Is buying condo close to work a bad idea(considering stay 5 years)?
hi, i am planning on buying a condo(built 2005), close to work. Monthly charges(principal+Interest+property taxes+HOA+HomeInsurance) is close to 2000. Rent is around 2000 in this area. couls get Townhome(built 1990) similar sqaure feet, 10 minutes away for similar monthy cahrges. latest upgrades, replacing HVAC, roof in good condition etc. considering no repairs needed for atleast 2 years. considering i may stay here for 5 years(thinking just for planning purrposes). which ine is good idea? Is planning in renting later a bad idea? i considered closing charges. Is there any other chargges i am missing?
Would always prefer prefer close to work, if school and community don’t matter to you. As being close to work saves, cumulatively 100s hours in a year which has an opportunity cost, difficult to translate in numbers on paper.
Buy and hold.
Which area is this? Most condo are upwards of 3k monthly near Amazon.
Virginia
Nothing beats living 10 minutes from work. Cannot discount how important that nonexistent commute is.
Don't buy more home than you need for next few years. Seems like you can easily rent this out for positive cash flow in 5 years since rents will increase. Also if you are single, consider renting out the spare bedroom if you dont need it.
Oh yeah, the best part really is commute advantage.
Redfin Link
Rent typically covers maintenance and repair, which you have not factored into your calculations.
Thank you for pointing out. Didn’t added everything in to post. Those were considered but closing costs+maintenance+repairs vs 100k in rents is what I am comparing Also moving houses in these 5 years, rent increase by 5% every time we renew lease are unknowns. But flexibility will be there in renting, I can move if I find new better place but not if I buy
If your 2000 includes maintenance and repairs, then, like you said, flexibility becomes the key differential. Make sure you look over the HOA rules before deciding. Can you rent out the condo or put it up on AirBnB if you needed to? Those options would allow you to have some flexibility with the condo option.