I'm a little nervous because my parents are buying another condo. Yes this is without selling either of their other homes. It makes me nervous because they are taking out a mortgage at their age. I'm really frustrated and banging my head on the table.
I just don't get it, they don't like the house I grew up in because they let it rot. So it needs a lot of work and my parents hate doing home maintanence. So they just would prefer to sort of leave it behind and move into something new and worry about it later.
It's just financial decisions like this that worry me. Poor financial planning. One example the condo they almost purchased in Februaryof this year was $377k for a 1 bedroom on the 30th floor. Now they are purchasing a 31st floor 1 bd for $349k. I was constantly yelled at over the phone by my mom (she's going through late menopause), about how much they wanted to buy that condo.
Now when I bring up they almost paid $30k more for a condo 1 floor below she says "Oh the market's coming down." And yet they still are interested in buying. She says things with a serious disconnect that if they had to flip it they could sell it breaking even. Also that she had to rent for 8 months at $1500/month so she lost money renting. Nevermind that the condo lost almost that much in value.
I haven't quite figured my parents out yet but one day...by the way after talking with my mom I nearly reached through the phone because she said "well the housing market can't go down, all the realtors say it's an island. When does RE go down?" Well I hope things work out.