/biz/ - Business & Finance

illusion of ownership
you're still a slave

bought an apartment for 400k in 2020. Now i could easily sell it for 850k+.
I wasn't taxed for 450k i can assure you that

>>52661799
Pay what? Not in Spain lol

>3-bedroom condo
>245k
>$435/mo property tax
>$495 HOA

>>52661799
You have to live somewhere and you're still paying it if you rent, just indirectly.

>>52661827
wtf where
phoenix? nashville? tampa? miami?

>>52661837
people leave their houses unfinished in spain to avoid having to pay property taxes. thats why you have so many houses with no windows in the top floor

>>52661827
wtf was it in puerto rico or some outlier weird island market like that? sounds like an anomaly

>>52661987
We pay taxes but is like 0.1% of the actual property value

>>52661799
What's the point of "pooping" if you're just going to make that poop all over again

for the privilege of living outside of monaco :)

>>52661799
What's the point of continuing to live if you're going to die anyway?

to make rentoids seethe

>>52661799
Makes sense if you live in nigger land. Houses only depreciate there. Property tax is baked into rent so you will never get away from paying it. You will notice that hot housing markets where it is impossible to buy is always far from niggers.

>>52662223
My building was built in 1901 and is still going strong though

>>52661799
dunno. rent a nice place. let the landlord handle the toilets. that's your fortress of fucking solitude. buy an industrial shitbox for a car.

>>52661799
>property tax
I don't pay that where I live

>>52661945
What the actual fuck lol
You can literally rent an apartment for that here

>>52661993
House prices go upwards a lot of the time. My house has almost doubled in the last 3 years.

>>52662167
You still live. When you buy a house and pay tax, do you really own it? You could lose it not paying taxes.

Land of the free

Our property tax are like 500€ per year even for a very large house

>>52661799
>What the fuck is the point of "buying" a house if you can't become your own sovereign nation

Homeowner ship in high tax regions is a meme. You unironically pay less rent than property tax in certain areas. Not to mention the cost for repair etc. Chuds will call me a rentoid for pointing this out though

>>52662929
>she thinks landlords rent properties for a loss

>>52661799
It's significantly less than rent. Pay $3000 in property taxes per year or pay $24000 in rent per year.

>>52661799
so someone else pays you more to be there

>>52663203
>It's significantly less than rent.
after paying 500k for the actual house lmao

>>52663203
Lol >>52661945 pays 1k for nothing, you could rent for that

Property tax is relatively normal. It's a mortgage that's bizarre. When you own a home, you never really own a home because the people you pay taxes to own it. They could just take it away from you if they wanted to. Adding a mortgage into that just adds another layer of ownership for the bank between you and the state. Homes aren't even productive. The only reason you can profit off of home ownership is because of asset speculation and, in a world of inverted demographics pyramids, is mathematically untenable.

>1000sqft 2b/2ba apartment in rural Mississippi
>$755/mo with water and heat covered

Sure, you have to live in Mississippi, but it's not bad

>>52661799
Renters still pay property tax through their rent.

>>52661799
It's crazy. I pay about 4% of my original property value every year, and the "value" constantly goes up to make me pay more. I'm rebuying my house every 25 years so some billionaire fucks can redistribute my money to lazy fucks.

>>52661799
There's no property tax on your first house in most, if not all, European countries

>>52661945
That is the scam. I swear some of those condo complexes are built by HOA management companies. Once they sell you a unit the real money comes from adjusting HOA costs.

>>52661945
Does a condo literally ever make financial sense?
They always have hundreds of dollars a month in property tax and HOA fees, tons of restrictions of what you can/can't do with the property, require a down payment and significant loan, yet don't appreciate like SFH or multiplexes. And when repairs are needed, you can be forced to pay a 5 figure sum.
At that point why not rent, you're going to have to pay a large sum every month and hear the neighbors fucking upstairs regardless. I have heard of condos with stipulations that you couldn't rent it out either.

>>52663243
Yeah except you can sell the house for profit afterwards you dolt

>>52661827
>this will keep happening forever

>>52663399
Have you even looked at your property tax bill and seen what amount goes where? You seem to have it confused with income tax.

>>52663474
My dumb fucking cunt of a mother bought 2 condos on the beach in 2006 in the hopes to make a profit and lost both of them by 2010 and was left in financial ruin

It's the dumbest fucking thing you can buy and sold to absolute retards with no concept of how the real world works

>>52661827
>bought an apartment for 400k in 2020. Now i could easily sell it for 850k+

yeah everyone thought they could sell btc at 69k until people actually started selling

>>52663500
It's all one giant pot that they move around wherever the fuck they want to. I know exactly where mine goes, but you seem to misunderstand that the government misappropriates money.

Stop treating houses as if they are an investment and instead treat them like they are a place to live.

>>52663623
I agree and dis-agree
They kinda need to be an investment so builders make more houses. And they shouldn't because of a thousand reasons.

>>52661827
>can sell it
>doesnt
>about to be worth less
congrats

>>52663623
just overpay 50% on your 30 year loan to live in a cardboard 2000sq house that's 15ft away from your neighbor's house

>>52661799
Empires on average last 250 years. Property tax is ~$1000 (cheaper in some places). Buy your house, save $250,000, then set it aside for property tax for the next 250 years. Congratulations, you have now bought your home.

>>52661799
Shhhhh HOOOOMERS need to believe they actually “own” their properties to keep boomer bags inflated.

The OG land owners, royalty, don't pay tax. Truth is, you're not a land owner, you're a rent payer for the state.

>>52662167
I live to coom

Exactly my thought on the matter. Taxes+maintenance on a house are often equivalent to the cost of rent

>>52661799
Rent it and let the rentoid pay your property tax

>>52664020
non RE holder spotted.

If i sell my starter home (one of which i paid less than 30k total on including all mortgage payments) I will have $200k. For now however i just choose to cashflow it and have rentoids pay it down for me instead.

youre retard

>>52662167
Based nihilist actually intellectually honest atheist line of questioning.

>>52664097
If you werent retarded you would have bought a house pre 2020 and had a free $100k net worth with less than 4k invested. And a mortgage thats fixed at $1200 but now youre paying increased rent to $1500 and climbinb. retard.

>>52661799
tax code is flawed and needs entire rewrite. not because of property taxes solely just overall. the age of a child varies in 3 different and probably more, tax codes. one defines it as a child under 17. another for the child tax credit was child under 13. another is child under 19. I can't reference exact codes but it's something that has been brought up in tax code reform debates.

>>52662108
>0.1%
confirmed for basquenigger who gets subsidized by the rest of the country
moral of the story: violence pays, place bombs, kill people

>>52661945
>$435/mo property tax
not even CA has property tax that high, where the fuck do you live?

>>52663335
a mortgage is just leverage. leverage is the way the rich get rich and then get richer

>>52665871
Sure, if it's leverage on something that's making you money rather than a big box you can't afford

>>52665890
you can make money on a house, usually very easily. but its primary purpose is to prevent you from losing money to rent payments

>>52662895
Except you live in a bug pod and dont own any property lol

>>52665724
Illinois. Second highest property tax in the country. However I am getting it appealed and it should go down to about half that. Income tax is reasonable and we get a LOT of public services for that money, so it could be worse.

>>52662837
This place would probably rent for 2800, which is a lot more than my current monthly payment all things considered (about 1800 - incl. HOA, mortgage, prop taxes, utilities etc).

>>52663421
>>52663474
>Does a condo literally ever make financial sense?
To be fair, there are a lot of things that HOA fee pays for.
>air conditioning, electric, repairs, and cleaning of the common areas
>maintenance/repair of the decks/balconies behind the building
>foundation/structural maintenance (necessary as the building was built in 1901
>free laundry in the basement (not useful to me, I have laundry in-unit but it is there)
>snow removal in the winter and gardening/landscaping in the warmer months
>heated sidewalks outside the building (pic rel)
>ongoing 25-year roof replacement fund
And there's a lot more. I could see each of those expenses costing me more than my HOA fee, though some of which aren't necessary.

>b-but my single family home in my suburb is the same price and my HOA is only $25 a year!
Cool. I don't want to live in your suburb. Also, single family homes don't really exist in my neighborhood. I dont want one. At least not yet.

>>52665906
>primary purpose is to prevent you from losing money to rent payments
The most rational place to buy for that is a small studio apartment on the outskirts of a mid-sized city. And w'allah you don't have rent to pay. No need to get a big mortgage. What people usually do is get a huge mortgage for their dream home and act as if that's a rational solution for the rent problem

>>52666011
thats fair. I got a studio condo 10 minutes from work, $1500/mo mortgage including HOA, tax, and insurance. Rent for it would $1600-2000. I could use more space, but I'm planning to stay here for 5-10 years, then get a modest house and rent this place out. and my rate is low, I wouldnt buy at current rates

Protip: You're still paying property taxes even if you rent. Oh, you didn't realize the landlord passes his costs, property taxes included, onto you? Lol. Lmao even. How else would he make a profit.

So now that we've established you're paying property taxes regardless, if you have the money you might as well own a home and be gaining equity instead of paying someone else to build equity.

>>52664485
>Rent out a property
>Set the price at well above the local average because "heh, you rentoids can cover my tax too!"
>Literally no one rents your shitty 2br

The idea of "landchads" really is a cute redditor meme but in reality you people are just suckers. Now clean it up, janny, before I contact the health department.

>>52662837
>>52663267
>>52663474
>>52665724
>>52663421
Buying property is a hedge against asset price inflation. You may be able to afford rent now but if your area gets gentrified, you may be forced to leave.

Also, some people prefer to live in the city instead of your shitty suburb.

God I hate midwits.

>>52663421
>I swear some of those condo complexes are built by HOA management companies.
I would push back on that in that the HOA is set by the board (all homeowners) and the building is an old, and I mean really old for US standards, prewar apartment building. There's a lot of maintenance/upkeep to be had.

The REAL killers are the larger condo buildings built in the 60s-80s closer to downtown with elevators. Those can have HOAs in the thousands.

>>52664522
Lol and then what? Every house now cost 300k+ unless you want to live in a nigger shithole. Sounds like your “investment” didn’t even keep up with cost of living lmao. Be a good wagie and make sure you don’t miss a payment or mr shekelstein at the bank gets to take away the house you’re renting from him on a (((mortgage))).

>>52666147
I was just asking him why the property tax was so high, fag. I own a condo, too, but my property tax is a little over 1/3 of his while my assessed property value is 33k higher

>>52661799
>What the fuck is the point of "buying" a house if you still have to pay property tax
Principal increasing in value.
Rental income more or less just breaks even or even incurs slight losses when you factor in DEPRECIATION and the time spent on managing the property.

>>52661799
>don't worry bro, just a few installments of 1 million dollars and this run down shack off i95 will be all yours just don't forget to pay the taxman or it will be taken away from you
It's almost like paying taxes is a scam.

>>52661799
rent includes the landlords property tax. you dont ever "own" anything, whoever has the bigger guns do. but yeah you have to be 18 years or older to post on this board lil kiddo

STOP NOTICING!!!!!!1!!

>>52661799
There is none, you are a slave all the places you will ever go. Until you do the needful.

>>52663797
>They kinda need to be an investment so builders make more houses
Not really, you can have a new house premium. They make money by building it, not by building it and hodling the house for 5 years before selling. The new builder is incentivized to do this because you get a new house with less issues for the next 30 years.

>>52662869
Generally not. Usually what happens is you get a lien put on your house for the amount and interest accrues until you pay it or the house is sold.

Generally, the government isn't interested in foreclosing on your house because it's expensive for them to take ownership and sell it. They can of course auction it off but for such a small piddly amount of what is property taxes, it's usually not worth the hassle. Governments only begin to foreclose when you owe years of back taxes and haven't made any attempt to rectify it. Banks are generally the same way. They don't want to foreclose on property (especially now in this market) because it just adds admin cost and is kind of a bad return on their investment. Most lenders will work to prevent a foreclosure as long as you aren't a deadbeat jogger or something.

>>52661945
So you’re renting again?

>>52661799
I own a mobile home (with land). The government thinks it's worth only 1k (all above board, I disclosed everything, this is fully legal). My property tax is like 30 bucks yearly. Get cucked houseoids.

>>52665910
kek gottem

>>52661987
How does that even work, doesn't that lead to all kind of problems, like mice/rats?

It’s all about leverage. I used my first home to purchase an Airbnb that makes 5x the mortgage each month and then bought a third home and now rent out my first home for 1.5x the mortgage. If you idiots can’t see how this is valuable then you’ll always be poor.

>>52662812
Is this from the big lebowski

>>52661799
Property tax is like $50 a week ( cf 600 rent)
You can paint the rooms any color you want.
You can talk to the pretty lady at the paint counter about colors and acrylic glossy vs low sheen paint.
You can get a dog.
And a cat.
You can dig up the back yard and plant vegetables and trees.
You can talk to the pretty woman at the landscaping place about which trees to buy.
Eventually your property value will increase.
And your debt will go down.
You will feel like a man with stainless steel balls.

>>52661799
do real estate companies get a break on property taxes?

>>52672005
>Property tax is like $50 a week
lolwut

>>52661799
You go one rung up the slave ladder by not having to pay a middleman landlord.

>>52673104
What blue part do you apparently live in?

>>52661799
Home appreciation has been outpacing it, but it is bullshit, just like all taxes.

>>52673275
None of it, I'm not an American. I just can't believe even the blue in that would be that cheap (yes, I'm accounting for the dollar conversion.) I don't live in a city even for what it's worth.

>>52661799
Declare bankruptcy. You should cry when the IRS agent came for you, and you have to be genuinely sad.

I thought property tax covered shit like garbage disposal, wtf?

>>52661799
vitalik explained this in a twitt

>>52661799
is better than dont have one