A (possible) solution! in New Beginnings
- April 6, 2014, 9:07 p.m.
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- Public
I think I’ve figured out my housing conundrum. I’m obviously not going to be able to afford a house I like that isn’t a money pit, so I’ve started looking at condominiums and town houses. I actually looked at a town house in the neighborhood where I currently rent. As an aside, I’m sick of properties looking gorgeous in their online photos, and then looking like a nightmare when I actually show up. Such was the case with the place I looked at yesterday. There wasn’t a lot wrong with it, but its lighting was so horrendous, it felt like I was living in a horror movie. It needs some work, but one of the advantages of a town house or condo is that it won’t cost as nearly as much to repair any problems.
Speaking of advantages, there are quite a few others as well.
- I won’t have to go into debt, and I won’t have to exhaust my savings. I can keep a huge chunk of my savings invested instead of burying everything in real estate.
- I can buy a place closer to work.
- Even if I sale it for a loss, it’ll still be cheaper than renting an apartment. I quality 1 bedroom, 1 bathroom apartment will probably cost about $800 a month, which wouldn’t even include the cost to break my lease if I had to. If I were to sale a condo at a $5,000 loss a year after I bought it, doing so would be the equivalent of paying $416 a month, $483 if I were to include taxes.
- If I get the opportunity to buy a house, I can use my remaining savings for a down payment, finance the rest, rent out my condo, and my rental income would likely cover my mortgage payment. Yeah! Is there anything hotter than fiscal solvency?
That’s my plan. I’ll buy a condo or townhouse, keep saving aggressively, which I’ll be able to do without any debt, and in three years, when I have enough human capital to get a job in Athens, I can very likely buy a house there without going into debt. Then, I can either sale my condo or rent it out and make some extra money. What else can I say? Problem solving is awesome.
Star Maiden ⋅ April 08, 2014
nice