Let's say your rent is $4,195 a month, and you have found a nice condo in your area for $1,250,000. You have 3% for a down payment and the HOA is $400 a month. If your rent stays the same for the next 12 years, which it will probably not, and if the price of the condo stays the same for the next 12 years, which it probably will not, you will break even. Will you be able to refinance in the future and bring the rate down? Will your HOA dues increase? Will your homeowners insurance be canceled? Will there be a special assessment on your unit that you have to borrow money to pay for? Will your property taxes increase? What was the opportunity cost on the $70,833 closing costs that you brought to escrow? Were you able to stay more than 12 years, or did you have a career change? All we can do is project the "knowns," which are the numbers that are apparent right now. We leave it up to you to gamble the rest.
The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. Keeping Current Matters, Inc. does not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Keeping Current Matters, Inc. will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.
Housz, Inc
2235 Sepulveda Blvd.
Torrance, CA 90501
310.808.8714
feel what it's like to not have to answer the phone.
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Housz, Inc. DRE# 02162848Â
Christopher M Plante License DRE # 00902661
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