I received a portentous email from my real estate agent yesterday

[Bretrick]

- We have a 1 bedroom, 1 bathroom, 1 car bay, ground floor property coming available at 64 Spencer Ave around 23/24 December at $400.00 per week.

Why is this portentous you ask?
The unit is owned by the gentleman who owns the one I am renting. (He built and owns 124 similar units)
The one for rent is in a block of units about 100 metres down the road.
The unit is exactly the same as mine.
I am currently paying $350 a week. The rent will go up in May, and this offering shows that my rent might rise to $400 a week.
There is the possibility the empty unit might have been refurbished, hence the higher price.
I have been in this unit for 11 years and only the hot water unit has replaced.

 

[Aunt Bea]

Your rent sounds similar to mine.

My 1940s 2 bedroom apartment with 1 indoor parking space, basic cable television, Wi-Fi, heat and hot water is currently $1,235.00 or about AU$1,863.00/month. I pay the electric.

I’ve been here for 15 years and the unit will need a complete update when they carry me out.

 

[Bretrick]

Your rent sounds similar to mine.

My 1940s 2 bedroom apartment with 1 indoor parking space, basic cable television, Wi-Fi, heat and hot water is currently $1,235.00 or about AU$1,863.00/month. I pay the electric.

I’ve been here for 15 years and the unit will need a complete update when they carry me out.

We pay a lot of money to our landlord yearly.
My landlord owns 124 units. Let's say the average he earns from each unit is AU$20,000 - US$13,250.
That equates to AU$2,480,000, US$1,640,000 a year.
They still got to pet the rent up?

 

[Aunt Bea]

I don’t worry about how much my landlord makes.

I focus on the value to me by comparing what I pay to the rents for similar apartments in the neighborhood.

My apartment is pretty shabby but still a solid value considering the costs and inconvenience associated with moving.

 

[horseless carriage]

How ignorant I am of housing costs, the only cost that I have paid is insurance and council tax. Home ownership, as in mortgage paid off a very long time ago makes me realise, seeing those rental figures, just how fortunate my wife and I are.

 

[Teacher Terry]

Rents in my local area are extremely high. When I got divorced and we sold the house I bought a condo to keep my expenses down and predictable. While my very small mortgage is predictable of course the HOA fees will go up. I am still paying so much less than I would be if I was renting. Plus I like the freedom to decorate and have everything just as I like it. I also will never have to move again, which is nice.

 

[Imogene]

How ignorant I am of housing costs, the only cost that I have paid is insurance and council tax. Home ownership, as in mortgage paid off a very long time ago makes me realise, seeing those rental figures, just how fortunate my wife and I are.

Meeeeeee too! Although I do still haven a small mortgage, it is less than some folks car payments and is fixed.

 

[Naturally]

No way I could afford to rent. Especially when rent goes up every year along with everything else and the increases are more than the slight increase I receive in my pension and social security each year.

I knew a long time ago that the only way I could get ahead or at least kept the status quo indefinitely was to purchase my own home on a fixed mortgage for 30yrs. Renting was appropriate for most of my life as I moved around every 3-4 years or more often at times, but renting is no longer the better option for me. I'll stay in my own home as long as I can.

If I get to a point where I can no longer maintain a home, I will try to get into one of the two military retirement homes. Would prefer the one in Gulfport Mississippi. Warmer than Washington D.C. Admission cost is based on income. One third of total income each month to move into a military retirement home. Covers meals and some other stuff too though. Kind of like a nursing home with a private room and bath.

 

[MrPants]

How ignorant I am of housing costs, the only cost that I have paid is insurance and council tax. Home ownership, as in mortgage paid off a very long time ago makes me realise, seeing those rental figures, just how fortunate my wife and I are.

You've done the right thing! Not investing in Real Estate when one is young is a critical error in terms of building wealth.
Yes it may be hard in the beginning to afford those mortgage payments along with the other costs that come with home ownership but Real Estate is an investment that continues to appreciate; before & after the mortgage is paid off. Rent is merely an ongoing tax on living with no return on investment.

 

[oscash]

My son has recently moved out of a rental. He had all the carpets cleaned and the oven cleaned. Now the owners have said the windows in the 2 bedrooms and the large sliding door needs to be cleaned. These windows are up to 8ft. square and the sliding door is 12ft wide. My son said that he never had to clean windows whenever he left previous apartments. Do you think he should be made to clean them?

 

[Aunt Bea]

I’m ok with renting at this point in my life because I’m able to invest the money that would normally be tied up in a home to provide additional income.

I agree that buying a home with a small down payment and a mortgage can be a great forced, inflation protected, savings scheme for the average person if they start early.

 

[Aunt Bea]

My son has recently moved out of a rental. He had all the carpets cleaned and the oven cleaned. Now the owners have said the windows in the 2 bedrooms and the large sliding door needs to be cleaned. These windows are up to 8ft. square and the sliding door is 12ft wide. My son said that he never had to clean windows whenever he left previous apartments. Do you think he should be made to clean them?

IMO the landlord is looking for an excuse not to return the security deposit or maybe get some free labor to do a bit of cleanup.

I believe that leaving an apartment ‘broom clean’ should be sufficient unless there are specific items like cleaning the oven listed in the lease.

 

[Bretrick]

I’m ok with renting at this point in my life because I’m able to invest the money that would normally be tied up in a home to provide additional income.

I agree that buying a home with a small down payment and a mortgage can be a great forced, inflation protected, savings scheme for the average person if they start early.

I will assume the lease states; On vacating, the premises must be of the same standard as when the tenant moved in.

 

[willnbugs]

My son has recently moved out of a rental. He had all the carpets cleaned and the oven cleaned. Now the owners have said the windows in the 2 bedrooms and the large sliding door needs to be cleaned. These windows are up to 8ft. square and the sliding door is 12ft wide. My son said that he never had to clean windows whenever he left previous apartments. Do you think he should be made to clean them?

When I lived in apartments ( a very long time ago ) I never cleaned windows. I think that the landlord is being petty. But my opinion is worth zippo.