30yr mortgages aren't rip offs. Options are out there for everyone and each fits each individuals needs. For example I'm a 27 year old full time student, full time employed, and single with a 30 year mortgage. In California houses aren't cheap and cost of living is through the roof. I couldn't afford a 15/yr half a mil mortgage on my own and still have money left over for hobbies, toys, expenses etc. My payment would be $4500 a month for a 15yr mortgage!!! That's not including large property taxes, HOA dues, etc.. I chose a 30yr, pay more every month and plan to have it paid off before 30 years. This gives me the option when months are tighter to scale back on my payment if I have to in case of emergency, I lose my job etc. If had a 15yr I'd be stuck to that extra high payment. Obviously I have savings, but I never want to be in that situation where I'm strapped to a large mortgage payment. A 30 year suits me perfect. Now if I lived in a state like Texas for example where houses are cheaper a $150k/15yr mortgage payment would be peanuts at around $1250 a month. I could see a 15yr a good choice. anyways enough rambling...

 

All I heard in that long *** rambling was Cali sucks, Texas is awesome.

 

Again, thatz just my opinion, but it will be alot smarter as a first time buyer to just get something alot.cheaper where the mortgage would be paid off alot sooner and save a ton on interest, cause i would say 90%+ of the people nowdays dont stay at their first home forever, it and that itself could be a big downpayment on maybe your future/retirment home. Again thats just my opinion and its just something seemed to work for me...... when i bought my first home i was 21, then 6yrs later i sold it and had half of my mortgage paid, that equaled a huge downpayment on my new house, which i never thought i could afford if i would of bought it back when i was 21.... ofcourse everyone has different goals in life, im married with a family of two and am always thinking ahead for my little.ones..

 

haha for sure.

 

im on schedule to have the house paid off in 10 years. i am on a 30 year note though incase there are any speed bumps on the way. that little cussion saved me bigtime. i was laid off before my first note ont he house. talk about freaking out hahaha.

 

There needs to be a popup window with these two posts when someone registers here. Right the hell on man.

 

When i purchased my first home i also did a 30yr loan and refinanced to a 15yr after two years when i saw i had only knocked off 2-3k off my principal, know that sux!!! I thought like you scared i might lose my job and be in a bind, but i told myself if it ever happened to me i would just refinance again to a 30 yr to have the lower payments and wont be in a bind but atleast i know i knocked down quite a bit of principal while it lasted, ofcourse this was back when refinancing was free, now adays it will cost you some to refinance.... but i would say its something to look into, there is always options out there

 

Pretty much...lol..Texas is the only other con. state I would consider...Me and my wife bought our first house (built in 56' 2000 sq')in 2005 for $485k our mortgage was $3800....We (she)short saled the house for $300k in 2008...In 2009 we (I) bought a short sale Condo(built 82' 1200 sq') in Downtown for $285k...I know I would make $15 an hour less in Tx, and my Wife would make $20+ less....Soo I would have to weigh it out...Hot weather, affordable house, no state tax,Lots of Fast cars/trucks lol, lower wages,Patriotic Conservitive's -or- 75* every day, avg house $400k, TONS of state tax, Tons of Hondas/lifted trucks, Higher wages,Very liberal...

 

Exactly. Sorry about that layoff, that would have sucked ha.

 

Make sure the extra payment is being paid to the prinicipal there are MANY different types of 30yr mortgages. Some pay interest first others will pay principal automatically for larger payments. Just be careful. My mom has been in banking for longer than Ive been alive so Ive got a pretty good money coach now that Im older and actually listen, if only I wouldve 6 or so years ago, Id be ALOT further ahead
Then we wouldnt have any members
Well ya'll need to come on over, Texas is where its at.

Ive been quite a few places in the US and while obviously Im biased since I grew up here, there isnt a place better than Texas. The heat doesnt bother me, I like it much better than the cold. While our wages are lower than some other states our cost of living is WAAAYYY lower than Cali and as you said no state tax. Youd be surprised how close the wages actually are after everything is taken into consideration. A friend of mine was a union painter in Cali then moved to Texas(I converted him ) and after it was all said and done he figures he took a 2-3$ pay cut moving here but he is more than happy.

For gear heads, Texas is the mecca of the performance industry. THere are a lot of manufacturers in Cali for performance parts but we can actually play with those parts here in Texas without being hassled