Often times, I take a question from a reader and turn it into a post; well, I thought I’d turn it around today. It’s time for you, the reader, to give me your two cents.
A few years ago, I graduated from college and headed from Michigan to Florida to look for work. My friend had already found a job in Palm Beach County, so I figured I’d rent a place with him while I searched.
To fast-forward a bit, I found that job, got married, rented a few other places, and then decided that it was about time to make my way back to Michigan. Currently, my wife and I are residing in a 4 bedroom, 2 bath rental house. It’s great, but you know what? We’re sick of renting. We plan on sticking around here for a long time and we feel that we’re ready to invest our money (rather than throw it away renting) in some property of our own.
We’re Ready to Buy, So What Should We Get?
We have a general idea of the area we’d like to live, but we can’t really decide whether we want to buy a house or a condo (by condo, I mean one large 4 story building with with condos within, kind of like a hotel). So here are the pros and cons of each as I see them, but I’d like to know your opinion.
I like the idea of a house mainly because I got sick of hearing footsteps from the rental unit above us. If you’re in a house, at least your annoying neighbors won’t be heard so easily. With this comes cons as well though. We’d have to be ready for those inevitable large expenses like a new roof, or an updated exterior.
The condo that we’re looking at offers some pros: mainly, it’s a highly-desired space and it would make a great rental property later in life. However, this condo costs about 30% more per square foot than many of the houses in the same area. It has monthly dues of about $75 (which would cover the exterior and common ground fees), and with all of the recent foreclosures, I wonder if there’s enough funds for the property management group to make the necessary repairs in the future (I don’t like the idea of having little control over this).
So What Do You Think?
There are pros and cons to each of these decisions, but we have not yet been homeowners. Since many of you have, I’d like to hear your opinions!
Should we go for the condo or a house? What experiences have you had?
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.