If you're going to live in the home for many years, $90,000 is a wash.I am considering the purchase of a home. The one-way work commute would be 29 minutes from a home in Area A, 37 minutes from a home in Area B.
Area A - near the highway, highly desirable shopping and suburban-center area. Homes have 20-year history of 6% annual appreciation, though have doubled since 2017.
Area B - an 8 minute drive away from the highway, shopping and suburban-center area. Homes have 20-year history of 4.5% annual appreciation, up about 70% since 2017.
To get an idea of median pricing differentials, homes for $525,000 in Area A are equivalent to homes for $435,000 in Area B.
Area A would be preferable, but more costly. Would be interested in any of your thoughts on navigating this value judgment.
Note that Americans are changing jobs more frequently than in the past. You should also consider potential commutes as well as your current one.
I would also not look at the past appreciation to judge future. Aside from the standard disclaimer that "past performance is not indicative of future returns", climate and demographics can alter the desirability of location.
I'm sure everyone purchasing homes in 2007 also looked at housing appreciation as a given.
Statistics: Posted by exodusNH — Mon Jun 17, 2024 6:32 am — Replies 5 — Views 337