213
Spare a dollar?
(sh.itjust.works)
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
this post was submitted on 28 Dec 2023
213 points (100.0% liked)
memes
10238 readers
2079 users here now
Community rules
1. Be civil
No trolling, bigotry or other insulting / annoying behaviour
2. No politics
This is non-politics community. For political memes please go to !politicalmemes@lemmy.world
3. No recent reposts
Check for reposts when posting a meme, you can only repost after 1 month
4. No bots
No bots without the express approval of the mods or the admins
5. No Spam/Ads
No advertisements or spam. This is an instance rule and the only way to live.
Sister communities
- !tenforward@lemmy.world : Star Trek memes, chat and shitposts
- !lemmyshitpost@lemmy.world : Lemmy Shitposts, anything and everything goes.
- !linuxmemes@lemmy.world : Linux themed memes
- !comicstrips@lemmy.world : for those who love comic stories.
founded 1 year ago
MODERATORS
Most mortgage calculators add in property taxes, insurance, and HOA fees to give a truer cost to potential homebuyers. So, if you are paying all cash, the mortgage calculator is going to give you the additional costs only.
A lot of times, it is paid in escrow to the mortgage company. However, even if the mortgage company isn't collecting it, it still needs to be paid.
Thanks. But do those costs really add up to around 25% of the house cost? That's more than I would have expected.
I've seen condos where the Strata/HOA fee alone would have been around 25% of the monthly mortgage.
$400 / month strata on a $1600 / month condo. It's practically thievery, no idea how maintaining and apartment is supposed to cost $4800 a year per person. Can't remember how many unit but even assuming a low count of 10 units that's $48,000 a year in maintenance. Seems pretty excessive.
It depends on the area. Both Texas and New Jersey have very high property taxes, so it wouldn't be that surprising. Or it could be expected insurance costs like in Florida, which could be very high.
Curious where you are getting 25%?
At least this amount will, assuming it's just taxes and insurance, be due every month for as long as it's owned. Property taxes in California for example are around 1%/year (so a $377k home would be around $4k/year).
If you own the home outright you may not need insurance, but of course, that's a risk.
Taxes may be severely limited in how much they increase (see: California prop 13), so while they will likely increase it may not match e.g. rental increases.
Oh hmm, 18%. $377/m for 30 years discounted at the interest rate mentioned gives $58K which is around 18% of the house price of $323K. My mental math was a bit off.
I see. In this case the 30 years is irrelevant I think.
This is probably PITI cost
principal, interest, taxes, insurance. Principal and interest are zero here, but the other two continue for as long as you own the home (property tax is annual like income tax
it's not a one-time-deal like sales tax).