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My house has cost significantly less than that over the time I've owned it. Last year I spent 4000$(CAD) on maintenance, this year I'm at just under 1000$. It'

My house has cost significantly less than that over the time I've owned it. Last year I spent 4000$(CAD) on maintenance, this year I'm at just under 1000$. It's about 60 years old and it really doesn't take much to keep it in decent condition, but I'm also happy to and skilled enough to do a lot of work myself. If I owned a giant American style McMansion I could see it costing that much, but it's a very modest house. When it comes to maintenance costs it's hard to estimate when talking online because every location, house, and person is very different.

ghaff 3y ago
It is an old house but it's less than 2,000 sq. ft. which is not small but certainly not McMansion size. $4K/year property taxes, >$1K/year insurance. Plowing (though that's fairly cheap because my neighbor who shares use of my long driveway does it). I do a lot of little routine stuff but did have a bunch of new windows about 5 years back and a bathroom needed to be redone at about the same time. Have to pay for trash collection. Have had some major projects over the years that were necessary like a new roof. Need a couple new appliances and associated work at the moment. So, yeah, even owning my house outright, it probably costs a good $1,000/month to pay regular bills and keep it in a reasonably stable state.
- BizarreByte 3y ago
  Yah, I think this just comes down to location more than anything. I don't directly pay for garbage, plowing, or anything like that. When I replaced the exterior doors and half of the windows that was about an 8000$ year and that is the worst it's ever been. The guy who installed those was a family friend though, so it was a bit cheaper and I helped. This year I had to replace the water pump, but I did that on my own and it was about a 400$ job. I had to fix one of the soffits, but that was a pretty simple job too. The only thing I dread is the roof, but that's still years and years off since it was new when I bought the place. Generally if I put away 4000-5000$ a year for future maintenance I'm happy, that'll leave me with a giant fund if needed.
- svachalek 3y ago
  When doing a cost comparison of rent vs buy, don't count the principal payments. The interest payments, maintenance costs, and property tax are just as much money down the drain as rent is. What has made owning a house vastly worth it over the past couple of decades is severe under-construction of new housing which has led to prices spiraling upward and creating a gold mine for homeowners. Will that continue? Probably yes. But consider the risk that it doesn't.
  - ghaff 3y ago
    The properties can also be different. In general, you often can't rent a house long-term and set it up the way you like it. (It's simultaneously true that buying that house represents a much bigger commitment than renting an apartment is.)
  - bluGill 3y ago
    > don't count the principal payments. I strongly disagree. You compare all costs. Interest, principal, maintenance, insurance, taxes... If I knew how to calculate them I'd add things like risk that you need to move (realtor fees, potentially making payments on a house you are not living in...) If you sell the house before you die, then you can pull out the difference, which can be applied to nursing home costs. Otherwise the gain of a house is in the lower rent you pay after you pay it off.
    - jjav 3y ago
      > > don't count the principal payments. > I strongly disagree. You compare all costs. Both can work, but if you include the principal as a cost you need to account for the asset value that is increasing your net worth. Of if you don't want to bother with that, counting just the interest as an expense is a resonable simplification. But if you count all rent and all mortgage as a pure expense, then it's not apples to apples.
svachalek 3y ago
Houses have some big ticket maintenance items that come up rarely though. New roof, any kind of foundation work, etc. You've got to keep savings for these things. That said, a modest size and self maintenance go a long way.

ghaff 3y ago

It is an old house but it's less than 2,000 sq. ft. which is not small but certainly not McMansion size. $4K/year property taxes, >$1K/year insurance. Plowing (though that's fairly cheap because my neighbor who shares use of my long driveway does it). I do a lot of little routine stuff but did have a bunch of new windows about 5 years back and a bathroom needed to be redone at about the same time. Have to pay for trash collection. Have had some major projects over the years that were necessary like a new roof. Need a couple new appliances and associated work at the moment. So, yeah, even owning my house outright, it probably costs a good $1,000/month to pay regular bills and keep it in a reasonably stable state.

BizarreByte 3y ago
Yah, I think this just comes down to location more than anything. I don't directly pay for garbage, plowing, or anything like that. When I replaced the exterior doors and half of the windows that was about an 8000$ year and that is the worst it's ever been. The guy who installed those was a family friend though, so it was a bit cheaper and I helped. This year I had to replace the water pump, but I did that on my own and it was about a 400$ job. I had to fix one of the soffits, but that was a pretty simple job too. The only thing I dread is the roof, but that's still years and years off since it was new when I bought the place. Generally if I put away 4000-5000$ a year for future maintenance I'm happy, that'll leave me with a giant fund if needed.
svachalek 3y ago
When doing a cost comparison of rent vs buy, don't count the principal payments. The interest payments, maintenance costs, and property tax are just as much money down the drain as rent is. What has made owning a house vastly worth it over the past couple of decades is severe under-construction of new housing which has led to prices spiraling upward and creating a gold mine for homeowners. Will that continue? Probably yes. But consider the risk that it doesn't.
- ghaff 3y ago
  The properties can also be different. In general, you often can't rent a house long-term and set it up the way you like it. (It's simultaneously true that buying that house represents a much bigger commitment than renting an apartment is.)
- bluGill 3y ago
  > don't count the principal payments. I strongly disagree. You compare all costs. Interest, principal, maintenance, insurance, taxes... If I knew how to calculate them I'd add things like risk that you need to move (realtor fees, potentially making payments on a house you are not living in...) If you sell the house before you die, then you can pull out the difference, which can be applied to nursing home costs. Otherwise the gain of a house is in the lower rent you pay after you pay it off.
  - jjav 3y ago
    > > don't count the principal payments. > I strongly disagree. You compare all costs. Both can work, but if you include the principal as a cost you need to account for the asset value that is increasing your net worth. Of if you don't want to bother with that, counting just the interest as an expense is a resonable simplification. But if you count all rent and all mortgage as a pure expense, then it's not apples to apples.

svachalek 3y ago

Houses have some big ticket maintenance items that come up rarely though. New roof, any kind of foundation work, etc. You've got to keep savings for these things. That said, a modest size and self maintenance go a long way.