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> Most people I know could not afford their house if they were buying it today How is that true if you moved to a place with an equivalent cost of living? I h
by scarface74 3y ago
> Most people I know could not afford their house if they were buying it today
How is that true if you moved to a place with an equivalent cost of living?
I had my house built in the suburbs of Atlanta for $350K in metro Atlanta. It’s now worth $650K. If I wanted to buy another house for $650K, I would sell my house. Get $300K in cash, use it for a down payment, and still have a $350K mortgage.
Of course I’m ignoring selling costs, interest rate differences etc.
I have a friend who located from Seattle to Atlanta. He also had a home in Seattle, he had $600K in equity that he was able to use to get a $900K house in Atlanta and have a $300K mortgage.
- yunohn 3y agoI find it hilarious when HN threads go deep, and commenters forget the actual point. This post and thread are talking about moving due to losing a job. Not about a calculated move done for financial gain.
- scarface74 3y agoThat’s just it. My friend from Seattle did move for a job. The other poster said that because of rising home prices, someone who owned a home couldn’t afford an equivalent home. My argument is that their current home probably also went up in value and they could use the equity to pay a large down payment to make a new home affordable. Alternatively, pocket the equity and rent instead of making a commitment to buy.
- yunohn 3y agoThat is what is commonly called an anecdote. Most people who are fired do not end up winning the housing profit lottery.