five man show type of deal.
James King
Nah dude I live in a small city in Ontario. We have houses that cheap too. I was just making fun of the idea of buying a house with cash as your first home
Alexander Thompson
>There are small companies that exclusively build custom houses, just look into it. It's usually a five man show type of deal. Those are the companies I mentioned earlier that are not interested in small starter home projects. They want the lucrative custom projects.
A friend of mine is a mechanical contractor (P&H) and was really struggling to find a home builder so he simply took a year off work and built it himself.
Elijah Clark
>A friend of mine is a mechanical contractor (P&H) and was really struggling to find a home builder so he simply took a year off work and built it himself.
Wow that's pretty wild man. With the money it would save him, I can definitely see why he did it, though. I guess the market could just be that steep wherever you live, but around here there are lots of companies trying to get in on the cities expanding so rapidly.
