My Parents Want Me To "House Sit" Their Home For 5 Years!

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  • čas pƙidĂĄn 7. 08. 2022
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Komentáƙe • 460

  • @jasonbroom7147
    @jasonbroom7147 Pƙed 2 lety +289

    I almost never disagree with Dave, but his personal obsession with owning real estate is causing him to miss the tremendous gift this guy's parents are offering him. To live anywhere, rent/mortgage free, for 3-5 years, is a true blessing. Avoiding those costs for that period of time would allow him to become 100% debt-free, invest the balance of what his home sold for, AND invest the money he would have otherwise been paying for housing. This is a great time to sell a home, a horrible time to buy one, and this guy gets 3-5 years to save toward buying his next home with CASH? What if the parents decide to keep both homes and just come visit once in a while, but their son and his family can just keep living there? If your income is your greatest wealth-building tool, and debt is the biggest impediment to building wealth, then avoiding the costs of a mortgage or rent just frees up more money to become wealthy. Imagine how wealthy we would all be if we never had to pay rent or a mortgage in our lifetimes!

    • @WarrenGaum
      @WarrenGaum Pƙed 2 lety +7

      My property tripled in value in five years. Your money can't do that in a bank.

    • @jewelswinfield
      @jewelswinfield Pƙed 2 lety +11

      I agree, let's not forget, free for 3-5 years in a 1.5 million dollar house. Obviously, the parents aren't hurting for money. The kid is 30, parents in their 50's or 60's. They might just leave it like that till they will it to him. He knows his parents better than anyone.

    • @WarrenGaum
      @WarrenGaum Pƙed 2 lety +4

      @@jewelswinfield my wife has been willed a multi million dollar hotel. We still building up our own nest egg. If he gets the house later on then it's a score. Don't count your chickens before they hatch

    • @jasonbroom7147
      @jasonbroom7147 Pƙed 2 lety +9

      @@WarrenGaum - OK, so he keeps his current home, lives in his parents' house, pays off everything and rents out his own house until they want theirs back.

    • @WarrenGaum
      @WarrenGaum Pƙed 2 lety +7

      @@jasonbroom7147 yes. That's how you keep building wealth.

  • @dyarger
    @dyarger Pƙed 2 lety +346

    I feel like this is a situation where mom and dad have a bunch of money and they are trying to do their kid a favor.

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +12

      No such thing as a free lunch

    • @clarifyingquestions
      @clarifyingquestions Pƙed 2 lety +15

      Don't make decision on feel - love Dave s response. Lock it down in writing. Then it will be clear what kind of favour they are trying to do or not do for their kids.

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +2

      @@ViggsPR true. But on ave. Things go bad a lot.

    • @Ka_Gg
      @Ka_Gg Pƙed 2 lety +5

      @@PInk77W1 yeah but you said no such thing....that's different than on average.
      There are many well off ppl that give their children benefits with no conditions. Idk if this is it.

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +2

      @@Ka_Gg giving kids stuff is way different
      Than living in their home for 5yrs

  • @lyndalamb3221
    @lyndalamb3221 Pƙed měsĂ­cem +31

    The parents may be keeping this house in case they don't like living in FL. How is it not a good deal to live rent-free for a few years and save the rent to apply to debt and future house purchase?

    • @o0usf0o
      @o0usf0o Pƙed 18 dny

      I feel like investing the money you save on mortgage and interest payments would more than make up for lost equity too

  • @miketheyunggod2534
    @miketheyunggod2534 Pƙed měsĂ­cem +19

    They don’t know if they’re gonna like Florida. If they don’t, they want the opportunity to move back to their house.

    • @joygarrett8397
      @joygarrett8397 Pƙed měsĂ­cem +3

      Exactly!! So there needs to be some kind of agreement between parties about how much notice is needed if parents decide to move back!!
      Also, if parents house is a lot bigger, utilities/insurance/property taxes etc are going to be a lot higher!
      Are the parents still going to pay the property taxes & insurance? Unanswered questions . .

  • @MrMrDrummerguy
    @MrMrDrummerguy Pƙed 2 lety +76

    Dave wrong on this one. It’s rent free, stack your money

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +3

      Don’t get involved with family
      Shady

    • @LauraLParr
      @LauraLParr Pƙed 27 dny

      that's a five year commitment!

    • @scrapykat3028
      @scrapykat3028 Pƙed 26 dny

      Capital gains
 you need to buy or pay big taxes!

    • @user-yb5bg8im5g
      @user-yb5bg8im5g Pƙed 24 dny

      you would think dave would be on this like white on rice...

    • @user-yb5bg8im5g
      @user-yb5bg8im5g Pƙed 24 dny

      @@LauraLParr cool
      paperwork in place, go for it.
      contracts, uber alles.

  • @ESponge2000
    @ESponge2000 Pƙed 2 lety +292

    If they are getting to live there rent-free then come on that’s still not too much worse than buying. They can save up like crazy

    • @Jessticks2319
      @Jessticks2319 Pƙed 2 lety +15

      It’s significantly better. Property is a big upgrade from the house they are in 
 so quality of life is better. Then reinvest the money 
 Dave missed this one , poor advice

    • @phillipmoore6249
      @phillipmoore6249 Pƙed 2 lety

      @@Jessticks2319 false. You have a mindset which jumps over all moral values. Cool it’s cheaper. Cool they can save up. This is immoral & you know that

    • @finanzferdinand9874
      @finanzferdinand9874 Pƙed 2 lety

      He's paid off his house though so would be no better off

    • @Jessticks2319
      @Jessticks2319 Pƙed 2 lety +4

      @@finanzferdinand9874 yes they would be better off... take the money and reinvest in multiple income producing properties... while getting a residence that is morgtage and tax free for 3-5 years... people would kill for that opportunity

    • @BabyGators
      @BabyGators Pƙed rokem +2

      I was wondering why not rent out their current house and stay rent free at the parents?

  • @AussieZeKieL
    @AussieZeKieL Pƙed 2 lety +143

    He should rent his current house out to pay down his 35k debt and mortgagee while he lives rent free. That’s the no brainer move.

    • @Jumpman67
      @Jumpman67 Pƙed 2 lety +15

      There you go. You keep the house, keep building equity. Live in your parents house for free for a while and if things fall through you still have a place to go.

    • @jimroscovius
      @jimroscovius Pƙed 2 lety +3

      No - too much of a risk. Dave gave great advice here.

    • @cashkitty3472
      @cashkitty3472 Pƙed 2 lety

      Yep

    • @jimroscovius
      @jimroscovius Pƙed 2 lety

      @Chris W Nope, bad idea. Too risky.

    • @raleigh2747
      @raleigh2747 Pƙed rokem +5

      He already sold his house though

  • @kevinlam4773
    @kevinlam4773 Pƙed 2 lety +100

    Move into the free house and rent out your current home.

    • @maiaheiss2991
      @maiaheiss2991 Pƙed 2 lety +1

      Exactly!!! Did they already sell their other home?

    • @Howdy762
      @Howdy762 Pƙed 2 lety +1

      @@maiaheiss2991 yes they did

    • @pamsmith1665
      @pamsmith1665 Pƙed měsĂ­cem

      Current house already sold

  • @jeffr9854
    @jeffr9854 Pƙed 2 lety +203

    Without knowing the family it’s impossible to give good advice on this situation. If it’s truly no strings attached they should do this in a heartbeat.

    • @cesaravegah3787
      @cesaravegah3787 Pƙed 2 lety +10

      That is the key point "no strings attached" which when dealing with the family is tricky...I would draw a fair contract for both sides and go for it.

    • @jeffr9854
      @jeffr9854 Pƙed 2 lety +3

      @@cesaravegah3787 I currently have an adult child living in an apartment I own while he saves money. If he brought me a contract asking me to sign it I would laugh in his face. It’s not a purchase it’s charity.

    • @scottwible1532
      @scottwible1532 Pƙed 2 lety +14

      Live for free in the 1.5 million house, buy a house you can afford and would like to live in, and rent it out until the house sitting period ends.

    • @jimroscovius
      @jimroscovius Pƙed 2 lety +4

      That's why you do it as a business deal. Have papers drawn up and signed. If the parents won't agree, forget it

    • @jimroscovius
      @jimroscovius Pƙed 2 lety +1

      @@jeffr9854 And your the reason NOT to do deals with family.

  • @TheBobbyBrown22
    @TheBobbyBrown22 Pƙed měsĂ­cem +39

    So according to Dave living rent free in $1.5 million home is a bad deal
 I feel really bad for all the people that take his word as gospel.

    • @thetaekwondoe3887
      @thetaekwondoe3887 Pƙed měsĂ­cem +6

      I swear he's not listening half the time, as well. He says, "I need a little bit more detail here," then proceeds to ask questions the guy already gave info for. This isn't the first time I've seen him do this.

    • @pama.6410
      @pama.6410 Pƙed měsĂ­cem

      @@thetaekwondoe3887 Dave definitely clarified the deal by asking his questions.

    • @kimberlyspencer3645
      @kimberlyspencer3645 Pƙed 29 dny +6

      I disagree with Dave. Live there for free. Save money while you live for free and buy a home you really want later.

    • @user-yb5bg8im5g
      @user-yb5bg8im5g Pƙed 24 dny +1

      @@thetaekwondoe3887 he's been ''1/2 way out the door'' for years.
      he needs to step down. his heart's not in it anymore.

  • @Crazyhorsedillpickle
    @Crazyhorsedillpickle Pƙed 2 lety +46

    The situation went right over these guys head
 keep his home, rent for free and save up 30k. Dave made it much more complicated.

    • @Jessticks2319
      @Jessticks2319 Pƙed rokem +4

      Yup there is no downside for the kids... worst case scenario is things go south and they have to move out of the big house live in temp housing for a month while they figure things out for long term... and thats WORST case.... No liability, opportunity to cut your expenses in half for 3-5 years, increase in quality of life and move up in house.... this is a no brainer.

    • @user-yb5bg8im5g
      @user-yb5bg8im5g Pƙed 24 dny

      @@Jessticks2319 dave ain't listening...

    • @Jessticks2319
      @Jessticks2319 Pƙed 24 dny

      @@user-yb5bg8im5g says the guy responding a yt comment from over a year ago , dumbass

  • @victors16811
    @victors16811 Pƙed 2 lety +137

    I am willing to do a house sit for free!!! ✋ where can I apply???

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +2

      They have a website
      Housesitting dot com

  • @livingunashamed4869
    @livingunashamed4869 Pƙed 2 lety +126

    I'm house sitting. Rent free and they can stack crazy cash over that time, they can't lose. Its not forever I'm doing it.

    • @jimmymcgill6778
      @jimmymcgill6778 Pƙed 2 lety +10

      Even if they decide to move back and not sell. All the money they saved, they can afford a house.
      Who cares about how much equality they lose in the Next couple years.
      You can't lose any if you don't have a house to begin with.

    • @Allergic2broke
      @Allergic2broke Pƙed 2 lety

      Lucky mf lol

    • @miketheyunggod2534
      @miketheyunggod2534 Pƙed 2 lety +12

      @@jimmymcgill6778 the money they save should offset any appreciation of home prices five years down the line.

    • @arrowknee7356
      @arrowknee7356 Pƙed 2 lety +4

      @@jimmymcgill6778 Especially as Dave here is making the same mistakes he criticizes others for. He isn't factoring in risk, he just takes house prices going up as an absolute. Which it is a very safe bet to say they will go up, but there is risk attached to that. Ignoring that risk as he does here is just silly.

    • @jimmymcgill6778
      @jimmymcgill6778 Pƙed 2 lety

      @@arrowknee7356 YEP

  • @TheVoidstonz
    @TheVoidstonz Pƙed 2 lety +97

    I think Dave is wrong here. He always tells people to go rent for a bit and save up money and then buy a house . So here these folks get to live rent free and save up money . I think this is actually a great idea. They don't have to stay there the full five years but at least until they save up a decent chunk of change.

    • @evanbrown5254
      @evanbrown5254 Pƙed 2 lety +4

      What I’d be curious about is what I have to pay if I was moving into this house. Would the parents pay for repairs?

    • @edwingarcia9626
      @edwingarcia9626 Pƙed 2 lety +3

      The truth is Dave wants housing to go up so bad and he doesn't really want people having an easy way

    • @jaskaranmangat4391
      @jaskaranmangat4391 Pƙed 2 lety +1

      @@evanbrown5254 no you’re living rent free attests pay for repairs here and there

    • @Jessticks2319
      @Jessticks2319 Pƙed rokem +2

      @@evanbrown5254 Yea they should discuss expectations with the parents like this, to make sure they are all on the same page... at the end of the day the kids have NO liability and its a sweet deal for them... but they do need to work through the gentlemen's agreement items like this, to avoid family drama and hurt.

    • @choicemeatrandy6572
      @choicemeatrandy6572 Pƙed rokem +1

      Dave is mad cause it sounds like the parents are getting the short end of the stick.

  • @screwdriver_bandit
    @screwdriver_bandit Pƙed 2 lety +16

    Dude is just as indecisive as his folks.

  • @lanceehrsam8296
    @lanceehrsam8296 Pƙed 2 lety +26

    Making this way to complicated. Just house sit it and go from there.

  • @ajsecretary
    @ajsecretary Pƙed 2 lety +27

    His parents are trying to help them. My dad would have done this and then sold it to us at the ‘family discount’ for helping him out. Most parents want to help their children. But I would be fine with an agreement in writing to make clear everyone’s expectations. Maybe just a lease agreement for a certain time period. Then let the parents do more if they choose later. This guy knows his parents and if he can trust the deal.

  • @tomcat8662
    @tomcat8662 Pƙed 2 lety +86

    Dave is focusing way too much on the missed appreciation of him buying his own house. The fact is, the amount of money they can save by living rent free in a $1.5 mil house for five years more than makes up for the appreciation of whatever house this guy can afford. They can stick that money in an S&P 500 index fund during that time and almost double their money. It sounds to me like the parents are the ones getting a raw deal. But they’re the ones who suggested it, so
.đŸ€·đŸ»â€â™‚ïž

    • @ImDahDude
      @ImDahDude Pƙed 2 lety +11

      Parents will do amazing things for their kids
 the problem is when the kid instead of following the advise asks the wrong person for a recommendation.

    • @matthewdievendorf9609
      @matthewdievendorf9609 Pƙed 2 lety

      No dave did not miss on him buying a house, he told him to go and be a home owner. Watch the entire video because he covers a lot of things to include him purchasing his parents home. At the end of the video he told this gentleman to not get burned!

    • @ImDahDude
      @ImDahDude Pƙed 2 lety +5

      @@matthewdievendorf9609 hey, this must be Dave’s burner account. Take a chill pill, bud.

    • @Jessticks2319
      @Jessticks2319 Pƙed rokem +1

      Yea the parents are wealthy and therefore likely intelligent enough to understand this is not a "deal" for them.... its a gift to their kids. Kids have NO liability here and should take it in a heart beat... the only way they could go wrong is if they locked their money up to where it is unreachable in the event the parents want them to leave at some point. They should keep a little extra in savings during this time... maybe an extra months savings on top of their normal 3-6 months. As long as they dont go crazy and overlevearge their money... they will make out really well, and have a improved quality of life for a few years.

    • @Jessticks2319
      @Jessticks2319 Pƙed rokem

      @@ImDahDude burn

  • @front331
    @front331 Pƙed 2 lety +106

    Ramsey makes a big deal out of everything. Just house sit, work, save money, pay off the debt. The parents are doing a favor. Don't listen to Ramsey.

    • @LIFEWITHTHEJONESES1
      @LIFEWITHTHEJONESES1 Pƙed 2 lety +8

      Exactly! As simple as that some people make a mountain out of a mole hill.

    • @Lesh004
      @Lesh004 Pƙed 2 lety +5

      Why are you even watching this if you don’t like Dave? lol

    • @droid2D2C3P0
      @droid2D2C3P0 Pƙed 2 lety +23

      @@Lesh004 literally never once did they say they don't like Dave.. you can disagree with someone and still like them jeez

    • @FATmenDRIVEtrucks
      @FATmenDRIVEtrucks Pƙed 2 lety +1

      Exactly

    • @Chele-nm4qx
      @Chele-nm4qx Pƙed 2 lety +12

      ❀ Dave but this advice is horrible!! Sounds like parents just want to try out Florida & their home is their fall back on if Florida is not somewhere they want to live. Pretty sweet deal for their kid. I hope they do it & don’t listen to Dave.

  • @jwise7777
    @jwise7777 Pƙed 2 lety +15

    Dave's totally wrong here. As long as there are no strings attached, it's a good deal for them. They can save up.

  • @toya1374
    @toya1374 Pƙed 2 lety +16

    Dave made this complicated. His parents wants them to stay in the house while they decide if they want to reside in Florida before they sale.

    • @choicemeatrandy6572
      @choicemeatrandy6572 Pƙed rokem +1

      With a hurricane coming, they might already have to reconsider only a month in.

  • @noahjenks2012
    @noahjenks2012 Pƙed 2 lety +15

    Buy a house and rent it out while you live for free

  • @googleuser8740
    @googleuser8740 Pƙed měsĂ­cem +5

    Buy a house rent it out and live rent in parents house free for 5 years. Then buy parents house using other property as colaterol for mortgage

  • @austinluepkes5484
    @austinluepkes5484 Pƙed 2 lety +6

    I think having the 215k invested and not having to maintain a home is far better than hoping to get rich off of home values 😂😂

  • @johnadams3418
    @johnadams3418 Pƙed 2 lety +7

    Sounds like Mom and Dad are hedging the move. They think Florida is right for them, but want to keep their current home as a fall back plan in the event they do not like Florida or decide to make half time between Florida and current home work.

  • @michigangreen1915
    @michigangreen1915 Pƙed 2 lety +73

    My parents and grandparents did this exact same thing in 1986 with the expectation that my parents could buy it but in 1994 my grand parents showed up with all their stuff and said we are moving back in! No notice no nothing. My parents left with my sister and I and it caused so much hate that my grand parents died after not speaking to my dad for 20 years. This is bad idea

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +6

      Yikes so sad.
      But so obvious

    • @naca1553
      @naca1553 Pƙed 2 lety +2

      Oh no!

    • @yarrdayarrdayarrda
      @yarrdayarrdayarrda Pƙed 2 lety +9

      So long as it's a written agreement with an agreed upon end date I see no down side. Pile up cash during the cheap rent years.

    • @KittyM-
      @KittyM- Pƙed 2 lety

      Correct, sadly. Such agreements are almost never legally binding, and family members can lose heavily. Everyone might be acting in good faith when they enter the agreement, but greed can creep in over time. Especially if resentful inlaws are in their ear, month after month.

    • @taylenzz
      @taylenzz Pƙed 2 lety +2

      @@Imaginary_Life_UK I was thinking the EXACT SAME THING!!!! I was talking to my realtor, and he has clients that haven’t paid there mortgage in 18mos due to the pandemic, and are in the best financial situation they’ve been in for years!!!! So entitled!!!!

  • @taniagarrison6216
    @taniagarrison6216 Pƙed 2 lety +17

    " Do this like it's with strangers"
    Yes! Things happen.

    • @californiadreamer2580
      @californiadreamer2580 Pƙed 29 dny

      Having a written legal contract is always a good idea even if it is family.

  • @davidsensing2664
    @davidsensing2664 Pƙed 2 lety +4

    Caller should rent his house and stays at parents house. Gains would still be exempt from tax as long as it was their primary residence for two of prior five years before sale. Rent it for two years and then reassess. They would still keep equity growing.

  • @linhaton4957
    @linhaton4957 Pƙed 2 lety +11

    It makes perfect sense to me. Dave is wrong on this one.

  • @sarahh9169
    @sarahh9169 Pƙed 29 dny +2

    The parents are doing them a favour, its rent free!

  • @Ka_Gg
    @Ka_Gg Pƙed 2 lety +20

    Also, can't rule out that they are actually just planning on giving him the house without saying it. These ppl just need to be honest about the whole situation though.

    • @raleigh2747
      @raleigh2747 Pƙed rokem

      They aren’t planning In giving it to him if they aren’t willing to say it.

    • @Ka_Gg
      @Ka_Gg Pƙed rokem

      @@raleigh2747 lol. Don't be surprised.ive seen many ppl who give things to their children but never word it that way

    • @bettywith2girls
      @bettywith2girls Pƙed 29 dny +1

      @@Ka_Gg Or give them an excellent price...like 1/2 the market value that they would normally have sold it for. Give them quite a deal.

  • @shola7987
    @shola7987 Pƙed 2 lety +24

    Rich people problems

    • @user-wq5ws1qs7x
      @user-wq5ws1qs7x Pƙed 2 lety +1

      It’s not a rich thing. Sounds like a lifetime of good choices thing. Having a paid off home at retirement is normal.

    • @TwistIsFly
      @TwistIsFly Pƙed měsĂ­cem

      @@user-wq5ws1qs7xdef rich people problem. The family probably has 5M+ net worth to just let the kids live in their 1.5M home (cover taxes/mortgage) and not need any of the money from the house sale to buy a new house/lifestyle.

  • @meliling158
    @meliling158 Pƙed 2 lety +4

    Why cant they buy something else and rent it out, and live rent free, and pay off heaps off the rental?? SOmetimes take gifts where it's offered and use it to get a leg up.

  • @Melissa-jp8ps
    @Melissa-jp8ps Pƙed měsĂ­cem +2

    Get in writing of course, but living rent/mortgage free for up to 5 years can make a HUGE difference in the trajectory of your finances

  • @cabayern9416
    @cabayern9416 Pƙed 2 lety +4

    A lot of money could be saved in 60 months.

  • @Lesh004
    @Lesh004 Pƙed 2 lety +41

    My fear would be mom and dad deciding to come back or selling and then not finding a house for myself. I can see that would be where they’d get burnt. Not to mention the lifestyle creep due to not having a mortgage. If the parents could guarantee a set time frame then I’d do it and invest the money. And continue to add to that investment.

    • @truther001
      @truther001 Pƙed 2 lety +5

      The parents own two houses already. They obviously have money so it's doubtful that they will skrew their son. There are parents who put their (adult) kids' needs above their own. Sounds like they want to help them save money and save face. Making the whole thing legal may leave a nasty taste in the parents' mouth.

    • @sobeliever1638
      @sobeliever1638 Pƙed 2 lety

      Shy wohld the parents do that? Unlikely if they have a good relationship.

    • @giainto5564
      @giainto5564 Pƙed rokem +1

      Actually, this is not a bad risk to consider. My neighbor’s “real” owner, aka their family member, decided to sell their home on a whim. Dunno if they got into a financial emergency or what happened. My neighbor (i.e. not the real owner) had to move to a rental fast.

  • @THEECYBERMACKIN
    @THEECYBERMACKIN Pƙed 2 lety +9

    People are so ungrateful these days,

  • @lkj0822g
    @lkj0822g Pƙed 2 lety +10

    Sell your house for $250k, invest that money in a S&P 500 index fund, live in a $1.5M house for the next few years rent free, take what you would have spent on the old mortgage and get the $35k in loans paid off (most likely, will take about 12 months), and then start saving like crazy for the next house. Locking in a "right to purchase" is probably a good idea, not so sure that filing that option on the deed is necessary with Mom & Dad as that might be the start of conflict with them.
    Question not asked was whether they lived in their former house for two of the past five years and will be able to exempt capital gains tax on the sale. If not, they are going to have to set aside some of the proceeds to pay taxes next year. (Dave never considers taxes in his advice).

    • @mph5896
      @mph5896 Pƙed měsĂ­cem

      That is a good option. BUT any profits made on the index, you are paying taxes on. Any profits on a primary residence is tax free.

  • @Vydio
    @Vydio Pƙed 2 lety +17

    I don't get Dave's problem with this .... would the caller be better off paying rent? As an aside, as to why his parents haven't sold their house, DH and I were advised to wait a couple of years by the mortgage broker if it was financially possible. Many people move to places like Florida (in our case it was Texas) and discover they don't really living there as much as they thought they would.

    • @fnordiumendures138
      @fnordiumendures138 Pƙed 2 lety +2

      That's the problem. If they find out they don't like it in Florida, the whole deal is suddenly off.

  • @marioantoniocrespoMexican92
    @marioantoniocrespoMexican92 Pƙed 2 lety +2

    I’m 29 year old not married & don’t have any long term relationships. & I have no kids yet. Not everyone wants to have kids. I love being childless

  • @az21bob666
    @az21bob666 Pƙed 2 lety +7

    house will go up in value, SO you not paying rent that lot of money you can ADD into buying a house.

  • @gtf5392
    @gtf5392 Pƙed měsĂ­cem +2

    This sounds like a win-win for both sides. They get to live rent free for up to 5 years and save up a ton of money. If they see a house they really want to buy, they can always buy that and still house sit by dropping by every couple weeks. And, it gives the parents the option of moving back if FL doesn’t work out.

  • @stevefavela9179
    @stevefavela9179 Pƙed 2 lety +3

    The best move is moving into your parents house for free while still buying your own house and renting it out meanwhile and saving money like crazy

    • @S_L_W
      @S_L_W Pƙed 2 lety +2

      My thoughts exactly!

  • @mc95897
    @mc95897 Pƙed 2 lety +8

    Maybe not a popular opinion but if they hadn’t sold their house. Rent it out for whatever the mortgage is while they stay in the parents house rent free. Once they’re ready to sell they’d have the equity, debt paid off and a decent dent in their mortgage for them to move to their new home.
    Edit: the mutual fund option could be good too but real estate right now seems like a decent option to leave the money to grow for 3-5 years

  • @roberthall6161
    @roberthall6161 Pƙed 2 lety +5

    Protect against squatters

  • @Chele-nm4qx
    @Chele-nm4qx Pƙed 2 lety +5

    What? What’s wrong with this deal? He can stock pile his money for 2-5 years & afford a nicer house. Where’s the downside?! đŸ€·đŸ»â€â™€ïž

    • @canadianjatti
      @canadianjatti Pƙed 2 lety +1

      the downside is the nicer house will cost more in the future so if he wants his parents house it would be best to lock in a purchase price now as this house will continue to appreciate

    • @kj7653
      @kj7653 Pƙed měsĂ­cem +1

      The other problem is that after you have lived in a million dollar house, it is pretty hard to return to ordinary.

  • @KeatonDee
    @KeatonDee Pƙed 2 lety +3

    Rent out your current home, pay off that 35k while house sitting for free at your parents place. No brainer.

  • @kevinmiller1023
    @kevinmiller1023 Pƙed 2 lety +2

    2-5 years?!?! Sounds like the parents JUST bought the house and are wanting to sell for profit. But they need to avoid capital gains tax.

  • @jedsiegel861
    @jedsiegel861 Pƙed 2 lety +3

    better advice. keep their original house and rent it out then live in the parents house

  • @thelimey351
    @thelimey351 Pƙed 2 lety +11

    It _IS_ a good deal for him, live in the house for free, buy your house *OWN* house & rent it out - really, how hard is this to work out? đŸ€Šâ€â™‚ *Very poor* from Dave...

  • @38motocross
    @38motocross Pƙed 2 lety +2

    Move into the house, rent your current home. Throw every mortgage payment at the debt.

  • @sandiweidler8862
    @sandiweidler8862 Pƙed 2 lety +5

    I think Dave missed an opportunity to tell the young man to go by his own house and then have renters living in it to pay the mortgage, yes I understand the interest rate or the tax write off might suffer from that. But he could still put away a pretend house payment and save a bunch of cash all the while having his owned home with the renters being paid, and at the end of the five years he may have enough cash to go buy another home.

  • @NTUser1
    @NTUser1 Pƙed 2 lety +9

    I feel like Dave missed the mark on this one

  • @ikotsus2448
    @ikotsus2448 Pƙed 2 lety +8

    Why would the parents do this, as their whole purpose is to have the option to return to their old house if they do not end up liking their new location?

  • @azteca6695
    @azteca6695 Pƙed 2 lety +10

    I'm house sitting and saving as much as I can

  • @JustinCase780
    @JustinCase780 Pƙed 2 lety +19

    I feel bad for this guy getting a 1.5M house rent free for 3-5 years and Papa rains on his parade. đŸ€Ł

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +1

      Never mix family with business

    • @JustinCase780
      @JustinCase780 Pƙed 2 lety +1

      @@PInk77W1 But it's not "business". It's family and it's the parents house. đŸ€Ł

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +1

      @@JustinCase780
      It’s business. People end up suing each other so much because of these deals.
      Parents. Just sell your house
      Kid. Just buy a house in your budget.
      90% Chance this deal goes south

    • @JustinCase780
      @JustinCase780 Pƙed 2 lety

      @@PInk77W1 Suing each other. đŸ€Ł

    • @reesercliff
      @reesercliff Pƙed 2 lety

      @@PInk77W1 I’m sorry you hate your children

  • @kimberlylepine5115
    @kimberlylepine5115 Pƙed měsĂ­cem +4

    Dave nailed this response. They would be enabling indecisiveness to just go along with the plan as offered, and they need to protect their rights to where they are living.

    • @meganhoch9150
      @meganhoch9150 Pƙed 29 dny

      Right if they had a clear cut plan and knew they wanted to keep the house in Georgia it would be a better deal.
      Dave doesn't want to see them homeless because there parents told them they were keeping the house and then suddenly changed their minds.
      I think all the expectations of responsibilties for the home, if utilities are covered by parents and taxes. All that needs discussed.

  • @chuckiedavidson719
    @chuckiedavidson719 Pƙed měsĂ­cem +1

    I would live in that house rent free and save up a ton of money. Especially with there being no expectation of them buying the house at the end of 5 years. With the equity in his home plus what he can save live rent free for 5 years he’ll probably be able to pay cash for his home in 5 years.

  • @charleschristinemazza
    @charleschristinemazza Pƙed měsĂ­cem +3

    Dave is right this is a hell no. Family deals can go bad in a second. Then you have to move and start over. Plus your parents hold this over your head and any house you want will be much higher in 5 years.

    • @wendytravis6427
      @wendytravis6427 Pƙed měsĂ­cem +1

      How do you know his parents will hold it over his head? Have you met them?

    • @bettywith2girls
      @bettywith2girls Pƙed 29 dny

      @@wendytravis6427 Exactly. And any house would be higher in price in 5 years? Well, they would have been able to save almost all their paychecks all those 5 years, which would more than cover the cost of a house (or help tremendously). This is an excellent idea for both the parents and the kid & his family. Dave is wrong.

  • @catherinewilke5583
    @catherinewilke5583 Pƙed měsĂ­cem +1

    I agree with Dave, family will burn you, but they will be sneaky about it. I bought my mom’s family home and it was a horrible idea.

  • @dkadkins6545
    @dkadkins6545 Pƙed 26 dny +1

    The one thing they haven't mentioned is capital gains. You only have 2 years to use your money before you get clobbered with taxes on them.

  • @randomrendered1856
    @randomrendered1856 Pƙed 2 lety +18

    On surface it looks like a wonderful opportunity caller get's to live in a million dollar home without paying rent and save up crazy but I get Dave's point too which comes from experiences There ain't no such thing as a free lunch .

    • @arrowknee7356
      @arrowknee7356 Pƙed 2 lety +1

      There can be, but you need your expectations in check. So you would perhaps live there and save up like crazy, which I don't think is a bad option given he didn't seem very clear on where he would like to live and this would give him some time to figure that out and given he saved up like crazy at the same time it could really be a boon for himself.

    • @adambrooks7423
      @adambrooks7423 Pƙed 2 lety

      No free lunch from your parents? My god most people are so weird about money.

  • @justinc5377
    @justinc5377 Pƙed 2 lety +2

    Live there rent free, and buy a house and rent it out.

  • @JDAfrica
    @JDAfrica Pƙed rokem +1

    Buy a house anyway. Rent it out and pay additional premiums every month so it can be paid off in 5-8 years . If parents come back - evict the renters and move into ur house.
    I don’t see the reason to buy the parents house if they will inherit it one day anyway - if the parents don’t need that money now.

  • @finanzferdinand9874
    @finanzferdinand9874 Pƙed 2 lety +1

    He did say he wanted to keep growing the equity, so he knew that.

  • @hostilityy
    @hostilityy Pƙed 2 lety +18

    I disagree with dave on this one and so do most of the comments. The guy’s salary isn’t that much so I’d definitely house sit if I were him. Free rent for that many years is the equivalent of around a 30% salary increase. No brainier!!!!

    • @Howdy762
      @Howdy762 Pƙed 2 lety +2

      point of the matter is theyre loosing on home equity. You missed that part

    • @gmarie3053
      @gmarie3053 Pƙed 2 lety +1

      I wouldn’t. House prices are going up than a higher percentage than he will earn in investing.
      Also I wouldn’t feel “settled” in my parents house with my partner and their things still in the basement.

    • @inthebooks3947
      @inthebooks3947 Pƙed 2 lety +3

      It’s a 1.5 million dollar house, they can’t handle the maintenance & monthly bills & taxes especially if they have kids.

    • @jeromehenry4484
      @jeromehenry4484 Pƙed 2 lety +1

      @@Howdy762 If caller wanted home equity so bad for the next five years, he shouldn't have sold the house he already owned ($250K).

  • @ja7124
    @ja7124 Pƙed rokem +1

    The parents are letting them stay for no rent. They can bank all the money towards another home. If they can’t afford the house why would they want to buy it?

  • @kenyattaknox5163
    @kenyattaknox5163 Pƙed rokem +2

    How do you say, “My parents bought us a million dollar home that we don’t really like without saying our parents bought us a home”? 🙃

  • @emaldon7
    @emaldon7 Pƙed 2 lety +15

    I would take this deal, save up money like crazy.

    • @inthebooks3947
      @inthebooks3947 Pƙed 2 lety +2

      It’s a 1.5 million dollar house, they can’t handle the maintenance & monthly bills & taxes especially if they have kids.

    • @TwistIsFly
      @TwistIsFly Pƙed měsĂ­cem

      ⁠@@inthebooks3947the maintenance and monthly bills are probably going to be relatively the same and it sounds like the parents are paying the taxes. But anyways you’re fucking insane if you think $120k income can’t cover these cost. I live in tax hell and property taxes on a 1.5M home is 15-20k.

  • @kirkraszman7998
    @kirkraszman7998 Pƙed 2 lety +22

    Wow! Yet another show with really not so great advice. All Dave can see is losing possible appreciation on a house. It is like he has blinders on.

    • @d_all_in
      @d_all_in Pƙed 2 lety +3

      He's right. My house appreciates more each month than my mortgage costs. Living somewhere rent free would literally cost me more than owning my home.

    • @miketheyunggod2534
      @miketheyunggod2534 Pƙed 2 lety +3

      Dave is not understanding the full deal.

    • @maiaheiss2991
      @maiaheiss2991 Pƙed 2 lety +1

      Hope that he guy I’m video is reading the comments

    • @ds3602
      @ds3602 Pƙed 2 lety

      @@d_all_in doubtful that continues as mortgage rates go up

    • @PInk77W1
      @PInk77W1 Pƙed 2 lety +1

      I think it’s a horrible deal

  • @joeymathew4535
    @joeymathew4535 Pƙed 2 lety +2

    disagree with Dave. If they have extra money they can invest it in a rental. Never turn down free housing.

  • @zolozek3327
    @zolozek3327 Pƙed 2 lety +1

    Dave's advice is go get an over priced house ,skip the free Rent 😒. And make your parents sign a contract 😳. For the free Rent they're offering. This is a no brainier ...Hunker down .save and wait for the right opportunity .

  • @lovemyscotsman
    @lovemyscotsman Pƙed měsĂ­cem +1

    I'm at a loss as to why living rent-free is ever a bad thing. They could put the money they'd use to make a house payment into savings and have a huge down payment for their own house.

  • @andrea6053
    @andrea6053 Pƙed měsĂ­cem +1

    I’ll go house sit for this callers parents for five years. After five years I’ll gladly move out either all of the money I’ve saved for the last dove years. Instead of a 20% down payment on my next house id have at least 50%. Houses appreciate but so does $ in mutual funds.

  • @jocarson5310
    @jocarson5310 Pƙed rokem +1

    Why would he “buy” a house that he will inherit? That makes no sense whatsoever.

  • @Caliabra
    @Caliabra Pƙed měsĂ­cem +1

    I don’t think it’s a bad deal. It allows them to save up like crazy because they are not paying rent. That probably beats the “appreciation” in the market

  • @davinasquirrel7672
    @davinasquirrel7672 Pƙed měsĂ­cem +1

    Do it with caution, the agreement in place. But it is the indecisiveness of the parents that worry me the most. They could flip flop and 180 and want to move back in.
    If he did want to go forward, keep existing house and rent it out, thereby not losing out by not being in the market. And do save like crazy in the rent-free deal.
    This deal could easily go either way.

  • @roadrunner9622
    @roadrunner9622 Pƙed měsĂ­cem +1

    As far as missing out on real estate gains: If he has the discipline to put $2000 a month into a mutual fund or whatever, he will still get comparable gains. But without the mortgage interest or risk of homeownership.

  • @untouchable360x
    @untouchable360x Pƙed 2 lety +6

    Do not mix business with blood.

  • @nleem3361
    @nleem3361 Pƙed 2 lety +2

    My uncle loaned my mom money and then had her make an extra years worth of payments before my mom retraced what she'd paid him. He reimbursed her, but it was a pain to go threw. I'd 100% reccomend either not banking with family, or having detailed agreements.

  • @BubbleMania5678
    @BubbleMania5678 Pƙed 2 lety +7

    If the guy's wife is ok with it and they have a plan for how to make it work, I think it might be worth looking into. It may seem weird to Dave, but I feel like if the guy and his wife can make it turn out well, that's the important thing.

  • @andreanease4215
    @andreanease4215 Pƙed měsĂ­cem

    I hope I can do this for my kids one day, and I hope they are smart enough to accept it.

  • @kylegiunta3160
    @kylegiunta3160 Pƙed rokem +1

    move into the parents house since it's free, rent their current home while having a tenant pay for their mortgage so they continue to build equity..?

  • @tpaairman
    @tpaairman Pƙed 2 lety +1

    I disagree here. If they take whatever amount each month they are now not paying for a mortgage, and save that over the next five years, added to what they already have, they would likely still be ahead of the increase in home values over the next five years and still not have to get a mortgage.

  • @DC-rd6oq
    @DC-rd6oq Pƙed 2 lety +8

    The best thing for the couple is to have a lease with an option to buy. Even if they only pay a nominal amount per month in rent, a lease protects them if the parents want to move back from Florida. The option to buy, as Dave says, locks in a purchase price. The parents might not want to go for that. It sounds like the parents aren't sure they want to sell their house and feel like they are doing their son a favor by letting him and his wife live there for free, especially since the couple couldn't afford to buy the property right now even if it were for sale.

  • @liningqi4890
    @liningqi4890 Pƙed 2 lety +1

    Why not rent your current house to have some income and ride with the house value increase while staying at your parents house for free.

  • @TheEvolvingAudioNut
    @TheEvolvingAudioNut Pƙed 2 lety +1

    Just when you thought you had heard it all....

  • @aathorpo
    @aathorpo Pƙed rokem +1

    Lol they flashed his number at the beginning

  • @johnpike3764
    @johnpike3764 Pƙed rokem +1

    Imagine if someone on the street offered to let you live rent free in a $1.5 million house for 3-5 years! Would Dave seriously consider that to be unfair for the occupant who is paying $0? Then Dave tells the son to disrespect his parents by forcing them to sign a legal document when the son is already getting a sweetheart deal. This was not good advice.

  • @iro3952
    @iro3952 Pƙed 2 lety +3

    Family+money decisions= issues

  • @user-yb5bg8im5g
    @user-yb5bg8im5g Pƙed 24 dny

    i worked for the oreck family in boulder. when he went to findland as
    an obama ambassador for several years, they had a family, ''house sit''.
    it worked. it works. nothing wrong with it as long as there are written guidelines...

  • @PhilipMarcYT
    @PhilipMarcYT Pƙed 2 lety +2

    Without knowing the parents and their intentions it's hard to determine a conclusion. Be careful that it's not a money trap.

  • @tuyinc
    @tuyinc Pƙed měsĂ­cem +1

    I don't know what the issue is. I would be a "glorified house sitter" and live there for free. In the meantime, buy a investment property and rent it out. I'll take that deal any day, if someone's nice enough to let me babysit their house.

  • @anthonybrown06
    @anthonybrown06 Pƙed 2 lety +1

    It’s a great deal. They can save more in mortgage savings than the appreciation of any house they can afford

  • @cassandrahuete5973
    @cassandrahuete5973 Pƙed 2 měsĂ­ci +1

    I don’t see the issue. When my boyfriend and I met he was staying at a family friends house, who lived out of the country, for about 2 years, for free. He was able to buy a fairly new car in full. Also there was a big leak, which would have been very expensive if he wasn’t there. Also him being there protected the home against squatters

  • @whobeyou5342
    @whobeyou5342 Pƙed 2 lety +1

    If this is as the caller says, Live in the House!!! Save a Bunch of money. Maybe this guy isnt Ready to BUY a house yet! Stay in the house dude. Dave's being silly- and George knows not to disagree or else.....

  • @MoonFoxSassy
    @MoonFoxSassy Pƙed 11 měsĂ­ci +2

    Why not just live there for free and save what would be the mortgage?

  • @bluetextbooks
    @bluetextbooks Pƙed 2 lety +5

    He is going to do the deal.

  • @ISEEKSPACE
    @ISEEKSPACE Pƙed 2 lety +1

    Duuude, do it and save your money like crazy!!!

  • @jmnthe3rd
    @jmnthe3rd Pƙed 28 dny

    A parent offers you a free $1.5million house to live in, and you're going to demand a bunch of legal documents? It's a gift! I'd hate to see Christmas morning at the Ramsey house!