When does the need for a stressfree lifestyle trump common financial sense?
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|Wed, 09-19-2012 - 9:56am|
Let me explain :
I own a house in a very high priced city. We are ranked in the top 3 best places to live in Canada and the median home price here is around $300K (to give you an idea, there is not one home/condo/apartment for sale in this city less than $130K).
I bought my home for $328 and invested probably $20k into it rennovating and doing the furnace. I still need to do a bathroom, recarpet a room and paint. I had it valued and they think I could get somewhere around $380-$390 for it since I am in a perfect pricepoint (starter home with great property).
The problem is this: I can't keep up with the house. I am single, work 70-80 hours a week with two large dogs and I am having huge issues trying to keep up with basic maintenance and gardening. I have resorted to hiring someone to do it fore me (it doesnt' help that I am allergic to grass and when I cut it I swell up like a balloon, even with my anthihistamine). The layout of the home isnt' very workable for me either, but I can deal with it for a while.
So here is the issue:
There is a new build happening in my city down by the waterfront. There are only 50 townhomes available and they will be previewing in the next few weeks. They start from the mid 300's and I have no idea how long the build would take (I would guess at least a year). I am seriously considering buying one. Here is my pro and con list:
- Pros: Brand new home in great location (less than 5 minutes to the lake and the shops in the city)
- Towhhome with no maintenance (there is a small maintenance fee of about $70 a month for landscaping, snow removal etc)
-Assuming I increase my mortgage to $350K (just to be on the high side) the weekly payment is the same as what it was in the beginning of the year so I know I can carry it
- Likely lower property taxes because its a townhome (TBD)
- Better chance for increasing value due to location (not banking on it)
- Have about a year to save/ pay down debt/ move (possibly more)
- Spoke with some agents and if I wanted to rent out the place, the townhome woudl be easier then the house.
- Have to move
- Will need to invest about $5k to get this house ready for sale
- No guarentee what I will walk away with
- Will lost ~ $20K immediately due to real estate/ lawyers fees
- Will need extra $ to pay for things like central air/ blinds that do not normally come with new builds.
- Will increase the length of my mortgage slightly.
I can see from this list there are more cons than pros, but I'm going to be honest, I'm really considering this. The idea of living in this location is amazing (I drive down there on average 2 times a week to walk the dogs along the lake) and the fact that it will be so much more suited to my life is really making me wonder . . .
Okay folks . . . give me opinions, good bad or otherwise!