Maybe 10 PSU students share the rent at one of these units--amazing location for keggers!!

Are they asking the typical first, last and security deposit? If so, it could take over nine grand just to move in. Yowzer.

And on Belmont? Why there isn't a Brooks Brothers store for miles.

Is this Manhattan?

No, this is not Manhattan and SE Belmont is no Greenwich Village. Anyone willing to pay that much to live within a few blocks of a iconic cultural hubbub like, er, Zupans is what might have once been referred to as a "rube."

Let's see, $3,175 a month -- at 6.5% interest, that's the equivalent of a $502,317 mortgage -- but of course, with none of the tax benefits of ownership.

But this way Homer still has to pay the property taxes. Which appear to be the usual arrangement.

That sort of rent would require a six-figure gig, wouldn't it? And if you're making six-figures, why on Earth would you rent? Especially in Portland.

Can't wait to see what happens when all of the existing condo stock comes on-line. At least they'll all be linked by streetcar.

That should make it easier for the FDIC to audit the REO records.

why on Earth would you rent? Especially in Portland.

Well, for one: If you expect to have it see it offered at 25% less next year, why not?

As I was saying to another underpaid professional the other day , it is gonna be sweet when
Homer and his kind have to give all these buildings back to the banks , and they will write off a bunch of dead paper , and rent the stuff in our price range.Hey Homer , thanks for my future imported marble counertops!

I see a sweet deal with the State in this. A lease for use as transitional housing of reformed criminals, like the sex offenders in Wheeler Co. This, of course when the spendy condos sit vacant and devalue accordingly. Oops, there goes the neighborhood. But wait, aren't all the commuters going urban? Maybe there is a market? But not at those dollars. I think the definition of urban blight just expanded. But they do have granite countertops.

Suggest you tour these before you comment on the fit and finish. First hand report to me was that they lowballed it considerably compared to similarly priced units elsewhere in the region.

I think the choice about sell vs rent has to do with the owner's tax preferences, not marketability. This is a Jack question, but doesn't the rental income loss result in a better tax play for the developer?

Would love to have someone total up all the subsidies to real estate developers in this town from all public sources, breaking out tax expenditures. If it were up to me, the authors of all these transfers of wealth from a struggling community to the already rich would go to jail for a long, long, long time, as would the recipients.

If you expect to have it see it offered at 25% less next year, why not?

Touche.

If an investor wants to invest in a rental and wants his money back in ten years then a ball-park value for the unit would be $3,175 times 120, or $381,000.

Just search on property + "capitalization rate"

To get to the $500,000 price, as a rental, the rent would have to be closer to $4,167 per month.

BTW, $381,000 is real close to 75% of $500,000. Good guess.

What would the market rate rent be for the property?

equal time -- "rental income loss"

That issue, as per a federally related contract to deliver affordable housing, was addressed in S50763 Wilsonville Heights Assoc., Ltd. v. Dept. of Rev.

Are these Luxury condos just stealth units for the homeless? Funny.

"And if you're making six-figures, why on Earth would you rent?"

Why on earth would anyone in PDX decide to become a loanowner when renting is so much more affordable?

Why on earth would anyone in PDX decide to become a loanowner when renting is so much more affordable?

Well, for one thing, rent inevitably increases over the years, while a mortgage does not (as long as you don't borrow against equity).

Over $3,000/mo for rent? Thats insane. I have rented a 3 bedroom 1500 sqft townhouse in Beaverton for the last 15 years. It was $650/month when I moved in, and it just went up to $725 last month. Personally, I think renting has been ok, for me anyway.
Yes, I know I have basically thrown my money away. But buying just has never panned out for us. The closest we came was approval for $250k a few years back, but the payment would have been over $1600/mo.
Not happening.

Watch out for those granite counter tops. They are full of radon.

And the city council is concerned about affordable housing.

Gil, gil, gil, like many a loanowner you are clearly not familiar with inflation and "real" money. I'd rather pay rent on someone else's depreciating asset than throw it away on a mortgage. I rent a 3 BR house in Sunnyside for 1200. In 2000 we payed 1100.

PDX will see 50% REAL decline in housing prices over the next 3-5 years. Anyone who bought in the past 3 years is going be very sorry.

PDX will see 50% REAL decline in housing prices over the next 3-5 years. Anyone who bought in the past 3 years is going [to] be very sorry.

Do you mean, "Based on a number of factors, the likelihood is"?

Sure we're probably in for further sliding, but c'mon, nobody knows the future with the absolute certainty you betray.

"Do you mean, "Based on a number of factors, the likelihood is"?"

Inflation is running at ~6%. If inflation remains at current levels PDX will have a 30% haircut in 5 years without any change in nominal prices.

"but c'mon, nobody knows the future with the absolute certainty you betray."

I'm pretty damn certain.

You're lost in the math, Squeezed. Yawn.

Gil wrote:
"Well, for one thing, rent inevitably increases over the years, while a mortgage does not (as long as you don't borrow against equity)."

Only a portion of rent is the mortgage. Operating expenses and property taxes go up over time when you own too. If the rental housing market sucks the rent might go down (like in the last 7-8 years) but your mortgage, water, sewer, garbage, property taxes, etc. will never go down. Renting gives you flexibility to move and if taxes go through the roof in the town you are in you can bail out quickly.