We've never lived on base or rented for an extended amount of time.
Renting is a big, fat, waste of money helping to line someone else's pockets. We could buy here for less than what we rent. We are PCSing in less than a month, and have a lease signed for 5 years with option to buy. The new tenants move in THE DAY we move out. It's an investment in self rather than someone else. We also purchased a house at our last duty station. When we sold, we doubled our investment.
MOMMY-OF-ANGELS
Posts: 479
4/23/09 1:15 P
Just to get somewhat back on track
As far as PCSing and the Homeowner's Assistance Program... It was extended to cover those who bought a house prior to 1 Jul 06. Unfortunately, American Recovery and Reinvestment Act funding policy has yet to be determined. /sigh
I did talk to an individual at the Sacremento office for our district. Only thing you can do right now is submit a package and when they make the final determinitation, they'll start processing them.
I'm just irritated by the fact that our installation commander briefed this yesterday but never mentioned this!
So we're stuck with 3 options: 1) Shortsale and damaged credit 2) Renting and still paying out the difference between rent and mortgage payments and 3) hoping like crazy this HAP stuff is figured out soon!
Aleina Skye
January 3, 2012
7 lbs, 1 oz
20.5 inches
Alexander Blair
April 6, 2008
7 lbs, 15 oz
20 inches
LILLY.MAMII.04
Posts: 2074
4/22/09 1:07 P
drink to that lol! THank goodness for free (for the most part) healthcare and a guaranteed paycheck every month.
PHAEDRA05
Posts: 4587
4/21/09 7:16 P
That would scare me out too.
I think we might be thinking of different things, though. Investing in individual stock is VERY risky, and that's how people lose so much. But if you invest in an index fund or a mutual fund, then it's a much lower risk.
At the very least you can put your money in an FDIC insured bank CD and it's safe. At least you're earning interest.
I don't know how your aunt would have lost everything unless she had it invested in individual stocks. I have four different mutual funds and they've gone down in value, but that's to be expected and I've come nowhere near close to losing everything. Nor has anyone in my family (including my parents and inlaws) who has their money in mutual funds.
Different people, different experiences. It's funny how that happens.
I'm just glad we're in the military, with free health care and a guarenteed paycheck.
PHAEDRA05
Posts: 4587
4/19/09 2:10 A
That's why when you invest, you don't look at the short term picture, you have to look at the long term investment. yes, you might lose a huge chunk of money in a 3-4 year period, but if you're investing for the long haul and your money is diversified and stays put, then over the course of at least 20 years, then you will typically make at least 12% on your returns (and this has been documented as true over the last 500 years!!!). I've probably lost 5-6 thousand dollars in the last two years, but honestly I'm not concerned about it because I'm still putting money in, which is buying me MORE shares since the cost is down, which when the market goes back up (and it WILL go back up) will earn me more money.
Now, if you were closer to retirement and just started investing and put your money in the wrong places, then yes, it would take years to recover from that, and older folks don't have that time. That's why it's important to start investing now when you're young. That's how the market works.
If you invest just $100 a month, at the average yearly interest rates (which have been documented as being accurate for the last 100 years) and you continue investing that for the next 25 years, you'll have almost $180,000. And that's ONLY $100 a month, which is nothing.
I just want to reinforce to you guys who are young and starting out with families how important it is to invest SOMETHING every month. Start an IRA, seriously. If you start saving $100 a month now, you'll have that $180,000. If you waited 10 years and then started investing $300 a month, you'll have only $150,000. That's how important it is.
MOMMY-OF-ANGELS
Posts: 479
4/14/09 3:45 P
Well, just found out today that we have orders to Seymour Johnson AFB, NC. Guess we'll find out what this is all about.
Aleina Skye
January 3, 2012
7 lbs, 1 oz
20.5 inches
Alexander Blair
April 6, 2008
7 lbs, 15 oz
20 inches
LILLY.MAMII.04
Posts: 2074
4/14/09 3:17 P
I have family that lost tens of thousands of $$ in stocks, bonds and savings accounts. My money is safer in my house, thanks.
PHAEDRA05
Posts: 4587
4/12/09 8:45 P
Wow, honestly, when the market is down is the worst time to pull out your money. This is the time to invest (wisely of course) because your dollar is worth a lot more.
LILLY.MAMII.04
Posts: 2074
3/27/09 10:36 P
Oh I agree, that investments are usually a risk. I don't like being risky with my money. When things started going down the toilet in the economy, we pulled our savings and took it to the mattresses...literally.
SHERIFF_JAMIE
Posts: 1698
3/27/09 3:11 P
Yeah my inlaws own multiple rental properties in NY and PA. And Yes there is always a risk of losing your money with any investment, but that's exactually what this is an investment. We're actually looking into purchasing a second property right now.
Benjamin Richard 6/27/2007
Connor Eugene 1/17/2003
LILLY.MAMII.04
Posts: 2074
3/25/09 9:13 P
My parents own two homes that they rent out and it's just not something I'd ever be interested in. All the times they've been screwed, people not paying, leaving a whole bunch of crap behind, people not really taking care of the home, not paying utilities, finding out people 'cooked' drugs int he home, etc, and these were MILITARY that they rented to! Just too much hassle to me.
SHERIFF_JAMIE
Posts: 1698
3/25/09 1:27 P
We bought because it was such a great deal. I mean my interest rate is only 5% and I live right by the base. My neighbors just PCSed and had someone moving into their house less than a week after they left. So i'm not really worried about having to rent it. But we were really smart when we bought and stayed within a certain budget, we knew this was an investment and not our dream home. So if for some reason we can't rent it right away we will easily be able to cover our mortgage and rent somewhere else.
Benjamin Richard 6/27/2007
Connor Eugene 1/17/2003
KATRINIA17
Posts: 7798
3/23/09 12:08 A
I know many who buy homes during this time and then they rent them out to soldiers. I love the idea personally and wish we would have been able to rent instead of having to sell. The base here is so crowded and when we got here there was a 2 year waiting list for on base housing. I would have loved to have rented from a military member who knew and understood the military and everything that came with it.
Thanks for the info.
The doctor, not my God. The nurse is not my lord and savior. The hospital is not my kingdom of heaven. Routines and procedures are not my bible.Medicine is not mother nature.-Kat
LILLY.MAMII.04
Posts: 2074
3/16/09 9:51 A
Why anyone would buy a home right now (during a war time) is beyond me. Renting and living on post might suck at times, but it's better than owning a home when you know you're going to be moving again in a few years. THanks for the info anyway.
MOMMY-OF-ANGELS
Posts: 479
3/9/09 12:22 P
Due to the economy and all, thought this info might be worth passing along to anyone out there that has to sell their house due to a PCS.
http://hap.usace.army.mil/EP_PCS .html
Hope the link works.
Aleina Skye
January 3, 2012
7 lbs, 1 oz
20.5 inches
Alexander Blair
April 6, 2008
7 lbs, 15 oz
20 inches
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