Hidden costs of owning a home are rising
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- čas přidán 11. 04. 2024
- Homeowners are paying around $15,000 per year on top of their mortgage, according to data from Bankrate. Greg McBride, the chief financial analyst for Bankrate, joins CBS News with a look at the rising costs of owning a home.
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taxes and insurance are not hidden costs.
Why aren't we talking about contractors? I feel like I've had several contractors try to rip me off for certain tasks. Like one guy tried to charge me 24k to side a house that was 1500sq Ft. Another person said 5k for a new front door and it could be done in a couple hours. For reference, I had a door replaced for 600 which was a little less complicated. I heard something on youtube about a landlord who was charged 18k for a new roof on a house that definitely did not seem to need an 18k for a roof and didn't seem like it was more than a days labor. I do think contractors need to be well compensated fairly but it's a little out there these days.
Agree, I was gouged $4,000 for replacing just 10 feet of drainage pipe under the kitchen
There are shysters in every profession, but that's a great example of why many citizens are afraid to own a home. Better to pay rent and let the landlord deal with the big issues. At least they can budget for a known rent amount. Homeowners should learn about how a home is built and how to fix/maintain things, and CZcams is your friend in that. Even if you choose to pay others for repairs, at least knowing the nuts and bolts of the issue goes a long way towards avoiding being ripped off.
Need a news story 'Hidden costs of living in your vehicle' so more Americans can relate.
😂
Living in my car as we speak so I can build off grid home.
Vanlife is the future. It just makes more sense to stay in car until you can buy a home in cash at this point
@@lostintranslation57 Van has to be comfortable or you will get health problems and not be able to work. There has to be enough space and air has to comfortable enough to rest or sleep 🛌 to function.
Bought my house in 2006 and real estate taxes were $3180 and in 2023 they were $8300. That’s a 161% increase. Only wish my salary increased that much over the same period.
My full coverage Blue Cross medical 360 a month.
Obama care
My full coverage Blue Cross medical 1160 a last month.
and never a claim
That’s why people prefer to pay up for homes in California. There’s no sanity in cheap states like Texas or Florida where property taxes can skyrocket from year to year.
Ouch, that's quite a jump. You don't live in either CA or FL as their annual property tax increases are capped at 2% or 3% respectively. And if your state doesn't allow for voter introduced propositions it's not likely to ever get such a cap on increases.
@@MichaelChengSanJose Thanks to not only high property tax rates but insurance and other factors, FL is no longer cheap. But homestead your FL home and annual property tax increases are limited to the lower of 3% or the Consumer Price Index. Edit: and to ignore not only the high income tax that CA high earners pay but the higher than average sales and gas taxes all Californians pay is not telling the whole story.
Greed was the answer missing here
Where I live things have completely flipped in 20 years. When i first moved here I bought a 3000 s f. house for $225K. For a decade the neighborhood had people with cars like Escalade, Navigatior , E-Class , etc. Now, a 3000 s.f. house costs $800K, and the neighborhood is full of CR-V, Highlander, Accord, Camry etc.
so people stopped buying garbage american and euro cars that break every other month, for something more reliable, and only because the economy forced them to, lol america
So basically with all those Additional cost and property taxes rising, most can't afford to stay in their own homes
Same here. Live in Beaverton Oregon. Got my house in 2003 for 265k 2100sq ft corner lot. It’s worth 550k now. I just paid off my house. I was paying 1400 month. The same house close to me is a rental 3400 month! I am the only Blue collar guy in my neighborhood. We have doctors, etc in my neighborhood. It’s just the older side of the suburbs now. We had all BMW etc. Now it’s KIA. The younger generation don’t care about their cars also. Anyone under 40 pays for landscaping and car repair. I do it all myself….
The American nightmare….
you can thank Democrat and the Biden!!!!
This doesn't really matter to most people, because most people can't afford a home. Ever.
You mean LLCs and flippers can afford a home. That is 75 percent of the sales in my area. Speculator hot potato. These homes sell for new, fake prices, then no one ever moves in.
And you never will bc those of us with interest rates under 4% will never sell.
@@inthevault9603 luckily at least a third of every homes sold in the past 3 years was to fickle get rich quick, flippers or investors. And in many hit areas it was well over 50 percent. If they can’t rent or flip for a profit, then will sell. and of course other sell for a variety of other reasons. There are plenty of severely overpaid for homes in the hands of flippers and investors and it’s getting really late in this Ponzi scheme
@@inthevault9603 Good for you.
Speak for yourself, more than 60% of us can afford homes. Stop making excuses for why you're poor
We only get one life. Our 30s and 40s most would say is our prime. But most of us will not be able to fully take advantage of our energy and youth and be able to travel and own a home and live the basic dream we were told we would have if we just worked hard and went to college. That being said, we still have it a lot better than the old days. My car is probably more comforable than a hut in the cold
"Time is the only resource for which no creature may bargain..." --DD1
🐲✨🐲✨🐲✨
@Novastar.SaberCombat nice I like that
@@ferrugenfish Tagline to book one of an intelligently crafted series.
You also didn’t have to fake your entire personality at work all day in the olden days but you may encounter animals I guess
How to buy a house.
1. Be a silver spoon baby
2. Win the lottery which you wont
3. ...
Coin, connections, clout, crews, computer code, control, chance (luck), communities, and opportunities are required for anything or anyone to be a success. Without 'em, nothing and no one can truly flourish. Sadly, only maybe 1% of the global population can achieve or possess these things. It is what it is.
Be able to throw a 90 mile/hr fast ball
Job skills?
@@thejuicerr That will work too. Granted the occupational choice can last the duration of the mortgage contract.
4. Have an education that is relevant. Can't believe people think engineers/Drs/lawyers should live the same as someone who has an arts/accounting degree.
I am moving out of my house because I can't afford my mortgage anymore 😢 home insurance tripled after the wild fires in southern Oregon
So sorry to hear that.
@@Omar_Zazzle I'm gonna make a good thing from it- I'm using the money I make from selling to pay for nursing school. Maybe, someday I will own again but for now, I get to be a broke homeless student 🤓
I feel that my insurance payment went up $500 a month out of nowhere, luckily I am prepared for it, still insane
Bought a home in 2010 but only because of the 1st time home buyers $8k tax rebate. Wish i would have sold after 3 years and used that money to buy a small piece of 1 acre land to place a tiny home on that land. My home has equity now but crunching the numbers all of the money i would have saved by owning land and a smaller home i could have maxed both my 401K and a Roth IRA and that would have set me up for a more beneficial retirement. My plan now is to buy land and the tiny home and use my house as a rental to pay for that venture. Mortgage is not that bad , but upkeep. The Property taxes, the insurance, the HOA all drain you. god forbid if your AC unit or the Air Handler go out. And dont even start with needing a roof replacement. Be ready to spend $15k minimum
Someone thinking too much about Roth and 401k lol , u max that out only if your employer is matching it
If not speak with your bank about target retirement plan , like money marketing accounts , there’s different stuff u can put money into that will let it grow quicker and then u work your way to hyper compounding with all your accounts
Stop thinking small
Don't let this scare you, working full time there are years my house made more than me just sitting there. Try to get a low HOA and don't buy in a flood zone etc. You'll be fine.
Sure you will. Trust internet guy.
Do not buy anything with a HOA
@@ImVeryBrad unless you're buying a farm in the middle of no where it's unavoidable, everyone says that but it's unrealistic, mine is $50 a month though, some places charge hundreds
@@Delfontes depends on where you live.
@@ImVeryBrad Definitely does. No HOA in my neighborhood nor in many surrounding neighborhoods. I had a condo at one time which did have an HOA. Never again.
I just bought and knew there will be be extra costs but wasn’t expecting I need a subscription for termites service and subscription for the AC filter that has been installed in the attic.
Definitely don't need subscriptions for either of those.
Learn to do yourself
Both are do-it-yourself tasks. Paying someone to change an air filter is insane.
Bro just go up to the attic and change it , it’s like any other filter lol
@@cormaro1376 there is no stairs nor ladder to the attic, it’s just a rectangle shaped hole, and I’m a young female, don’t have such a tall and heavy ladder and afraid of the height and dark attic
I’m just a maintenance man and my wife is a dental assistant. We got approved for a 350,000 home we are going to buy in San Tan Arizona. I may have to work late or on weekends to make ends meet but last time I checked, my father did the same for me and so did his father. So really there’s nothing new here people. Just get out there, see what you can afford and buy it. Don’t let these videos get you down. Believe
Actually they aren't rising. INFLATION and government spending is sending all commodities sky high.
With all the reasons the people in charge of raising their prices everywhere, they always leave out they're also making alot of profit off of it! They blame it on inflation. But never on themselves. They need to remember the old saying You can fool some of the people some of the time. But you can't fool all of the people all of the time. Though I guess in reality they don't need to remember that because they know they can just keep raising prices whenever their own personal bank accounts needs adjusting. Not just yearly, but monthly, weekly, even daily.
This some 🐂💩
😁
Great, I'll save up to have half an Airbnb -- the "air" half.🙄
Our monthly mortgage payments can eat up our entire paycheque of the month
Then you have too much house
Maybe you can rent out a room in your house to help cover your expenses. I’ve seen neighborhoods where people even rent out their garages - they convert it into a bedroom.
Sounds like you took on more than you could handle.
It’s greed beyond belief. Everybody says inflation. Just say what it is. It’s greed. Repairs have gone up because the repair guys say their prices went up due to inflation. They just say that so they charge you more money. Insurance is local but all insurers are saying it’s due to inflation. Rents are high but I raised my rents by $10 only not $500. My drywaller wanted $10,000 to do one floor. I did it myself and the material only cost $500.
The cost of home insurance going up disproportionately to the entire market is a large % of owning.
Insurance is a ponzi scheme and scam.
Property tax is the biggest hidden costs of all. They should based it on the purchase price of your house and not a virtual value.
I guess it's time to go back to building our own homes and fixing our own plumbing and electrical needs.
You call for an electrician? This millenial sure doesnt
Thanks Blackrock!
I’m so not ready to buy a home simply can’t afford to buy home and not want to deal with unexpected costs. Utilities and insurance keep going up
Housing whether as a renter or not costs a lot of $. Hidden tax incentive of owning: if you live in for 5 yrs, there is no tax on the gain. Saved us about $20k in taxes on our 1st house. This type of story is not helping anyone - if you can afford it, buy it.
I have a 3 year old Trane Compressor under (parts) warranty that broke, it's going to cost me $2000+ for labor and refrigerant (yes, even under warranty) to fix.
How can the appraised a home $655,000 and when we tried to put it on sale , they said I could only ask for $321,000?? Who is doing the math??property taxes should only be redone when people said their house. Seniors should be exempt from taxes unless they sale or transfer titles, other ways there's a lot more people going to be living in tents because this is going crazy
These costs are only hidden for the smart ones who think their rent payment and a mortgage payment are directly comparable.
Important to do your own research before buying a home. Realtors and lenders will tell you that you can afford a home $100-200k more than you should really target.
Renters pay these cost too. Insurance and taxes and HOA’s and a little bit to cover maintenance costs are all included in the rent.
On a side note, he basically said cities and municipalities are raising taxes due to budget constraints because of the pandemic. So who’s driving up home values?? Big cities are.
i made $3000 this week changing oil on lawn mowers
That’s it lol , I make that in 2 days from selling green 😂
I make that while I sleep
@@cormaro1376 Sure you do 😂, bet despite that you're still magically poor
@@Bonafide188 😂 if driving a 2024 and having assests means I’m poor , I guess we are in two different brackets , don’t be salty cause 3k seems like a lot to u 😂
@@cormaro1376 Your "Assests" = PS5 and a NFT of a 2024 vehicle 🤣
Where are all those cheap homes going for $2-3K mortgages? Starter homes in the Bay Area require $10-14K a month for mortgage and property taxes.
I own 2 house and it’s waaaay cheaper than renting
Good this evil world is not home
I don't know why everything expensive
Because they printed trillions of dollars.
Because elite want Modern Day Slavery and by raising prices forcefully on you means you have to go work more to maintain what you have so shut gets done for the evil elite.
At this point I’m totally fine with not owning a home. I rather just put in a repair request with the landlord and be done with it.
We work hard to keep the nepo babies socially isolated 😂
Inflation or greedflation?
I don’t want to hear this….take it back so that it isn’t true
HI CBS NEWS TV
Inflation is great for asset holders, top 10% holds 90% of all assets, because their assets inflate faster than inflation yet the poor people who has no assets get stuck with higher prices. Those stimulus actually made poor poorer and rich richer although at first it looked like stimulus was good for the poor
Squatters?
My insurance and taxes arent that bad. This is not all markets. $15,000?!?! Idk about all of that.
WA, OR, CA, NY all have high housing cost and property taxes you must live in a cheap state. This is common in many states.
@@Sryker Not everyone lives on the east or west coasts. That said ... $15,000 isn't that far off for me in Atlanta, either.
Unless you buy new…. You have repairs and yea… it’s about $15k if you keep up on everything.
@@richardsteiner8992 I know it can vary wildly between states. I moved from WA to TN and my property taxes alone went from 8K a year to $1200 and my home in TN has a bigger lot and house than the one I had in WA. Since I moved in 2018 its got so much worse,
Large purchases, generally tend to be emotional decisions. Emotional decisions eventually meet Increased realism when the euphoria fades away. Naivety allows people to fearlessly enter situations they are not prepared for. Cycle of life.
The intended outcome of releasing Covid is shaping up nicely
2 things, number 1, this is a economic problem, so much for “Bidenomics”
Also 2, don’t have a mortgage or pay it off asap by making extra payments.
More ways to make our bank account be smaller. Cool.
Damn, they really don’t want you owning homes 😂.
“No, no citizen! You really don’t want hard assets. Ignore the fact all the wealthy and businesses are buying single family homes. You don’t want none of this! “
Or you can stop making excuses for your impoverished state
already had the plan set in motion
I love renting 😊
What will you do when the rent goes up?
Rent always goes up, never down. At least a mortgage payment remains the same for as long as you’re tied up to that mortgage contract.
@@Lourdes-A.but insurance and taxes doesn’t never go down. So basically both renters and buyers are renters. Stop paying those taxes or stop paying rent and see what happens😂
@@jbarkley4938653 Insurance and taxes don’t decrease, but a buyer can avoid paying homeowners insurance as well as avoid paying a mortgage, if he buys a house all cash.
There are property taxes that still need to be payed.
@@jbarkley4938653 if you compare rent to taxes and insurance rent is always more unless you have really expensive taxes. So average taxes might be $3000 a year and average rent is 24,000 a year. And you still need renters insurance.
....did the news lady just ask him why prices are up?... lol. As if we didn't just print a zillion dollars a few years ago and inflation isn't a matter of mathematics.
Thanks, 🇮🇱s
We're all gonna die.
When you pay rent, guess what costs are rolled into that payment??
This is a myth. Rental market is determined by supply and demand and not by the landlords personal expenses. Many landlords are operating in the negative just to try to get equity growth long term.
@@matthewphillips5483 Ah, it all makes sense now. You have no idea how finance works, or how goods or services are priced. Have fun in your rental 🤣
@@Bonafide188 It appears you don't. Otherwise, you would be able to explain why a SoCal house can rent for $4,000/month when the same home would be $8,000 total mortgage payment to buy. Have fun fixing my roof when it needs repairing. :D
Bidenomics!
In Canada, it’s Trudeaunomics lol
Yeah, one guy caused all of this.
@@InTonalHarmony mortgage rates doubled since Joe Biden was put in office.
What about all the money printed under Trump? Also, wasn't Jerome Powell appointed under Trump's tenure?
can we blame this on trump??? 😅
Trump created inflation too.
Bidenomics
Trump didn't sign the CARES act?
@@matthewphillips5483 signing the Cares Act was to help American citizens. Home costs were still low. Gas was still under $2. Groceries were affordable.
Then Biden gives trillions of taxpayer dollars to other countries. Steals billions of taxpayer dollars to bribe college students. Invites millions of undocumented people to invade our country and to live off of handouts. Home costs, gas, groceries etc are all at an all time high.
Prices now have nothing to do with the Cares Act.
Blame California
Why blame just one state?
Try Hawaii, New York, Florida, Massachusetts, Connecticut, where real estate prices are over inflated.
The blame is in our US government - our economic system.
Still cheaper than renting....
Where at? Buying now is more expensive than renting in any metro in the nation.
Both are no longer affordable.
Property taxes are going up pushing people out of there homes everyone is suffering
Vote for joe
3 year inflation
Median household income - 3%
Retail Gas +39%
Ground Beef, +37%
Automobiles +34 %
White pan bread +33%
Sliced bacon +19%
Milk + 18%
Deodorant + 38%
cooking Oil +36%
Eggs + 41%
Bleach + 43%
RAMEN + 43%
Dog Food + 36%
Snack food and chips +27%
Auto repair and Tires +26%
Median household income - 3%
Behind the eight ball
Trump signed the CARES act. Look up how much money that pumped into the system.
My household income has done nothing but increase. You live under capitalism, make your moves accordingly and you wont have a problem.