Real Life question. House/Condo/Apartment. HELP!!!!! :)?

Question

SCENARIO: A 23-year old female is working her way toward obtaining a Bachelor's degree. She and her boyfriend of three years are about to cohabitate. They must choose between a house, condominium and apartment. Their combined annual income is approximately $60,000. She does not like the idea of apartment living since, in her mind, the rent is wasted money and does not go toward owning anything. However, a condo or house are very big commitments and she is not sure if she is ready. Which would be the wisest option for our college student?

THANKS!!

Answer 1

The reason one rents is that the rent expense is considerably LESS than the capital outlay required to own. Unless you are ready and can afford a mortgage, maintenance, etc. and can KEEP affording it for the far forseeable future, you should rent. ESPECIALLY if, as a college student, you do NOT know what job you will get (if any) and therefore what salary you might command.

Answer 2

Personally being a young married woman and homeowner and a mortgage loan officer for 3 years I would suggest either buying a condo or renting. A house could have too much maintance and upkeep when this is your first place.

Apartment: Negative - renting an apartment you do not gain any positive equity and it does waste money. Positive - you have a lease agreement and it is short term and you do not have to worry about selling. You don't have HOA dues - HOA dues when you buy a condo must be paid monthly for upkeep of your condo development.

Condo: Negative - You have to sell, condos are hard to sell especailly if you are in a development where many people are selling you never really make a profit either. Think of it this way if you pick up a condo cheap because you bought in a complex where many people are all trying to sell at once, don't you think if you go to re-sell many people will be selling again and the buyers are going to go for the lowest taker. Positive: You are a homeowner! You are paying toward equity a positive investment, not a negative one like an apartment. You establish better credit with ontime payments, and the government can help you with 100% financing so you will not have to put money down.

***Your overall decision should be based on how much you can afford monthly. Not only on your new house payment, but factor in utilities, cable, internet, home insurance, car payment and car insurance (if applicable), taxes, weekly newspaper, and still behave and do you normal activities. This is the hardest to balance.

If you want to get pre-approved for a condo or house I am a licensed loan officer and I would be happy to see if I can help. 440-832-7772 is my direct phone or 888-529-5001 ext 772 is my toll free line. My name is Lindsey. Thanks! Good Luck!

Answer 3

The apartment is a great short term (less than 3 years) way to go. Owning a condo/house should ONLY be a choice if you are not going to sell it within 5 years. ('cause you won't have any equity built up and could lose money when you sell)

The apartment way also allows you to put back money for a downpayment on a house/condo later.

Answer 4

Owning is nearly always the wisest option, however, owning with someone to whom you are NOT married, can create untold problems down the road. Better to cohabitate in an apartment until such a time as wedding bells chime. The legalities of doing it the other way can be very unpleasant should the "happy couple" decide NOT to marry and sell their jointly owned property.

Answer 5

It is predicated upon the atmosphere. many moms and dads have made important investments by using identifying to purchase close to-campus residences or condos for the 4 college years, and then turning around and turning the valuables into pupil condo housing. this female might could evaluate the fee of leases vs. the fee of domicile money, property tax, an perfect realtor property administration fee if she chooses to pass away city, etc. besides, she desires to attain whether pupil housing is temporarily grant. i in my view think of that buying a property is a super concept in case you have 3 to 4 years left to pass at college. in the experience that some time is shorter, your investment will possibly not pan out for you.

Answer 6

Rent!! Me and my boyfriend are currently living together while we are in college too. It's so much cheaper! We have an apartment. We looked into house, but you have to consider taxes, insurance, and other things that could go wrong (heating/air goes out, hot water tank breaks) while renting you are not responsible to pay for these things to be fixed. You won't have to worry, or pay for your lawn to be taken care of. Some places has all utilities included, and that makes it so much cheaper. I would say, for a college student (from personal experience) renting is cheaper...

Answer 7

Rent is a great option if you can't commit to stay were you're at for atleast 2-5 years. "Wasting" rent money is better than paying to get rid of a house/condo when you move.

Answer 8

Rent an apartment till you know you stay with this dude. Don't even go for a long least, get a month to month, cause thats how long most of these things last.

Answer 9

I suggest a condominium (less maintenance).You also have to consider assessment fees. This is a good debt and it will help your credit.

Answer 10

I'll try to be direct. Women are foolish to have sex with a man who is not her husband. They are doubly foolish to move in with him. They're just stupid to buy real estate with him.