CAPITAL-ism is aimed and designed to benefit those with the capital.
I hate this about our system. To combat this i am sharing equity with the guy that rents a room. I’m tracking how much his rent payments go to paying off the mortgage (which I can make myself, it’s just a larger house with rooms to spare) he will get a check based off the percent he paid off on sale, or a percentage of revenue if we end up keeping and paying it off years later. Finance people think I’m crazy giving up that much equity. I just hated tossing rent money to the void, so I figured now that I’m in a position to change my little corner of the world, I will.
The finance people (and sadly, many many others) think making the number bigger is a more important and worthwhile goal than making your corner of the world a better place. So good on you for being a compassionate human!
It doesn’t matter what individuals think in the system, the system moves regardless because if they don’t take advantage of it, others will and will supercede them. In this manner, Capital functions almost like a god that is actually worshipped.
Individuals being compassionate within a horrible system will not influence the system overall, though it doesn’t mean compassion isn’t worth it.
Yeah I agree with that. Relying on individual compassion to fix real estate probably makes even less sense than relying on churches and charity to fix poverty and hunger.
I’m still in favor of making things better in one’s little corner of the world, because even just looking at it selfishly it tends to make your life and your mental health better too.
Have you consulted with a lawyer about this? The laws differ from place to place, but I’d be worried the equity you give him may also grant him some sort of claim on the house, which would mean he gets a say on financial things related to the real estate. This can complicate things in the future.
Also - what does “percentage of revenue if we end up keeping and paying it off years later” mean? That after he leaves you will pay him for his share in your house?
I have and officially on paper he is a normal renter. Since this kind of deal doesn’t happen there’s really no system so his payout is a handshake deal on sale, as of now only around 8%. As for if the property is kept, once fully paid off he would receive a yearly dividend of what was made off rent, which wouldn’t be much as we won’t charge much above operating and maintenance cost. Truthfully keeping it is the less likely option as we would like to sell so he can walk away with a decent down payment on his own place.
So if you don’t sell it, and instead rent it out to other people, he’d get a portion of the rent the future tenant pays? And I don’t supposed said future tenant will also get equity?
I’m still working on a good way to provide value to a tenant for the rent they pay for a paid off property. Once it’s paid off I only want to be charging what it takes to maintain plus a little more for unexpected problems. But again, keeping it is the less likely scenario. Down payments on their own place is the goal!
That’s super cool, I’ve wanted to do something similar like this but never have had the opportunity.
The Nature of Capitalism… https://youtu.be/WseyrYuD8ao
Great theory until you get removed from your home trying to make a point because the family of 3 with nowhere else to go doesn’t have the luxury of caring about things like this thanks to the broke ass system we all reside in.
It is virtually impossible to work individually against landlords. Instead, form or join a tensnts’ union. And maybe some orgs opposed to landlordism.
Great theory until you get removed from your home trying to make a point
https://en.wikipedia.org/wiki/Rent_strike
When you get the whole building involve, it can be surprisingly effective.
the family of 3 with nowhere else to go doesn’t have the luxury of caring about things like this
You don’t think a family of 3 cares when their rents double over five years while their wages barely budge?
No, I didn’t say that. I said a family of 3 is going to take your house if they can afford it and you’re too busy making a point to pay rent.
This is true. So not sure what point any of what you said serves, though you’re not wrong.
Also, my grandma lived inna building where 90% of the tenants did this, came together and made their demands and refused to pay rent all together.
They were all removed systematically.
Not saying it never works, but it’s alot for the average working class American to risk.
a family of 3 is going to take your house if they can afford it
Why do you think anyone can afford these homes?
I’m not arguing with you clearly you’re just missing the point purposely or trying to strawman and move goalposts.
Obviously people can afford these homes or 100% of America’s middle class would be homeless.
you’re just missing the point purposely or trying to strawman and move goalposts
Reads like a Ben Shapiro rant.
Obviously people can afford these homes
Why would states need to implement a vacancy tax on speculative properties if people could afford them?
Seems to be an increasingly popular strategy for reducing homelessness. San Francisco could get 90% of its homeless off the streets with the country’s fiercest housing speculation tax, but landlords are already fighting it tooth and nail
So the point you kept missing I’ll throw you a bone man.
Someone can afford the home you’re in. This “strategy” is only effective if everyone’s on board. Otherwise a new family will be in there on the heels of your feet.
Someone can afford the home you’re in.
I’ve got half a dozen units on my block that are selling above the clearing price. They’ve been vacant for years. This is speculative real estate. The only people who can afford it are the developers and investors looking to accumulate housing stock on the gamble that someone will be able to pay the markup at some point in the future.
Yeah, they’re not going to suddenly gain $50k+ cash for a down-payment to replace their home. Yes, a mortgage should be cheaper than rent but a renter probably can’t save an extra 3 year’s worth of rent to put it down.
They’re describing a job in that scenario too lol.
Yes, people lose their shit once they stop doing their job lol. Landlords in their version are effectively building mechanics and paper pushers keeping their property above board so people can live in it. Most of them I knew all had jobs outside of it too because it doesn’t pay the bills lol.
Yes, it would be phenomenal if they dropped all their extra money into the stock market like your average person but they diversified or put it into equity instead since they didn’t trust stock or had houses willed to them.
I get when people talk about slumlords, or giant corpos. But I’ve had to quote it before that the lionshare of them are people like I mentioned above with corpos buying out more and more in recent years because they’re just as poor as everyone else.
Meanwhile even the most liberal people on here get baited thinking they’re scum. Meanwhile billionaires are still laughing at the poors fighting each other thinking one job is better than other or villifying entire professions still.
Unionize. Reform land and property ownership. Vote in as many Progressive > Democrats to help make that happen. Vote yes on school ballot measures even if you get taxes. Run for government yourself if you loathe who represents you. Grassroot campaigns are hard as hell with a huge uphill battle, but poor people aren’t excluded from government.
Meanwhile billionaires are still laughing at the poors fighting each other thinking one job is better than other or villifying entire professions still.
Landlording isn’t a job.
How equity works for retirement vs conventional stock.
https://newsilver.com/the-lender/how-many-rental-properties-to-retire/
https://realwealth.com/learn/how-many-rental-properties-to-make-100k/
Who are you responding to, bud?
We prefer the term housing provider.
ALAB.
Feel free to go buy your own house then buddy
Get fucked friend
I do, in my many houses
Rocko is the landlord
…So you’re not living in the house in which you pay rent? You’re paying for the landlord to live there?? Then where do you stay??? What is this logic??? It doesn’t make sense.
So you prefer having a millionaire landlord, noted…
I prefer no landlords at all
Do you mean that housing should be provided by the government? By the tax payers? And what about maintenance? Is that also provided by the taxpayers? So they would pay people to come fix up the house you live in for free? I guess I’m just not quite sure how you think it all works.
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