My wife and I rented until we were fully 30 years old, and then bought a 1200-square foot rambler in an inexpensive part of town. We were then, and are now, primarily motivated by the sentimental notion that our house would appreciate in value and make us money.
We bought it for, oh, $85,000 and sold it for $102,000 about four years later. Good money? I suppose. A lot of things come out of that $17,000.
About six years ago, we bought a nice tract house in Bonney Lake for, oh, $300,000 or so and watched as Bonney Lake went through its pressure-cooker price adjustment. Worth $450,000 only four years later? Wow! Who would want to rent? How can you afford to lose out on appreciation?
LOL. After the bubble popped, we wound up in the same boat as most of the folks in our development: upside-down in a refinanced house. What we wouldn't give to be renting!
You refinance to $450,000, and then try to sell for $350,000 and can't? Let me tell you, it's a feeling that no renter can (or need) imagine. Read more
If you think that your personal possessions are protected by your landlord’s home owner insurance policy think again! The only thing that the home owner insurance policy of your landlord will protect is the property itself. If the sewage backs up, then maybe your possessions are covered, if the landlord sees fit to pay you out. However, in most cases, and in most states, a rental home does not offer coverages in the home owner insurance policy that protect you, the renter.
