Top_Ad5385 t1_ja7uuqw wrote
Wait why is that bad? Honest question. Wouldn't I be making it nice for renters?
scooterbike1968 t1_ja7wcw3 wrote
You’d make them pay double your mortgage, taxes and insurance, because a bank would not give them a mortgage. It’s predatory to seek profit based on economic desperation.
Rude-Bison-2050 t1_ja81cu6 wrote
That’s right there’s no where to rent anywhere
kiddos out in full force here today lol
Careful-Explorer-503 t1_ja87wjt wrote
Lol it’s not. You don’t know what they would charge for rent. Maybe a family that can’t put together a down payment on a home right now would rent it out.
Snownel t1_ja8h1x7 wrote
If they charge more for rent than they are paying on the mortgage, taxes, and maintenance, it is by definition parasitic.
If they don't charge more for rent than they are paying on the mortgage, taxes, and maintenance, their existence as a landlord is pointless and they are just wasting money.
Rude-Bison-2050 t1_ja8vwjm wrote
til anyone making a profit on anything is parasitic
this sub is just filled with antiworkers and rebubble kids lol
Snownel t1_ja8x4rr wrote
We're talking about housing here man. Basic human needs. If you want to make a profit selling hats or something, that's a different issue.
Rude-Bison-2050 t1_ja8xcgl wrote
so home builders, lenders, repairmen, etc are all parasites too
Snownel t1_ja8xnar wrote
If you'd quit putting words in my mouth, maybe you'd stop and ask yourself what tangible benefit landlords provide compared to people who actually build and repair houses.
Rude-Bison-2050 t1_ja8xupm wrote
idk, maybe housing for people who can't afford to buy and shoulder taxes, repairs, etc
Snownel t1_ja8ya2s wrote
In what world do you think rent is less expensive than a mortgage, taxes, and maintenance? Where is that money coming from, genius?
Rude-Bison-2050 t1_ja8yu4c wrote
you may want to try owning a house sometime and having to deal with a 5 figure bill yourself, kiddo lol
Snownel t1_ja8zy1a wrote
I just paid $10k to replace our A/C two years ago, "kiddo". No landlord required.
Are you going to explain how a landlords magically make housing cost less to maintain and somehow conjure up a profit in doing so?
Careful-Explorer-503 t1_ja97qd7 wrote
You’re clearly out of the loop. Maybe do a little research, try to have a full understanding of the market past and present, then come back and comment in an informed way.
Rude-Bison-2050 t1_ja9mwg4 wrote
How many $10k repairs did you do at places you were renting
Snownel t1_jaa77su wrote
How should I know? The landlord doesn't tell me how much he spends on repairs, I just throw gobs of money at him and hope he's not ripping me off.
But if he's still in business, chances are I've paid more than he's spent on repairs.
cooldreamhouse t1_jaa074h wrote
Stop calling people kiddo! You sound like a dick head
Careful-Explorer-503 t1_ja97fde wrote
IN NJ!!! That’s how I know you’re not a person in this situation, you have zero point of reference. Buy house then tell me how much cheaper it is.
Snownel t1_jaa6zv3 wrote
... are you trying to imply that landlords in NJ specifically pay more in expenses than they get in rent? Is every landlord in NJ just a rube then?
standalone157 t1_ja7w3yk wrote
Because you’re snatching up houses for your own profit and not allowing families who need a house to buy it. It’s bad for economy and the individual
Unusual-Okra9251 t1_ja7z0bz wrote
You already have that landlord mindset of thinking you're providing a service. Ugh.
lightwing22 t1_ja7wjyk wrote
It's frustrating from a younger person's perspective because many large companies are buying up houses and renting it back for a profit. This sucks because it 1) raises rent all across the state, 2) increases the cost of homes, and 3) takes home away from people who could have brought them before the market was artificially inflated.
New Jersey is a nice place but an expensive one, and landlords don't help with that
NetPhantom t1_ja7yo1r wrote
Because you’re just making money off the renters labor. Kinda goes with being a landlord.
Top_Ad5385 t1_ja7zftf wrote
So how does one ethically invest in anything? If I put money in the market, I'm also making money sitting on my dead ass right?
Snownel t1_ja80ert wrote
You'd be demanding parasitic profit by threatening to withhold a basic human need (shelter). It isn't just that passive income is unethical.
If you want to invest in housing ethically, build a house.
NetPhantom t1_ja80579 wrote
Buying stocks doesn’t include leeching off people’s labor. Renters will pay you more than your mortgage. You’ll take their money then pay your mortgage getting credit for THEIR money. You’re directly profiting off their labor by inserting yourself in the process. There’s zero upside for the renter. If you’re ethically ok with that then be a landlord. It’s a choice you need to make for yourself.
Gabrielasse t1_ja7whm1 wrote
I would say that a few peoples opinions on Reddit should not sway what you do with your hard earned money. There are worse things you could be investing in than property in the most densely populated area in the US. Maybe if you feel a bit guilty about it, you can buy something that needs renovation, invest to fix it and then sell it again instead of renting out.
Top_Ad5385 t1_ja7z9o1 wrote
Oh that is an interesting concept. Thanks
Educational_Paint987 t1_ja80s96 wrote
People seem to think that owning a home or renting out a home is some form of charity.
The bad guy is not the individual landlords...it's the commercial real estate groups, banks, investment firms and insurance companies.
[deleted] OP t1_ja84ymk wrote
[deleted]
Summoarpleaz t1_ja8fh9o wrote
Yeah people are just conflating a lot in this thread. If there’s any change that’s needed, it’s not one person that needs to stop buying a second home, it’s the corporations relying on predatory practices to snatch up homes on a large scale to rent. That and/or foreign investors parking their money without improvement to the community.
Saying op should let someone who needs a place to live to buy it could be said about everyone who wins a bid to purchase a home. If I buy a home, and the person I beat out in the market also needed a home, was what I did unethical because I didn’t allow the other person to buy the home at a more affordable price?
People are understandably angry but OP is not nearly the core of the problem.
Snownel t1_ja8hcnn wrote
>If I buy a home, and the person I beat out in the market also needed a home, was what I did unethical because I didn’t allow the other person to buy the home at a more affordable price?
If you turn around and rent that home back to them at a profit, yes.
Educational_Paint987 t1_ja8j4j7 wrote
You could rent out at a profit and still cost the renters less monthly than if they went with a rentals business. Also, individual landlords can be more lenient when it comes to background checks and if there is a relationship even allow for late payments.
And not all people who rent are settling because they cant find homes. Many rent because of university or temporary job assignments.
There are also people who sell homes that need major work and will not be good for first time buyers. Someome whith a buy to rent plan can bring that home back to the market.
Snownel t1_ja8jxcj wrote
None of that changes the fact that by doing so and collecting a profit, the tenant is paying you money to do nothing other than happen to have enough liquid capital to outbid them.
Educational_Paint987 t1_ja8q4id wrote
You seem to be living in the wrong country. May I suggest a time machine to the 1930s soviet union? They would assign you a cardboard home depending on how many people are in your family or how big a bribe you give.
They also had rationing for basic foods....
AttitudeFuzzy2938 t1_ja8qlvy wrote
How do you factor risk into your assessment?
Snownel t1_ja8r13v wrote
We're not talking about a business selling widgets capitalizing on an arbitrage opportunity. We're talking about housing, shelter, basic human needs.
It's like asking "how do you factor in the holding risk for water", the question you should be asking is "why the hell is there risk for this to begin with?"
AttitudeFuzzy2938 t1_ja8rfyk wrote
I'm not talking about a business either. There are risks in buying vs renting and I'm curious how you factor that in, because the way you speak is so staunch in the present that you don't seem to factor for the future.
Snownel t1_ja8rnir wrote
Are you implying that landlords act as some kind of insurance?
AttitudeFuzzy2938 t1_ja8t5st wrote
No
mrsctb t1_ja8evsm wrote
It’s not bad. Ignore the whiners. There will always be a market for rentals. There will always be people who can’t buy or don’t want to buy a house. They need a place to live. People love to hate landlords (and shitty ones do exist unfortunately), but there will always be a need for them.
If you have they money/ability and the desire to do so, then go for it.
tipperzack6 t1_ja7w51t wrote
Don't listen to them buy the property and rent it out. just don't hold off for higher rent get it rented as soon as possible. people's want places to live now.
Snownel t1_ja7x7a4 wrote
The place is there now. It's for sale. Buying it and demanding passive income over and above the mortgage payment and maintenance doesn't magically increase housing inventory.
tipperzack6 t1_ja8f69b wrote
The place is empty now, so no family is living their. So 2 family renters would decrease demand by 2 families.
Hey anyone can come and buy the property. A single family owner could buy it and make it a single family home for the next 30 years. That would reduce the housing stock by one.
The market and town wants someone in their now. Paying taxes and keeping upkeep. The faster the better
Snownel t1_ja8g60f wrote
Are you being serious here? Have you looked at the housing market turnover in the past few years? Do you seriously think housing is just sitting around vacant and unsold, and the solution to that problem is landlords?
tipperzack6 t1_ja8oetp wrote
The solution is buy whole single family blocks and knock them all down and build 5 story density 2-3 bedroom apartments. Do that till rent prices are 1000 average.
But that will never happen. A maybe possible solution is take single family homes and make them into double family. That could double the housing stock of an area within 6 to 10 months.
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