3 ms·

>There's also a cost of liquidity. $10,000 sitting in a bank account at 0.1% is arguably worth more than $10,000 of equity in a house that might take 3 months t

>There's also a cost of liquidity. $10,000 sitting in a bank account at 0.1% is arguably worth more than $10,000 of equity in a house that might take 3 months to sell. You make a big assumption with that statement. It strongly (and wrongly) assumes that the monthly payments for owning a home are the same as the rent plus whatever you would be putting into savings. There are plenty of homes in other places you can buy for $2000/mo vs spending $2000/mo on rent in SF while saving separately in either case to maintain the liquidity you are talking about. >As I believe I have demonstrated, you have no justification for this statement; none whatsoever. It's simply not the case that a person who choses to spend one part of his or her life saving money living with roommates in a fun town will be forever "trapped" by that choice. The point is that the numbers in his story only work for the "fun" part of the life. Life experiences are great, but it's difficult to pay for your kid's college and save for retirement when you are pouring thousands a month down the drain with nothing (other than a good time) to show for it.

breckinloggins 13y ago
I don't spend anywhere CLOSE to $2000/mo on rent, and I live in a pretty nice place in the middle of SF. That's really what I'm getting at: if you're single and don't have a family, and you're happy with roommates and not living in a palace, then you can enjoy SF and not only not go broke, but you might save a penny or two. Now if your life situation is such that the whole "single and don't have a family" thing doesn't apply, well then it... doesn't apply :) In my opinion, your argument is very much valid if you want to raise a family or you just prefer to have your own place. Unless you make a lot of money, you're probably better off doing that elsewhere.
- sumzup 13y ago
  >I don't spend anywhere CLOSE to $2000/mo on rent, and I live in a pretty nice place in the middle of SF. More details, please? I've been trying to look for places recently and everything seems to be exorbitantly priced.
  - breckinloggins 13y ago
    I explained it elsewhere, but the short version is "watch Craigslist like a hawk until you find what you want". Let's say you find a place that's $900 - $1100 / month. Sounds reasonable, but remember: - Everyone else is looking for that, too, so you need to act fast. - It's not a dealbreaker to live in, say, the Tenderloin in SF, but do some research and make sure you're comfortable. - People in SF will get 10 - 60 replies per day on an apartment listing, especially if the price is reasonable for the area. Stand out and be awesome. - The same goes for the interview. - Have stuff like bank statements and recent credit reports handing, and have the cash to make the move. So many people make it past the screening phase but then put their roommates on hold waiting for the "check in the mail". Money talks.
    - jdminhbg 13y ago
      > People in SF will get 10 - 60 replies per day on an apartment listing This always surprises me. If you get dozens of replies the instant you put a listing on CL, isn't that a sign your price is way too low? Why not add a few hundred $ per month and maybe have to wait three days to rent it out?

breckinloggins 13y ago

I don't spend anywhere CLOSE to $2000/mo on rent, and I live in a pretty nice place in the middle of SF. That's really what I'm getting at: if you're single and don't have a family, and you're happy with roommates and not living in a palace, then you can enjoy SF and not only not go broke, but you might save a penny or two. Now if your life situation is such that the whole "single and don't have a family" thing doesn't apply, well then it... doesn't apply :) In my opinion, your argument is very much valid if you want to raise a family or you just prefer to have your own place. Unless you make a lot of money, you're probably better off doing that elsewhere.

sumzup 13y ago
>I don't spend anywhere CLOSE to $2000/mo on rent, and I live in a pretty nice place in the middle of SF. More details, please? I've been trying to look for places recently and everything seems to be exorbitantly priced.
- breckinloggins 13y ago
  I explained it elsewhere, but the short version is "watch Craigslist like a hawk until you find what you want". Let's say you find a place that's $900 - $1100 / month. Sounds reasonable, but remember: - Everyone else is looking for that, too, so you need to act fast. - It's not a dealbreaker to live in, say, the Tenderloin in SF, but do some research and make sure you're comfortable. - People in SF will get 10 - 60 replies per day on an apartment listing, especially if the price is reasonable for the area. Stand out and be awesome. - The same goes for the interview. - Have stuff like bank statements and recent credit reports handing, and have the cash to make the move. So many people make it past the screening phase but then put their roommates on hold waiting for the "check in the mail". Money talks.
  - jdminhbg 13y ago
    > People in SF will get 10 - 60 replies per day on an apartment listing This always surprises me. If you get dozens of replies the instant you put a listing on CL, isn't that a sign your price is way too low? Why not add a few hundred $ per month and maybe have to wait three days to rent it out?