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amother




Ginger


Post  Mon, Feb 04 2019, 9:02 am
I live in monsey and have very much looked into buying since everyone seems to be able to afford it. Well I was mind boggled when I did first off since you need a clean $200,000 just to start with between down payment closing and moving costs. The prices are expensive and taxes kill it even more so in average with insurance and taxes your paying over $4,000 a month that’s the cheap amount. Besides most houses are old and need fixing so there’s another 25,000-50,000. So I was told a few ways which is borrow from people and when you need to return borrow from someone else. Live on credit cards and in debt or not pay tuition etc. I’m feeling like no one can actually afford the house but they must do it . Also most of these people have large families and don’t have high end jobs. Can someone explain this to me!!!
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amother




Gold


Post  Mon, Feb 04 2019, 9:08 am
As with any other expense, the options are:
People have the money (earned, inherited etc)
People don't have the money and are in debt (to family, banks etc)
People don't have the money and are doing something dishonest (I hope not)

That's all. No secrets.
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amother




Magenta


Post  Mon, Feb 04 2019, 9:11 am
No one will be able to explain it without revealing their solution. I have the same question. An "average" family in my neighboorhood: The father is a rebbi. Mother teaches or works as a secretary. 8 kids. There's no way they're making over $150 k a year, which is on the low end of what they would need to squeak by. How does anyone do it? I don't get it either.
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amother




Dodgerblue


Post  Mon, Feb 04 2019, 9:13 am
OP, just because they're buying houses, it does not mean they could afford it. Many times tea parties are made for these same people when they marry off a child, or they have to think 100 times before buying a pair of socks.
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amother




Taupe


Post  Mon, Feb 04 2019, 9:21 am
My "secret" to buying my 500+k house - we look like middle/ low class. Neither of our parents have money. I think everyone was wondering how we did it. Answer was I worked every summer, babysat and saved probably 20-25k by the time I graduated hs. Didnt go to sem. Worked a regular job (no college) till 22. Had lived super frugal and took on extra jobs like overnight babysitting etc .. had over 130k when I got married. Used that and our (little bit of) wedding money to buy out house.
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amother




Ginger


Post  Mon, Feb 04 2019, 9:37 am
amother wrote:
My "secret" to buying my 500+k house - we look like middle/ low class. Neither of our parents have money. I think everyone was wondering how we did it. Answer was I worked every summer, babysat and saved probably 20-25k by the time I graduated hs. Didnt go to sem. Worked a regular job (no college) till 22. Had lived super frugal and took on extra jobs like overnight babysitting etc .. had over 130k when I got married. Used that and our (little bit of) wedding money to buy out house.


Okay so that’s the down payment but for houses that are 600,000 without taxes and without insurance and before maintenance and fixing it up. Your monthly expenses are 4000-5000 average so you need to afford that also and with a family of 6 kids in school it’s costly.
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flowerpower




 
 
 


Post  Mon, Feb 04 2019, 9:41 am
Most people I know that moved to Monsey are actually renting- they didn’t buy!
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amother




Taupe


Post  Mon, Feb 04 2019, 9:42 am
amother wrote:
Okay so that’s the down payment but for houses that are 600,000 without taxes and without insurance and before maintenance and fixing it up. Your monthly expenses are 4000-5000 average so you need to afford that also and with a family of 6 kids in school it’s costly.


My mortgage is 3k . Cant speak for anyone else but 3k is doable for us now and we live simply otherwise . I will say I enjoy the space emensly. It worth a lot more to me than any cars/shoes/clothes etc. .
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amother




Scarlet


Post  Mon, Feb 04 2019, 9:43 am
My family bought me my house.
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amother




Orchid


Post  Mon, Feb 04 2019, 9:57 am
My husband had $ saved up before we were married. At first we rented an apartment, the first 5 years. But rent was high , very high where we were . Rent we paid from $ we were earning, not savings . When it was time to buy, HaShem was Amazing to us. We got a house for a little less than 500k, in an area where house are now 700k+++.So down payment and closing costs we had $ put away for. Our mortgage now, isn’t than much higher than what were already used to paying in rent. Our 2Bedroom apartment was $1,500 ( that was 10+ years ago). Our mortgage when we bought the house is 2k a month. So $500 more than what our rent was. I know every story is different, I am just telling you how we did it.
Also HaShem is totally amazing to us, as our expensive in life grow, Bhx 1000 so does our income. So it really isn’t such a struggle to pay our mortgage .
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imasoftov




 
 
 


Post  Mon, Feb 04 2019, 10:20 am
amother wrote:
OP, just because they're buying houses, it does not mean they could afford it. Many times tea parties are made for these same people when they marry off a child ...

tea parties?
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amother




Wine


Post  Mon, Feb 04 2019, 11:43 am
I had about $20k - $30k saved up, which we used for renovating and closing costs. We bought a $250k house (small old out of the area) And we paid just 5% down. So now our mortgage is higher than it would have been if we paid 20% down, plus we need to pay mortgage insurance. Total monthly mortgage payments (including tax, insurance...) is under $2k.
IYH when we can afford it, and when we outgrow this house, we'll sell and have money for a down payment for a bigger house. Better than throwing money away by renting...
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amother




Tan


Post  Mon, Feb 04 2019, 12:40 pm
amother wrote:
I live in monsey and have very much looked into buying since everyone seems to be able to afford it. Well I was mind boggled when I did first off since you need a clean $200,000 just to start with between down payment closing and moving costs. The prices are expensive and taxes kill it even more so in average with insurance and taxes your paying over $4,000 a month that’s the cheap amount. Besides most houses are old and need fixing so there’s another 25,000-50,000. So I was told a few ways which is borrow from people and when you need to return borrow from someone else. Live on credit cards and in debt or not pay tuition etc. I’m feeling like no one can actually afford the house but they must do it . Also most of these people have large families and don’t have high end jobs. Can someone explain this to me!!!


I don't know where you are getting your numbers from.
Let's say your buy a house for$500k. (There are plenty of houses for less. But let's say 500k) you put down 10% + 15k for closing costs and moving. You can do some construction and its still under 100k upfront.
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amother




Ginger


Post  Mon, Feb 04 2019, 12:44 pm
amother wrote:
I don't know where you are getting your numbers from.
Let's say your buy a house for$500k. (There are plenty of houses for less. But let's say 500k) you put down 10% + 15k for closing costs and moving. You can do some construction and its still under 100k upfront.


Firstly in Rockland county there’s almost no house for under 500,000.
And I’ve been speaking to people and all and this is how I got to 150,000 and most people end up putting down 20% .
This is not made up at all!!
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amother




Coffee


Post  Mon, Feb 04 2019, 12:50 pm
amother wrote:
I don't know where you are getting your numbers from.
Let's say your buy a house for$500k. (There are plenty of houses for less. But let's say 500k) you put down 10% + 15k for closing costs and moving. You can do some construction and its still under 100k upfront.


If you only put down 10% your mortgage will be billed as a luxury house purchase and your monthly will be thru the roof. That's how it was explained to me--our goal was to get it down under 418,000 I believe.

Dh and I had around 65000 saved up and my parents gave us a long term loan of 150000 towards closing and down payment. We literally moved in the same day as the previous owner left to avoid paying rent a half month longer. We did no renovations, despite my inlaws horror (they borrowed money to make their house look beyond perfect and new when they moved shortly after us). Instead, as things break down and needs arise, we fix things. (The house is very old and was occupied by a single lady for 15 years who didnt fix or change anything, and previously by a family of 5, so many many things were on their last legs.)
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amother




Fuchsia


Post  Mon, Feb 04 2019, 1:00 pm
Not Monsey but we bought a house on an estate sale it wasn't the prettiest house it wasn't the best house it wasn't on the best block but it was affordable. It was a fixer-upper but we lived in it without fixing it we didn't redo the kitchen didn't polish the floors we did some things ourselves. And tooks years before we even we're able to do some work. But my mortgage is a joke compared to most people's. My down payment came from me saving when I was young but a house that costs less needs less of a down payment. Most people would not live the way we did for all those years but it work for us and after we did the work our house looks so much better and hopefully one day we can finished renovating our house
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amother




Floralwhite


Post  Mon, Feb 04 2019, 1:02 pm
I live OOT. We bought our house for a little under $500k. Put down about $70k (wedding money and pre-wedding savings). Parents helped with closing costs (about $10k if I recall correctly). Took out a $400k mortgage. Monthly mortgage payment is under $2500, including taxes and insurance (we bought a few years ago and got a very low interest rate). Our taxes are about $5k.

Note that your down payment can be less than 20% and you might be able to wrap closing costs into the mortgage itself.
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amother




Lawngreen


Post  Mon, Feb 04 2019, 1:22 pm
amother wrote:
Firstly in Rockland county there’s almost no house for under 500,000.
And I’ve been speaking to people and all and this is how I got to 150,000 and most people end up putting down 20% .
This is not made up at all!!


There are many houses under that. I am in the field. I can also give u a great mortgage person to speak to who has helped many many people achieve the dream of home ownership. There are many ways to make a loan work and if you speak to the right person hopefully you can achieve that dream. I am in Monsey as well
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sirel




 
 
 


Post  Mon, Feb 04 2019, 1:38 pm
1) we bought a while ago, when prices were cheaper than they are now

2) we bought a small place. many people would say they couldn't live like this.

3) we got interest free loans with a very doable payment plan.
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coloredleaves




 
 
 


Post  Mon, Feb 04 2019, 1:53 pm
We bought our house years ago but we did it with our wedding money that we had put in stocks- around 10,000-15,000, and maybe 5-10,000 more that we had saved the first year of marriage before we had kids. We put only 5% down and only painted when we moved in even though the house could have used more. We live in Passaic. In Passaic some people also buy townhouses or condos- and of course SOME have parents help a lot. But we didn't. Everyone I know who is middle income for frum people, who didn't get significant help from parents just put 5-10% down and bought fixer uppers or small houses or townhomes. Some eventually sold those to buy up, when real estate went up, and some didn't.

Over time we did do some more corrections to the house, soemtimes with lump sums we got as gifts or tax returns that have money back.

Also some people who don't make a lot have significant money put away if they worked for a few years before the got married. I didn't because I had a many years of grad school, but some of my friends who'd is less grad school and lives at home did have a lot saved up. Like even someone who makes 25,000 a year could have 75,000 if they get married after a few years of work.
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