Living In Parents Basement.

[Piper Maru]

It's time to contact Maury Povich.

 

[the last son]

I have half the money saved up to maybe get a house in April, but I'm really tired of living with my mother. Always complaining and I'm getting ready to say forget saving and just move out and be done with it and get an apartment.

 

[smallville fan]

I don't know how it is over there, but I'm starting to see a rise in those in their mid-20s actually staying at home with the parents a lot more these days. It's just so hard to even look for your own place with over population and other factors occurring. Heck there's even a show about it here in Australia called "Packed to the Rafters".

The times are changing these days.

 

[RetrogradeOrbit]

TLS, if you can tough it out at home and save up for a deposit on a home of your own, you will not regret it. I guarantee it.

Sometimes getting the best things require us having to go through tough times to get to them. That's not a logical statement, but it is often true.

 

[the last son]

I have enough for deposit, but was going to pay full. You think deposit is the way to go?

 

[RetrogradeOrbit]

I can only comment on how it works in the UK. It is almost unheard of to be able to buy outright... Near enough everyone saves up a deposit and then spends the next 20-25 years paying a mortgage.

Hell, if you can save enough to buy outright in a reasonable amount of time, I'd say go for it!

 

[charl_huntress]

I just had to go through this thread because the title is amazing!

As a female, I will say it's okay to live with your parents. I would say that's sort of the norm for males and females of today's generation. However, I would question why you want to own a home in the first place.

Yes, it is somewhat smarter to pay a mortgage than rent, but it's not always a good investment to make depending on your situation. Owning a home may limit your options for employment because you may not be keen to sell or rent if you need or have to move.

My question for you is why do you want to own a home? It is a big responsibility and it's not for everyone. And often times, people will do things because others tell them it is the right thing to do even if it's not right for you at the time.

Trust your gut and do what you feel is best, and if living your parents makes you unhappy then get out of there. It's better to be happy and work toward a goal at your own pace then be miserable and unhappy.

 

[the last son]

I need my own home for a few reasons. If I'm going to pay a monthly fee it mine as well be towards a house. Privacy and space are biggest reasons

 

[Erzengel]

I live in suburbia. While it may pay if you lived in a city to rent, that was the sticking point with me. I would essentially be paying the same amount in mortgage than I would be paying rent. I always felt that renting was throwing money away.

Yes owning a home is a big responsibility. Although, after the whole housing market debacle, they have become stricter on mortgages. Owning a home is essentially a giant continuous money pit. Furnishing, repairing, etc. I love our home so it's a been a good decision for us.

 

[the last son]

Well that's the thing I rather pay towards a home than rent

 

[Teelie]

There's always this stigma that renting is basically for losers. People who can't or won't own a house are somehow hurting themselves. Owning a house is supposed to be the big thing.

I realize this used to be true but today I'm not sure it is anymore. It's supposed to be the big dream, owning your own house, your own car. But it's a lot of time, money and effort and it most definitely is not for everyone.

I think the ideal is to own your house but it's not a reality anymore for many people (if it ever was).

Paying mortgage as rent is better than paying it on a house you'll never own, if the rent is truly that high.

Not owning a house, I'm not in a position to tell you the ups and downs of it. Having to rent on the other hand, it really does come down to your circumstances. If you can afford to save up for a house it's probably the better alternative but renting should not be this negative stigma that you're somehow doing yourself a disservice or ruining your future.

Not everyone can afford to save up for a house and not everyone can/wants to live with their parents to do so until they can. Renting also gives you an idea of how it will be to manage a house on your own without the parents helping out.

 

[Pink Ranger]

I hate, hate, hate people who treat major financial decisions as black and white (i.e. "Never rent, rent is a waste of money, etc."). It's ridiculous, there are many sound reasons why one should rent instead of trying to own a home.

For heaven's sake, the 2008-9 near-depression was caused by this attitude. Many people in the initial stages of home ownership were financially slaughtered because of that very principle. It wasn't that long ago either, I'm amazed people don't smarten up.

 

[the last son]

OK so I should wait and pay in full?

 

[KevanG]

I'd wait for a while longer. Make sure you have it up front and just one shot it. That way if any emergencies come up that need that money you have it.

 

[Erzengel]

OK so I should wait and pay in full?

Do the math.

This is how much your mortgage is with taxes. How much is utilities, water, sewer, electricity, gas? Cable, internet. Don't forget food. If you add all that up and you still have money left over, you're good. If not, either get a wife, a roommate or a border or wait until you can put even more down.

 

[the last son]

I'm going to do what kevang suggest and save up a little while longer. Mom gets more annoying by the day.

 

[jaymes_e06]

I recently got a new job and can afford to get my own apartment in a few months but both of parents strongly suggest I save up for a year and buy a house. I've been living on and off with my parents since high school I'm in my mid 20s now and personally I'm tired of it. But I think I will save up. But how am I ever going to have a personal life when it seems it's look down to still live with parents? I guess I can go without dating for a year and focus on work. To the ladies on here would you date a guy my age living with parents and to everyone am I doing the right thing by staying with parents for one more year to save up and not worry about what anyone thinks?

I'm in the exact same boat I recently got an amazing job opportunity that can allow me to get out for good. Wish me luck.

 

[Figs]

I hate, hate, hate people who treat major financial decisions as black and white (i.e. "Never rent, rent is a waste of money, etc."). It's ridiculous, there are many sound reasons why one should rent instead of trying to own a home.

For heaven's sake, the 2008-9 near-depression was caused by this attitude. Many people in the initial stages of home ownership were financially slaughtered because of that very principle. It wasn't that long ago either, I'm amazed people don't smarten up.

Not sure how old you are or where you live Pink but renting is a waste of money. I live in the California Bay Area, East Bay to be exact. Minus major cities of course, they're always going to be super expensive, it's incredibly pricey out here for both homes and apartments. I'm talking about suburban towns of course.

My friends are paying $1900 a month for a 2 bedroom 1 1/2 bath aptmnt. If you saved up enough for a decent down payment on a house, that $1900 is basically what you can get for your mortgage payment, hell you could probably pay less depending on the house and how much of a down payment you put down.

I understand some people in today's economy don't have the money for a good down payment Or they have bad credit but when you rent there is no paying something off, you'll always be paying rent, which seems to increase every year. How in the hell are you supposed to retire and live comfortably when a lot of your Social Security and or Pension is going to be going to rent. With a home it's an actual investment that you can eventually pay off. You pay it off and retire, you only have to pay property taxes and utilities basically.

As for this that you typed out...

For heaven's sake, the 2008-9 near-depression was caused by this attitude. Many people in the initial stages of home ownership were financially slaughtered because of that very principle.

I was in the mortgage industry right before and slightly during the market crash. What you said is NOT the reason why that happened. Minus whatever went on with the government and Fannie Mae and Freddie Mac a lot of it was the Underwriting conditions and guidelines, they kept becoming more and more relaxed. It was that and a lot of the brokers were incredibly greedy. The company I worked for was the lender, once we fund a loan the broker's get their fat commission and it's out of their hands from that point on. They were giving us loans that due to the relaxed and weakened guidlines/conditions were still legal but when I was working on them I could tell that the buyers getting the loan were going to barely make their mortgage payment. The brokers didn't care because once it funded they didn't have to deal with it anymore. It would be the lender that would have to eat it if the buyers defaulted on the loan, which is what happened to a **** ton of people of course.

I quit shortly before the entire company got laid off because I was unhappy with what I was doing at that point because of the quality of the loans. An example back then of a weakening of a condition. We would require bank statements to see what the buyer's income was like to make sure they could afford the loan, not to mention we would also look at their credit report to see what they're current debt was like. Once the guidlines/conditions were weakened to make it easier for people to get homes, we would only need three letters of reference for certain jobs. The area in CA my sales rep and I handled had a **** ton of house cleaners, we would only need three letters of reference from their "customers" as proof of them working and income. LOL, anyone could just ask a few friends to lie and write letters stating that you clean their house. This was just one example. I honestly don't get why house cleaners couldn't get a bank account but whatever...

Don't even get me started on the Balloon payment program.

If you want to live in an apartment for the rest of your life, go for it. Good luck having a nice retirement though.

 

[smashmode]

Seems like you are losing your sanity.

If you plan on staying in the area for at least 5 years, I think you should buy.

Mortgage rates are at historic lows.

 

[the last son]

@ jaymes you getting house or apartment?

 

[Figs]

Seems like you are losing your sanity.

If you plan on staying in the area for at least 5 years, I think you should buy.

Mortgage rates are at historic lows.

How am I losing my sanity?

In regards to "Mortgage rates are at historic lows". Maybe in some areas or states. Come to CA, in the Bay Area a lot of houses are going for $600,000+, that's actually average around here.

 

[Teelie]

I understand some people in today's economy don't have the money for a good down payment Or they have bad credit but when you rent there is no paying something off, you'll always be paying rent, which seems to increase every year. How in the hell are you supposed to retire and live comfortably when a lot of your Social Security and or Pension is going to be going to rent. With a home it's an actual investment that you can eventually pay off. You pay it off and retire, you only have to pay property taxes and utilities basically.

Clearly you're seeing it from the side of someone invested in that side of the business but you leave out how everyone who can't afford the down payment to their own home is going to save it up. And then afford the subsequent mortgage.

Are people supposed to live on the streets while they save up enough money to own their home? Living with the parents is only one option and it's not always feasible. What about people who have bad credit and can't get a loan? Or who have other expenses prohibitting them from making them?

This is exactly the problem Pink Ranger was saying: It's not black and white but so many like you treat it as though it were.

 

[smashmode]

How am I losing my sanity?

In regards to "Mortgage rates are at historic lows". Maybe in some areas or states. Come to CA, in the Bay Area a lot of houses are going for $600,000+, that's actually average around here.

That was for the OP (seems like he doesn't like living with his mom).

 

[Octoberist]

I'm in the mindset that you should buy a home when you're set. When you know you'll be there for a long while or/and when you've settled down with a family. A house to me equals 'permanent'.

Otherwise, rent an apartment might be the way to go. Then again, I live in the LA area where that's more common in big cities.

 

[Superwoman Prime]

I gave up trying to get a job. I spent two years in Topeka, Kansas cooperating with employment agencies, filling out a bunch of applications, doing interviews. It was a disastrous waste of time. Then again, I had zero credentials and competed with a crowd of college students.

I now live with my family in an isolated part of Colorado. We're working on aquaponics and comfortable hovels made from recycled materials. Before winter I lived in my camper for weeks with pretty humble supplies; never been happier.

If the system doesn't work out for you, consider removing yourself from it.