There’s No Place Like Home, There’s No Place Like Home, There’s No Place Like Home
In 1966 my Dad and Mom purchased their first home. It was a 2 family home in Lansingburgh, NY. They paid $14,000. for it and had a mortgage payment of $56.00 a month. In 1986 he sold the home for $56,000.00, I’d say that was a pretty good return on investment. If my Mom and Dad had rented for all those years the only thing they would have had in 1986 would have been a box full of rent receipts.
I purchased my 1st home in 1986. We had the home built. It was a 2 bedroom Cape Cod with an unfinished 2nd floor. We paid the builder a little extra to turn the 1 car garage into a semi finished family room. Our thought was we’d build a garage later on. My Dad and I finished it off after we moved in. Total cost of the home was approximately $58,000.00. The staggering thing about this home was the interest rate on the home. We paid 4 points to buy the rate down to, get this, 10.5%. If you told someone they would have to pay roughly $2300.00 to buy their rate down to 10.5% today… well be ready to call 911 after they fainted. I lived in this house until 1997 and eventually sold it for $110,000.00. I recently checked on this property and it sold in 2014 for $180,000.00. It still doesn’t have a garage.
You’ll notice the title of this blog post contains the work “series”. What I’ll be doing is posting other “mini” chapters taking you on the journey of the necessary steps to purchase your first home. I hope you’ll stay tuned.
Remember, everyone is paying a mortgage. They are either paying their own, as in the case of my Mom and Dad or they are paying someone else’s, which is what they were doing prior to 1966.