That House Costs WHAT?!?!

[ladypirate]

Date: 3/30/2008 11:02:51 PM
Author: luckystar112
Our house is (we're still paying for it, obviously) 112k, and it is 4 bedrooms, 2.5 bathrooms. Crazy, I know. We live just north of Houston. But it's not like our house is the nicest on the block or anything. But 250k down here can get you a really nice house.

We plan on moving to the northeast as soon as I graduate college. My parent's house is the same size/bedrooms/bathrooms as ours and cost around 350k! I have no idea how we're going to do it, but we're going to have to because I refuse to stay here. lol. We're thinking that since the cost of living is higher you probably get paid more. We also figure that if we fix this house up and sell it for a good profit, we can put a huge down payment on a more expensive house and try to keep our mortgage low. *Hopefully*. We'll just have to see!!! I'm nervous though. We're definitely spoiled down here.

That's true to some extent, but the difference in housing prices/cost of living in general is WAY more than the difference in pay. The sad thing is that the high rent that goes along with the housing costs make it nearly impossible to get into the housing market. Here, a small one bedroom apartment will run you around $1200-1500 a month or more. Paying that much each month in rent makes it hard to save for a down payment, unless you're making 6 figures...not to mention paying off student loans, etc.

ETA: Kelly, I'm glad that the repairs are going well!

 

[omieluv]

Date: 3/30/2008 7:21:33 PM
Author: Haven
It''s REALLY interesting to see the differences, isn''t it Dani? I''m going to have to watch more of this HGTV to get a peek inside of other real estate markets.

I''m sure our house looks like a steal for people living in pricier markets than Chicago, and that just boggles the mind, too! I shouldn''t be so surprised, though, because I see a huge difference in the cost of homes even a few suburbs west of where we are.

Tell me about it. My friend bought a 3 bedroom / 2 bathroom home in Aurora for like $170k, while homes in my suburb (near west burb of Chicago) start at $350k for a small 2 bedroom / 1 bathroom home.

Location, Location, Location!!

 

[Haven]

We''re in the same state, Omie! FI and I are in the process of buying a house on the North Shore, so we''re just north of Chicago.

SKIPPY--YES! Let''s get together when you come to Chicago in May, I''d love to finally meet you! Perhaps we can organize a little Chicago GTG and you can meet all of the Chicago PSers!

 

[blushingbride]

Well, DH and I just bought our first investment property in NYC - it''s an 800 sq. ft. duplex condo for $600K. My DH is in real estate and apparently, it''s a steal here. In NYC it''s all about the price per sq. ft. and ours is around $720 per sq. ft which is an incredible deal. The three things it has which people pay for around here is location, view (20th floor) and it''s got an upstairs.

CRAZY!!!!

 

[blondie23]

It's true. Housing prices really do vary that much. I live in Dallas, TX and just bought my first home with my FI. It's 2100 sq ft and cost us ~$275K. It's completely new with granite, hardwood floors, stainless steel appliances, etc. I really am so lucky to live where cost of living is still low. There is no way I would be able to afford a house in Chicago so I feel for you ladies!

 

[omieluv]

Date: 3/31/2008 5:57:21 PM
Author: Haven
We''re in the same state, Omie! FI and I are in the process of buying a house on the North Shore, so we''re just north of Chicago.

I know Haven & I was happy to see another Chicago area person on PS!! I just wanted to add that I too feel your pain about the variance in home prices across Chicago and the burbs! We could never afford to buy a nice 3 bedroom 2 bath home in my burb, those start at like $400k!! For $400K in Aurora, you could have mansion with maid service!! The problem is, I do not want to live in Aurora!

 

[Ellen]

This is one of the only perks to living in the midwest. lol We bought our home 20 years ago. It''s worth 3 times at least what we paid (insanely low for a nice, extremely well built home), and if you stuck it in CA, it would go for well over a million. Which is just insane to me.

 

[Haven]

Date: 3/31/2008 6:59:08 PM
Author: omieluv

Date: 3/31/2008 5:57:21 PM
Author: Haven
We''re in the same state, Omie! FI and I are in the process of buying a house on the North Shore, so we''re just north of Chicago.

I know Haven & I was happy to see another Chicago area person on PS!! I just wanted to add that I too feel your pain about the variance in home prices across Chicago and the burbs! We could never afford to buy a nice 3 bedroom 2 bath home in my burb, those start at like $400k!! For $400K in Aurora, you could have mansion with maid service!! The problem is, I do not want to live in Aurora!

I don''t know Aurora, but my FI and I did look in some northwest suburbs (Buffalo Grove, Long Grove, and even Lake Zurich) because we could buy so much more out there. BUT, in the end we decided the same thing--we don''t want to live in Buffalo Grove! It is a shame, though, we could have bought a nice-sized 4 bedroom home with a basement and two-car garage in any of those locations (and bigger as you move further west to Lake Zurich) but they are so far north and west, we don''t want to live that far from the city.

I''m grateful that we found our home, though, because I really love it. Many of my colleagues think we''re insane to buy a tiny home for what we''re paying, but for us the location is worth the extra cost.

I wonder how many people end up moving farther out in the suburbs when they realize how much more they can buy? There really is a huge difference out here if you move just twenty minutes west (or north.)

 

[Tacori E-ring]

One of the reasons I *love* NC is affordable housing! I cannot even imagine how difficult it is to buy in some markets.

 

[sap483]

I''m always amazed by the difference in prices too! I have a client in Houston and everytime I''m down there I take a look at the home listings. For what FI and I paid for our 1500 sq.ft. ''fixer upper'' cape in the Northeast we could have a 4000 sq. ft. home with all the bells and whistles in Houston.

P.S. I''ll be in Chicago the last week of April and the first week of May for work. If your get together happens to be during that time, I''d love to meet all of you!

 

[anniee19]

It''s so interesting to see the diferences... I live in Michigan and recently (2 months ago) bought a 1600 sq foot house, less than 15 years old for under $100,000. I think we''ve put less than $2000 into it so far in updates...it looks like brand new!! I love watching Flip That House, but it''s just so weird to see properties out west going for 5x what we paid, for a dinky little thing in a bad area.

 

[ladypirate]

Date: 4/1/2008 2:39:35 AM
Author: anniee19
It''s so interesting to see the diferences... I live in Michigan and recently (2 months ago) bought a 1600 sq foot house, less than 15 years old for under $100,000. I think we''ve put less than $2000 into it so far in updates...it looks like brand new!! I love watching Flip That House, but it''s just so weird to see properties out west going for 5x what we paid, for a dinky little thing in a bad area.

LOL--we''re trying to save up nearly $100K for a down payment! We''re hoping to find something for around 300-400K after we move. The weird thing is that anything less than 500K seems so reasonable to us because we have these crazy ideas of what houses should cost.

It''ll definitely be a couple of years before we can afford it.

 

[LegacyGirl]

Date: 3/31/2008 6:46:14 PM
Author: blondie23
It's true. Housing prices really do vary that much. I live in Dallas, TX and just bought my first home with my FI. It's 2100 sq ft and cost us ~$275K. It's completely new with granite, hardwood floors, stainless steel appliances, etc. I really am so lucky to live where cost of living is still low. There is no way I would be able to afford a house in Chicago so I feel for you ladies!

I hate you

If I could find that where I live I'd be one happy camper. I'm lucky if I can find a fixer upper with bad foundation at that price!

Things are working their way down though.. as long as it keeps going that way I will be happy.

 

[divergrrl]

If you want sticker shock, compare someplace rural in the middle of nowhere Indiana to San Francisco and your jaw will drop. If I moved to TX I could buy such a McMansion for what my regular home (but its pretty good sized...3400sqft or so) costs in the PacNW. Ridiculous. I''d love to move someplace warmer, but we can''t afford the ciites I love...San Fran, Pasadena, Santa Barbara.

Oh well.....

 

[ladypirate]

Date: 4/1/2008 4:33:28 PM
Author: divergrrl
If you want sticker shock, compare someplace rural in the middle of nowhere Indiana to San Francisco and your jaw will drop. If I moved to TX I could buy such a McMansion for what my regular home (but its pretty good sized...3400sqft or so) costs in the PacNW. Ridiculous. I''d love to move someplace warmer, but we can''t afford the ciites I love...San Fran, Pasadena, Santa Barbara.

Oh well.....

You could come visit Santa Barbara, though--we''re having really nice weather right now!

Where in the PacNW do you live? We''re planning on relocating to Portland this summer.

 

[mimzy]

Date: 4/1/2008 2:39:35 AM
Author: anniee19
It''s so interesting to see the diferences... I live in Michigan and recently (2 months ago) bought a 1600 sq foot house, less than 15 years old for under $100,000. I think we''ve put less than $2000 into it so far in updates...it looks like brand new!! I love watching Flip That House, but it''s just so weird to see properties out west going for 5x what we paid, for a dinky little thing in a bad area.

whereat in MI are you?? i''m just south of detroit,and that''s what the prices are like around here too. and for decent homes!

 

[divergrrl]

LP -- I''m in Portland! Actually an overpriced suburb just a few miles out...but you''ll love Portland. Rains a ton though...like 290 days a year or some jazz like that. I''m a native Portlander, grew up in the city. But we have great restaurants, good schools...you''ll have your choice of old neighborhoods,old houses, city, suburb, new housing subdivisions, whatever floats your boat.

Our housing prices are good compared to L.A., prices vary in each area with the more "desirable" areas being higher priced, but 400k is a good price for a family home in the 2000 sq ft. range--that isn''t a fixer upper. All in all a very nice, safe, fun city to live in! Welcome!!

 

[ladypirate]

Date: 4/1/2008 5:06:42 PM
Author: divergrrl
LP -- I''m in Portland! Actually an overpriced suburb just a few miles out...but you''ll love Portland. Rains a ton though...like 290 days a year or some jazz like that. I''m a native Portlander, grew up in the city. But we have great restaurants, good schools...you''ll have your choice of old neighborhoods,old houses, city, suburb, new housing subdivisions, whatever floats your boat.

Our housing prices are good compared to L.A., prices vary in each area with the more ''desirable'' areas being higher priced, but 400k is a good price for a family home in the 2000 sq ft. range--that isn''t a fixer upper. All in all a very nice, safe, fun city to live in! Welcome!!

Thanks! We''re really excited about it. I went to college in the PacNW, so the weather shouldn''t be too much of a shock. Maybe there''ll have to be an Oregon gtg in the fall!

As far as houses go, we''d love to find a smallish (1500 square foot or so) 2 or 3 bedroom as a starter home, since it''ll just be the two of us for a few years yet (we''re thinking kids in 5-7 years). We''ll be renting for at least another year or two, so it should give us an opportunity to figure out what neighborhoods we like.

 

[fisherofmengirly]

I was born and raised in California, so when I moved to NC after college, and then Georgia when I married Paul, I was *shocked and amazed* at the cost of homes.

While in NC, there were several homes that would have been lovely for a single person, and one of them I almost purchased in 2005, but just prior to putting in an offer, I met Paul and plans changed. It was in a small rural area just north of Greensboro and was under $100,000. I don''t remember the square feet, but it was a small three bedroom home.

Here in Georgia, I''m still amazed at the cost of homes. The house we''re in the process of buying is very nice and a good size (right at 2,000 square feet, not including the basement) and is a very good price. There is no way we could afford a home like this in California.

In Cali, I''d be surprised to find it under 700,000. Very surprised.

It''s true that there is a difference in cost of living, but in our fields (education and social work), the salaries don''t vary by much. We''d be in the poor house in California!

Makes me glad to be in the South (for now). I still ache for home, though....

 

[fisherofmengirly]

Tacori, I''d forgotten you were in NC! I should have gone to one of those meet ups while I was there.

 

[pinkstars]

My mom experienced the same thing. She bought a lovely 4 split level home in Ohio for $120,000. When we moved up to Alaska the homes are similar, but to buy the same kind of home could easily be close to $300,000. Now she''s in New Jersey and she couldn''t find anything to rent that was decent enough...she house she bought isn''t spectacular but it''s the best she could get there.

 

[zoebartlett]

Date: 3/31/2008 11:02:17 PM
Author: Tacori E-ring
One of the reasons I *love* NC is affordable housing! I cannot even imagine how difficult it is to buy in some markets.

NC still intrigues me. It''s a place we may consider moving to someday. I''m in New England and the houses are expensive. It''s sad.

 

[asscherisme]

That show amazes me too. Especially when they have southern Callfornia homes.

Haven, do you mind if I asked why you did not like Buffalo Grove?

I hope your new house works out great.

 

[Haven]

Date: 4/2/2008 7:09:55 PM
Author: asscherisme
That show amazes me too. Especially when they have southern Callfornia homes.


Haven, do you mind if I asked why you did not like Buffalo Grove?


I hope your new house works out great.

Thanks asscher!

As for BG, I actually grew up there and went to SHS (not sure how familiar you are with the area). In fact, my parents still live in Lincolnshire so I''m in the area quite a bit. It''s a nice town, but just not what I want for my family. To be honest, it''s less of a town to me and more of a conglomeration of subdivisions and strip malls. It lacks a center, so to speak, and FI and I knew we wanted to end up in an area with a bit more character. You can buy a lot more house there, though, so it was tempting.

The other thing is that I''m a public school teacher so I''m REALLY picky about school districts. The schools have great reputations (nationally, even) but they just don''t value what I value in education.

It''s also pretty far west and we wanted to be closer to the city.

My FI and I spent an enormous amount of time thinking about where we''d like to end up, and we''re elated to have been able to afford a home in our ideal town.

 

[anniee19]

Mimzy- I''m live outside of Lansing!

 

[Clio]

When we lived in Texas, we had a fabulous house - 3300 sq. ft. with a pool, lots of character, gorgeous gardens. It cost $225K.

Then we moved to the DC area, and boy what a heartbreaking shock that was. I think you can maybe get a condo in our town for $225K.

 

[Keepingthefaith21]

Oddly enough, SO and I were talking about a similar topic last night.

We bought our first home in Southern MA about a year and a half ago. The house was priced right and is large enough that we could comfortably start a family there. SO''s sister bought a home for half the cost in Maine. We were looking on-line at houses in her area just to see the difference in price and we were floored! If we bought in Maine at the price we paid in MA, we could have bought a very large home with lots of land for the same price.

The difference in cost is jaw dropping on either end of the spectrum.

 

[luckystar112]

Date: 4/3/2008 12:26:24 PM
Author: Keepingthefaith21
Oddly enough, SO and I were talking about a similar topic last night.

We bought our first home in Southern MA about a year and a half ago. The house was priced right and is large enough that we could comfortably start a family there. SO''s sister bought a home for half the cost in Maine. We were looking on-line at houses in her area just to see the difference in price and we were floored! If we bought in Maine at the price we paid in MA, we could have bought a very large home with lots of land for the same price.

The difference in cost is jaw dropping on either end of the spectrum.

What part of Maine does you sister live in? Is she close to the ocean?
I''ve been browsing housing costs up there (I grew up in Maine) and it seems like they get less expensive the further away from the ocean you are. They also seem to get less expensive the more north you are...
I''m interested if there really is a big difference in prices between Maine and Mass, because FI and I were thinking Mass or Conn when we move to the northeast.
Of course, either way it will be a sticker shock to us because we live in TX right now. My parent''s house is the same size as ours and it costs double!

 

[Phoenix]

Don''t get me started on house prices!!

In Singapore (and from what I gather HK) where we live, you CANNOT get anything decent (private housing) for under USD1m. I am kicking myself (or rather hubby who wouldn''t listen to me at the time - some 3 yrs ago) for not getting a house in Sentosa (a little island off the slightly less little island called Singapore LOL, but still part of Singapore - I know it''s a bit confusing, don''t ask!

). At the time, a 8,000 sq ft piece of land in Sentosa cost about S$2 -2.5m (current exchange rate is US$1 = S$1.38 approx). If we''d bought the land (water facing btw) and spent another S$1-1.5m building it, we could have turned round and sold it for anywhere from S$8-$15m !!! CRAZY!!!

AND what''s even MORE CRAZY is that these properties in Singapore are only on a 99yr leasehold (I understand the concept of "leasehold" may not exist in the US, only "freehold", ie. you own the land/ property forever without having to worry about the freeholder (in S''pore''s case, the government) taking it back or charging you an arm and a leg for renewing the lease. Someone pls correct me if I''m wrong about the freehold thing in the US.

 

[Keepingthefaith21]

Date: 4/3/2008 1:43:57 PM
Author: luckystar112


What part of Maine does you sister live in? Is she close to the ocean?
I''ve been browsing housing costs up there (I grew up in Maine) and it seems like they get less expensive the further away from the ocean you are. They also seem to get less expensive the more north you are...
I''m interested if there really is a big difference in prices between Maine and Mass, because FI and I were thinking Mass or Conn when we move to the northeast.
Of course, either way it will be a sticker shock to us because we live in TX right now. My parent''s house is the same size as ours and it costs double!

She lives wayyyyy up in Northern Maine (past Augusta and the China Lakes region). It''s SO''s sister so I am not certain of the town name. She is not near the coast at all. SO''s father was just telling us that Maine is raising the taxes significantly on properties near the water. So, if you continue to look in the waterfront areas, be very careful about taxes in the very near future...they could skyrocket!

The market in MA is very stagnant so you may be able to get a good deal on a house...especially if a seller is looking to get out because they are in danger of foreclosure. However, I do believe you will suffer from a bit of sticker shock at first. I''ve lived here my whole life and was still shocked at what little our money would get us out here. It makes New Hampshire a very tempting consideration...