A big problem with mortgages is the escrow payments as insurance and property taxes increase, that’s a big hit on your monthly payments.
“A big problem with mortgages is the escrow payments as insurance and property taxes increase, that’s a big hit on your monthly payments.”
Insurance and taxes are homeowner expenses but not part of the mortgage.
Yes. It’s a big burden. This year mine went up $85 a month.
Don’t forget maintenance. Here in upstate NY they subsidize “low income home owners” by giving away free furnaces, water heaters, stoves, air conditioners, you name it.
We see a few common themes:
1. people who have moved (back) up here from the south where there aren’t that many welfare programs as we have here hoping to cash in (and they do.)
2. people who shouldn’t be homeowners to begin with. They don’t have the money to support being a homeowner, have no contracting skills and don’t have the ability to DIY nor pay someone else to do the work. They end up going into foreclosure and their house falls into disrepair.
3. these same people have all the latest electronic stuff, new iphones, new huge flat screen tvs, latest video game boxes, fancy new cars, fancy new clothes, sneakers, jewelry etc.