How residents are responding to the high cost of housing in South Florida
This collection of stories explores how South Florida residents react to surging housing costs through community actions and personal decisions.
Articles highlight Miami-Dade County's interfaith group, which demands action from leaders to combat high rent and prevent evictions. Another story discusses how HOA fees contribute to the financial pressures faced by homeowners. An opinion piece suggests some residents choose to leave Miami for places with lower insurance and home prices. It also notes that wealthier newcomers increase living costs for everyone.
Read the stories below.
Home buyers should review fees for homeowners and condominium association fees to see if the amenities are worth it, including pool, gym, clubhouse.
NO. 1: ARE FEES FOR CONDO AND HOMEOWNER ASSOCIATIONS WORTH IT? ASK YOURSELF THESE QUESTIONS
What buyers should know about the expense. | Published January 28, 2025 | Read Full Story by LEW SICHELMAN
A mover pushes a box into a waiting moving van for a family leaving New York and relocating to another state, on Manhattan's Upper East Side, New York, NY, August 31, 2020. The mover said the demand was so high that he and three other moving companies were packing people's personal effects out of the same building. (Anthony Behar/Sipa USA)
NO. 2: WITH INSURANCE AND HOME PRICES SO HIGH, SOME ARE FINDING A WAY OUT — OF MIAMI | OPINION
Why the Chamber of Commerce says, 'We are seeing wealth migrate in – while portions of the workforce migrate out.' | Opinion | Published March 10, 2025 | Read Full Story by the Miami Herald Editorial Board
Attendees listen to Mayor Daniella Levine Cava make a pledge to the community during the PACT Nehemiah Action Assembly on Monday, April 7, 2025, at Sweet Home Missionary Baptist Church in Cutler Bay, Fla. By Alie Skowronski
NO. 3: 'RENT IS TOO DAMN HIGH.' INTERFAITH GROUP DEMANDS ACTION FROM MIAMI-DADE LEADERS
One of Miami-Dade's most politically engaged interfaith groups held their annual assembly to press elected leaders to make housing more affordable and reducing evictions in Miami-Dade County. | Published April 9, 2025 | Read Full Story by Lauren Costantino
The summary above was drafted with the help of AI tools and edited by journalists in our News division. All stories listed were reported, written and edited by McClatchy journalists.
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- Yahoo
HOA President Tried to Ban Halloween Because It Was Against Her Religion, Calling It 'Satanic'— 'Thought She Was Cool, But It Was an Act'
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Every neighborhood has "that one HOA story." It's the tale that gets passed around block parties and over backyard fences — the one where a single decision flips the whole community upside down. In a post on Reddit, a homeowner described how their community's beloved, over-the-top Halloween celebration nearly disappeared overnight when a new HOA president took control. For 25 years, the holiday had been a highlight of the year. Under a retired shoe cobbler and Korean War veteran, the HOA "meetings" amounted to him asking, "Anyone have any questions? No? Okay, let's eat," before treating everyone to Cracker Barrel on his own dime. Every October, the streets filled with skeletons, vampires, and elaborate lawn displays. Even the local special needs school bused in students for trick-or-treating. Don't Miss: The same firms that backed Uber, Venmo and eBay are investing in this pre-IPO company disrupting a $1.8T market — Named a TIME Best Invention and Backed by 5,000+ Users, Kara's Air-to-Water Pod Cuts Plastic and Costs — That all changed when the president passed away. A 35-year-old newcomer from out of state won the election, and at first, she seemed friendly. "We thought she was cool, but it was an act," the homeowner wrote. Soon after taking office, she declared Halloween "Satanic" and banned it. The backlash was swift. At the next HOA meeting, residents moved to vote her out. She reportedly threatened to have everyone arrested and even called the police — who, according to the post, laughed and left. The removal vote passed. Reddit users didn't hold back. "Glad y'all solved the problem pretty quick without too much melodrama. [Forget] her and people like her," one wrote. Another added, "Honestly this is the best HOA story I've come across. Chill for years, then community comes together to oust the non-chill in short order." Others criticized the power structure itself, noting, "Unless you had truly terrible bylaws, neither the Karen or the new president should have had those powers." Trending: 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. An elderly man was elected president and quickly restructured the rules: no single person could cancel events without a community vote, terms were limited to two years, and fines for minor infractions were banned. HOA attorneys say this kind of drama often comes down to vague or outdated governing documents. "It would be an unusual case where the president has the ability to act entirely unilaterally," attorney Raymond Daniel Burke told adding that authority must be explicitly spelled out in the bylaws. Condominium Associates notes that unclear terms — like "nuisance" or "unappealing" — can create loopholes that allow leaders to push personal agendas. Experts recommend periodic legal reviews of HOA rules to ensure compliance with state law and prevent overreach. In this case, the changes worked. The neighborhood's jack-o'-lanterns, cobwebs, and candy hauls are safe once again — a reminder that when homeowners stick together, even the scariest HOA power grab can have a happy ending. Read Next: Kevin O'Leary Says Real Estate's Been a Smart Bet for 200 Years — , which provides access to a pool of short-term loans backed by residential real estate with just a $100 minimum. Image: Shutterstock This article HOA President Tried to Ban Halloween Because It Was Against Her Religion, Calling It 'Satanic'— 'Thought She Was Cool, But It Was an Act' originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CBS News
2 days ago
- CBS News
Modesto HOA increases monthly dues at Walnut Orchards as residents launch recall effort of board
Months after rejecting a $4 million special assessment, residents at the Walnut Orchards condominium complex are facing a new increase in their homeowners association dues. They say they still aren't seeing repairs. In May, owners voted down a $25,000 per-unit assessment that the HOA said would pay for replacing rotting decks, staircases and other deteriorating infrastructure. At the time, the board warned it could raise monthly dues by 20% each year if the assessment failed, a move that could eventually push fees over $4,000 a month. Last week, the board voted to raise dues by $75 a month starting in January, bringing the monthly total to about $660. Board members said the increase will go toward operations and reserves, which are currently at 6%. "We had a $75 increase, just like that, and we have no say on that. We had to just sit there and listen to them increasing our dues," resident Maria Rodriguez said. Residents say the new charge comes as red-tagged balconies and other safety issues remain unresolved. In late June, a 40-year-old tree that one resident had reported months earlier fell, damaging a perimeter fence and leaving the complex open to trespassers for weeks. " Where is our money going? Why aren't they fixing things around here? Why didn't they get started on the red tags right away?" Rodriguez said. Frustrated with what they call a lack of transparency and delayed maintenance, residents have launched an effort to recall the HOA board. Ballots are due Aug. 26, and the measure needs 82 votes to pass. The Walnut Orchards HOA did not respond to requests for comment.
Time Business News
10-08-2025
- Time Business News
Mortgage Payment Calculation Guide for First-Time Buyers
Buying a home for the first time is an exciting yet challenging milestone. Along with choosing the right property, location, and amenities, one of the most important aspects of the process is understanding how much you will pay each month toward your mortgage. For first-time buyers, the mortgage payment often feels like a complicated puzzle made up of numbers, terms, and financial jargon. This guide aims to simplify that process. By breaking down the structure of a mortgage payment, explaining the formula used to calculate it, and guiding you through step-by-step examples, you will gain the knowledge and confidence to make informed decisions. Whether you are using an online calculator or speaking directly with a lender, knowing exactly how your payment is determined will help you budget effectively and avoid surprises. We will also explore how different elements such as property taxes, homeowners insurance, and other costs can influence your monthly payment. By the end of this guide, you should have a clear picture of how mortgage payments work and how to estimate yours accurately. A mortgage payment is not a single flat amount that goes straight to the cost of the home. Instead, it is a combination of several components. Most commonly, these include principal, interest, property taxes, and homeowners insurance. Some buyers may also have additional costs such as mortgage insurance or homeowners association (HOA) fees. The principal is the portion of the payment that reduces the amount you owe on the home. It is the actual loan amount being paid down over time. The interest is the cost charged by the lender for allowing you to borrow the money. Together, principal and interest make up the base loan repayment. Property taxes are payments to your local government based on the value of your property, while homeowners' insurance protects you financially from risks such as fire, theft, or natural disasters. If you are required to pay private mortgage insurance (PMI) due to a smaller down payment, that cost will also be included in your monthly bill. By understanding this breakdown, you will be able to identify where your money is going each month and how changes in any one component could affect your total payment. The standard formula for calculating mortgage payments is based on an amortization model, which spreads your loan repayment evenly over the term of the loan. The key variables involved are: Loan amount (principal borrowed) Interest rate (annual rate divided by 12 for monthly payments) Loan term (number of years you will take to repay the loan) The formula used is: M = P × [ r(1 + r)^n ] ÷ [ (1 + r)^n – 1 ] Where: M = Monthly mortgage payment P = Loan principal r = Monthly interest rate (annual rate divided by 12) n = Number of monthly payments (years × 12) While the formula may look intimidating, its purpose is simple: to calculate how much you need to pay each month to fully repay the loan by the end of the term. Small changes in the interest rate or loan term can lead to significant differences in your payment, which is why understanding the formula is so valuable. If you are new to mortgages, the calculation process can feel overwhelming at first. The key is to approach it in manageable steps. First, identify your budget and determine how much you can comfortably afford to pay each month. Then, gather information about the home you wish to purchase, including the purchase price, the size of your down payment, and the interest rate being offered by the lender. Next, apply the mortgage formula or use an online mortgage calculator to estimate your monthly payments. Make sure to include not just principal and interest, but also property taxes, insurance, and any other relevant costs. Once you have a realistic estimate, you can compare it against your budget to ensure the purchase is financially sustainable. Online mortgage calculators are a quick and convenient way to estimate your monthly payments without manually working through the formula. To get the most accurate results, make sure you have the correct details ready before you start. Begin by entering the total home price. Then, input your down payment amount or percentage, as this will reduce the principal loan amount. Enter the interest rate provided by your lender and select the loan term, such as 15, 20, or 30 years. Some calculators also allow you to add estimated property taxes, homeowners insurance, and PMI. Using these features will give you a more complete picture of your total payment. Be sure to adjust the numbers to reflect the area where you plan to buy, as property taxes and insurance rates can vary widely by location. Accurate data entry is crucial when calculating mortgage payments. The home price is your starting point and will determine the size of the loan you need after subtracting your down payment. Your deposit, or down payment, not only reduces the amount you borrow but can also affect your interest rate and whether you need to pay PMI. A larger down payment generally means smaller monthly payments and less interest paid over time. The loan term influences both your monthly payment and the total interest cost. Shorter terms have higher monthly payments but lower total interest, while longer terms have smaller monthly payments but higher overall interest costs. Balancing these factors will help you choose the loan that best fits your financial situation. Once you know your estimated monthly payment, it is important to understand exactly where that money is going. This will help you plan your finances and identify areas where you can save money over the life of the loan. In the early years of your mortgage, a large portion of your payment will go toward interest, with a smaller portion reducing the principal. Over time, as the principal decreases, the interest portion will shrink and the principal portion will grow. For example, in the first few years of a 30-year mortgage, it is common for more than half of your monthly payment to go toward interest. This is why making extra payments toward the principal early in the loan can save you thousands of dollars in interest over time. Understanding this dynamic is essential for long-term financial planning. If you have the means, applying additional funds toward the principal can help you pay off the loan faster and reduce your total interest cost significantly. While principal and interest make up the core of your mortgage payment, property taxes and homeowners' insurance can significantly increase your total monthly cost. Property taxes are determined by your local government and are based on the assessed value of your home. These taxes can change over time as property values rise or local tax rates are adjusted. Homeowners' insurance protects your home and belongings against risks such as fire, theft, or severe weather. If your down payment is less than 20% of the home's price, you may be required to pay private mortgage insurance, which protects the lender in case you default. Additionally, if your home is part of a community with an HOA, monthly or annual fees may also be required. By considering all these costs, you can avoid underestimating your monthly obligations and make a more accurate decision about what you can afford. Buying your first home can be exciting, but it is also a major financial commitment. One of the most important steps before making any decisions is understanding how your mortgage payment will work. The right planning can save you thousands of dollars over the life of your loan and keep your budget stable. As a first-time buyer, you must approach this process with a clear idea of what you can afford, how to prepare for extra costs, and how to avoid common financial mistakes. A mortgage payment is not just a single number you pay each month; it is a combination of several elements. These include the loan principal, interest, property taxes, homeowners' insurance, and sometimes private mortgage insurance. Knowing these details in advance can help you decide whether a property is truly within your budget. By planning early, you can focus on homes that fit your price range and avoid stretching your finances too thin. Smart planning also reduces the risk of financial stress after you move in. Let's start with the first step: figuring out your affordable mortgage range. Your affordable mortgage range is the amount of home loan you can take on without putting too much pressure on your finances. This is usually calculated based on your income, monthly expenses, and future financial goals. A common rule of thumb is that your monthly mortgage payment should not exceed 28 to 30 per cent of your gross monthly income. For example, if you earn $5,000 a month before taxes, you should aim for a total monthly mortgage payment of no more than $1,500. This total should include principal, interest, taxes, and insurance. To estimate your range, start by calculating your debt-to-income ratio. This ratio measures the percentage of your income that goes toward paying debts such as car loans, student loans, credit cards, and your new mortgage. Lenders often prefer a total debt-to-income ratio of 36 per cent or less. You can use online mortgage calculators to test different loan amounts, interest rates, and terms to see how they affect your monthly payment. Be realistic and consider your long-term plans, such as saving for retirement, travel, or starting a family. If the calculated payment leaves you with little room for other expenses, it may be wise to aim for a smaller loan. It's also important to think about potential changes in your financial situation. A job change, unexpected expenses, or higher living costs could impact your ability to pay. Planning for a payment that is comfortably below your maximum limit gives you more flexibility. Once you know your affordable mortgage range, the next step is saving for your down payment and closing costs. These upfront costs can be significant, and the earlier you start saving, the easier it will be. The down payment is the amount you pay upfront toward the purchase price of your home. For many first-time buyers, this is typically between 3 and 20 per cent of the home's price. A larger down payment reduces your loan amount and can help you avoid paying private mortgage insurance. Closing costs are additional fees paid at the end of the home-buying process. These can include appraisal fees, loan origination fees, title insurance, and attorney fees. They usually range from 2 to 5 per cent of the loan amount. To create a savings plan, calculate the total amount you need for both the down payment and closing costs. Then, break this total into a monthly savings goal based on your home-buying timeline. If you plan to buy a home in two years, you can divide the total cost by 24 months to see how much you need to save each month. Consider setting up a separate savings account dedicated to your home purchase. Automating your savings with direct transfers from your paycheck can make it easier to reach your goal. You can also boost your savings by reducing non-essential expenses, using bonuses or tax refunds for your home fund, and exploring down payment assistance programs available for first-time buyers. Once you have a good understanding of what you can afford and have a savings plan in place, the next step is to optimize your mortgage payment. This means finding ways to make your monthly payment as manageable as possible without compromising your long-term goals. Even small changes to your loan terms or interest rate can make a big difference over the life of the loan. By carefully considering your options and making smart choices, you can reduce your monthly commitment and save thousands in interest. One of the most effective ways to lower your mortgage payment is to shop around for the best interest rate. Even a small difference in rates can significantly reduce your payment. For example, on a $250,000 loan, lowering your interest rate from 6 percent to 5.5 percent could save you over $70 per month. Increasing your down payment is another way to reduce your monthly payment. A larger down payment means a smaller loan amount, which results in lower principal and interest costs. It can also help you avoid private mortgage insurance, which can add hundreds of dollars to your payment each year. You can also consider buying discount points from your lender. Each point typically costs one percent of your loan amount and reduces your interest rate by a small percentage. This can be a good option if you plan to stay in your home for many years and want lower payments over time. Another strategy is to avoid unnecessary add-ons to your loan. Some lenders may offer optional insurance products or fees that you can decline. Always review your loan estimate carefully and ask questions about any charges you do not understand. Lastly, improving your credit score before applying for a mortgage can help you qualify for better loan terms. Paying down existing debts, making on-time payments, and avoiding new credit applications can all strengthen your credit profile. The length of your loan term can have a big impact on your monthly payment and the total interest you pay. Common loan terms are 15, 20, and 30 years. Each option has advantages and disadvantages depending on your financial situation. A 30-year loan has the lowest monthly payment because the repayment is spread over a longer period. However, you will pay more interest over the life of the loan. This option is often preferred by first-time buyers who want more affordable monthly payments. A 15-year loan has higher monthly payments but allows you to pay off your mortgage much faster. You will also pay significantly less in interest, which can save you tens of thousands of dollars. This option works well if you have a higher income or want to be debt-free sooner. A 20-year loan offers a balance between the two, with lower payments than a 15-year loan but less interest than a 30-year loan. Consider your current income, expected income growth, and other financial goals when choosing your loan term. If you choose a longer loan term, you can still make extra payments toward your principal to pay off the loan faster. Just be sure your lender does not charge prepayment penalties. Buying your first home comes with many questions, especially about the details of mortgage payments. Understanding common terms and factors can make the process less intimidating and help you make informed decisions. Loan amounts for first-time buyers vary widely depending on the housing market, location, and individual finances. In high-cost areas, first-time buyers may need loans of $400,000 or more, while in smaller towns, loans under $200,000 are more common. Most first-time buyers choose fixed-rate mortgages with terms of 30 years, as they offer predictable payments and more affordable monthly costs. However, some may opt for 15- or 20-year loans if they can handle higher payments in exchange for lower total interest. Government-backed loans such as FHA, VA, and USDA loans are popular among first-time buyers because they have lower down payment requirements and flexible credit guidelines. FHA loans, for example, allow down payments as low as 3.5 percent, making them accessible for buyers with limited savings. When choosing your loan amount, always keep in mind your comfort level with monthly payments rather than focusing only on the maximum amount a lender will approve. Just because you qualify for a large loan does not mean it is the best choice for your budget. The loan-to-value ratio, or LTV, is the percentage of your home's value that you are borrowing. It is calculated by dividing your loan amount by the appraised value of the home. For example, if you buy a $300,000 home with a $240,000 loan, your LTV is 80 per cent. A lower LTV means you are borrowing less compared to the value of the home. This usually results in better interest rates, lower monthly payments, and no requirement for private mortgage insurance. Lenders see lower LTV loans as less risky because the borrower has more equity in the property. If your LTV is above 80 per cent, most lenders will require private mortgage insurance until your equity reaches at least 20 per cent. This extra cost can add $50 to $200 per month to your payment. To lower your LTV, you can make a larger down payment or choose a less expensive home. Even a small increase in your down payment can reduce your LTV enough to save you money over the life of the loan. TIME BUSINESS NEWS
