Comments on: Where $500K gets you.. blah http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/ Personal Finance + Savvy Living = Save for Tomorrow, Enjoy Today Wed, 08 Feb 2012 19:29:02 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: 5 Reasons to Save for Retirement http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-12942 5 Reasons to Save for Retirement Fri, 07 May 2010 02:41:16 +0000 http://wellheeled.wordpress.com/?p=1864#comment-12942 [...] assistance from my parents. There’s even the possibility that they will leave a little bit of real estate to me in the future. But I never want my parents to worry about my ability to provide and save for [...] [...] assistance from my parents. There’s even the possibility that they will leave a little bit of real estate to me in the future. But I never want my parents to worry about my ability to provide and save for [...]

]]> By: Show AND Tell: How to Raise Financially Responsible Kids « Finance Blog http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-12168 Show AND Tell: How to Raise Financially Responsible Kids « Finance Blog Fri, 12 Mar 2010 13:34:36 +0000 http://wellheeled.wordpress.com/?p=1864#comment-12168 [...] my parents made, they were able to ultimately pay off their mortgage a decade early, invest in other real estate ventures, and pay for my college education. I didn’t quite realize it then, but I realize it now [...] [...] my parents made, they were able to ultimately pay off their mortgage a decade early, invest in other real estate ventures, and pay for my college education. I didn’t quite realize it then, but I realize it now [...]

]]> By: elle & ish http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4562 elle & ish Wed, 29 Jul 2009 02:32:16 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4562 ...and here's to hoping i find a nice, cheap bank owned property in the next year or two. haha :) …and here’s to hoping i find a nice, cheap bank owned property in the next year or two. haha :)

]]> By: elle & ish http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4564 elle & ish Wed, 29 Jul 2009 02:29:47 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4564 This sounds just like Silicon Valley. Sigh. This sounds just like Silicon Valley. Sigh.

]]> By: J. Money http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4563 J. Money Tue, 28 Jul 2009 21:26:00 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4563 Hah! I hear that....I've come across some places in the city that have condo FEES of up to $1300/mo. - that's not even including the mortgage. It's all about what makes you happy though - it very well may for people ;) Hah! I hear that….I’ve come across some places in the city that have condo FEES of up to $1300/mo. – that’s not even including the mortgage. It’s all about what makes you happy though – it very well may for people ;)

]]> By: Miss M @ M is for Money http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4561 Miss M @ M is for Money Tue, 28 Jul 2009 19:49:05 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4561 Not sure where you are looking, but the eastside isn't that bad. $500k will get you into Silverlake again, that wasn't possible a year ago. In Alhambra prices are now in the $300 and $400k range, lots of dim sum! Or you could move to my area and pay $200k to $300k, but you gotta put up with some funk. The house next door closed at only $117k, so you can't say all of LA is unreachable. I make that much in a year. Not sure where you are looking, but the eastside isn’t that bad. $500k will get you into Silverlake again, that wasn’t possible a year ago. In Alhambra prices are now in the $300 and $400k range, lots of dim sum! Or you could move to my area and pay $200k to $300k, but you gotta put up with some funk. The house next door closed at only $117k, so you can’t say all of LA is unreachable. I make that much in a year.

]]> By: TeacHer http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4560 TeacHer Tue, 28 Jul 2009 18:46:25 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4560 Sounds a lot like the D.C. metro area. Sigh. Sounds a lot like the D.C. metro area. Sigh.

]]> By: Paragon2Pieces http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4559 Paragon2Pieces Tue, 28 Jul 2009 18:41:49 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4559 I'm with Carolyn, this is one of the reasons I was motivated to come to UT Law/McCombs and consider living in Texas (even though SoCal is close to my heart, as it is to yours). I’m with Carolyn, this is one of the reasons I was motivated to come to UT Law/McCombs and consider living in Texas (even though SoCal is close to my heart, as it is to yours).

]]> By: Bonnie http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4558 Bonnie Tue, 28 Jul 2009 16:46:15 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4558 Yikes. BF and I want to move to SoCal so bad, but it makes you think when you hear things like that. We live in the Midwest right now and in our city, you can get a really nice house in a good neighborhood for 200K or sometimes even much less. 500K will buy you a mansion. Seriously. On the other hand, SoCal is paradise on earth, so...there's the tradeoff. :) Yikes. BF and I want to move to SoCal so bad, but it makes you think when you hear things like that. We live in the Midwest right now and in our city, you can get a really nice house in a good neighborhood for 200K or sometimes even much less. 500K will buy you a mansion. Seriously.

On the other hand, SoCal is paradise on earth, so…there’s the tradeoff. :)

]]> By: Carolyn http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4557 Carolyn Tue, 28 Jul 2009 16:32:54 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4557 Move 2 Austin!! ;-) Move 2 Austin!! ;-)

]]> By: L.A. Daze http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4550 L.A. Daze Tue, 28 Jul 2009 14:54:45 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4550 Over here in Los Angeles, $500K gets you a piece of crap in Inglewood. Inglewood peeps. Not exactly where anybody wants to live. Over here in Los Angeles, $500K gets you a piece of crap in Inglewood. Inglewood peeps. Not exactly where anybody wants to live.

]]> By: KAD http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4556 KAD Tue, 28 Jul 2009 13:45:01 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4556 Don't be offended, but I'm going to play devil's advocate for a moment. At the very least it might make you feel less disgruntled: Why do you want to buy? You are young and single! Are you *definitely* going to be where you are geographically for at least the next five years? Are you ready to own property forever and ever (if you can't sell it)? Are you ready to fix everything yourself, and/or argue with the snotty board of your HOA to get something repaired or changed, and/or pay a lot of money to repair people over the next five decades? Yes, you CAN do all of those things, of course, because you are an independent and confident young woman and you are careful with your money. But do you WANT to do all those things? Do you YEARN to spend so much time and money and be tied to something for the next 30 years? Have you actually sat down and calculated what your monthly budget would look like with a mortgage and at least $200 of repairs and misc house purchases? Or an HOA fee, for a condo? How would your budget change if your property taxes go up (they always do)? Think about alternatives. How much would you have after one year if you saved all of that money instead of spending it on a mortgage and repairs/fees every month? After two years? Five years? What ELSE could you do with that chunk of change? (Travel? Invest? Start your own business?) I am not knocking homeownership or trying to crush your dream. I just wish someone had said these things to me (and I had listened and thought them through) before I bought my house. It's like the difference between wanting to have a dog and actually adopting a puppy. I love my dog and I like my house, but the actual experience is very different from what i thought it would be! Cheers, KAD (And yes, California real estate is ridiculous. In 2004, I bought a four-bedroom, 1900 square foot house, built about 100 years ago, with beautiful woodwork, central air, hardwood floors and a nice yard, in perfect move-in condition, on a nice street in my upstate New York town for $109K. Yes, you read that right.) Don’t be offended, but I’m going to play devil’s advocate for a moment. At the very least it might make you feel less disgruntled:

Why do you want to buy? You are young and single! Are you *definitely* going to be where you are geographically for at least the next five years? Are you ready to own property forever and ever (if you can’t sell it)? Are you ready to fix everything yourself, and/or argue with the snotty board of your HOA to get something repaired or changed, and/or pay a lot of money to repair people over the next five decades?

Yes, you CAN do all of those things, of course, because you are an independent and confident young woman and you are careful with your money. But do you WANT to do all those things? Do you YEARN to spend so much time and money and be tied to something for the next 30 years?

Have you actually sat down and calculated what your monthly budget would look like with a mortgage and at least $200 of repairs and misc house purchases? Or an HOA fee, for a condo? How would your budget change if your property taxes go up (they always do)?

Think about alternatives. How much would you have after one year if you saved all of that money instead of spending it on a mortgage and repairs/fees every month? After two years? Five years? What ELSE could you do with that chunk of change? (Travel? Invest? Start your own business?)

I am not knocking homeownership or trying to crush your dream. I just wish someone had said these things to me (and I had listened and thought them through) before I bought my house. It’s like the difference between wanting to have a dog and actually adopting a puppy. I love my dog and I like my house, but the actual experience is very different from what i thought it would be!

Cheers,
KAD

(And yes, California real estate is ridiculous. In 2004, I bought a four-bedroom, 1900 square foot house, built about 100 years ago, with beautiful woodwork, central air, hardwood floors and a nice yard, in perfect move-in condition, on a nice street in my upstate New York town for $109K. Yes, you read that right.)

]]> By: Jessie http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4555 Jessie Tue, 28 Jul 2009 13:17:16 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4555 It's pretty much ridiculous everywhere, it seems. I'm in Alberta and the prices are just stupid up here too! have you started saving for a down payment, even though buying a home is a few years away? It’s pretty much ridiculous everywhere, it seems. I’m in Alberta and the prices are just stupid up here too!

have you started saving for a down payment, even though buying a home is a few years away?

]]> By: Sarah http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4554 Sarah Tue, 28 Jul 2009 11:07:14 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4554 Not surprised. I'm glad I don't live in Cali! Not surprised. I’m glad I don’t live in Cali!

]]> By: StackingCash http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4552 StackingCash Tue, 28 Jul 2009 06:49:37 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4552 After this housing crisis, I'm very wary of home ownership. Just like the stock market, there are no guarantees. I used to believe the hype of the stock market, not anymore. I used to believe the hype of homeownership, not anymore. Sometimes the simplicity is thunderous, n'est pas? After this housing crisis, I’m very wary of home ownership. Just like the stock market, there are no guarantees. I used to believe the hype of the stock market, not anymore. I used to believe the hype of homeownership, not anymore. Sometimes the simplicity is thunderous, n’est pas?

]]> By: Sunflowers http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4553 Sunflowers Tue, 28 Jul 2009 06:34:25 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4553 In my slice of SoCal, 500k gets you a 2 bedroom condo... :( I'd prefer to live in a nice house in Orange County! In my slice of SoCal, 500k gets you a 2 bedroom condo… :( I’d prefer to live in a nice house in Orange County!

]]> By: Money Maus http://www.wellheeledblog.com/2009/07/27/where-500k-gets-you-blah/comment-page-1/#comment-4551 Money Maus Tue, 28 Jul 2009 05:26:49 +0000 http://wellheeled.wordpress.com/?p=1864#comment-4551 And likewise in my little slice of SoCal! The 3-bed, 2.5-bath, 1900 sq ft townhouse we rent in the very nice area that I live in sells for OVER $600K, according to Zillow. And that's with the recent drop in real estate, with barely some renovations to the units (ie partial hardwood floor, new carpet but not new appliances or horrible bathroom counter replaced) from when the complex was built in 1988. And that's one of the BEST units - ours is a dump compared to it! Gah... And likewise in my little slice of SoCal!

The 3-bed, 2.5-bath, 1900 sq ft townhouse we rent in the very nice area that I live in sells for OVER $600K, according to Zillow. And that’s with the recent drop in real estate, with barely some renovations to the units (ie partial hardwood floor, new carpet but not new appliances or horrible bathroom counter replaced) from when the complex was built in 1988. And that’s one of the BEST units – ours is a dump compared to it!

Gah…

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