hmmm....maybe you both are right and I am blinded by the fact that I am stuck in my house. I guess my goal is to not have a housing payment once I retire. Perhaps this is more personal, didn't mean to offend. I guess I imagine if they paid $5k a month towards a mortgage, they would have a million dollar asset at the end, at a minimum they would have a roof over their head with no monthly payment. What they pay for it and how much it appreciates is a gamble, as is rental rates in 30 years...I really don't mean that snarky, I just don't have that experience to compare...
OP - if you can afford it, go for it! It sounds like you would like to and it will work for your family. If it doesn't, move back. There could be worse things.
Buying a house still costs money. We will pay end up paying double what our mortgage loan is for, on account of interest, over the life of the loan. Renting makes more financial sense for some people.
right - by me rent and mtg is about the same, except in 15 yrs I won't have a payment, and the interest is tax deductible. I agree though, it is not for everyone
zacks - I was assuming she would buy in the burbs...
I like that people are talking about Roosevelt Island like it's a real place and not an urban legend/elaborate hoax
I had a boyfreind who lived on Roosevelt Island. The first time I went to visit him it seemed like quite an adventure. Unfortunately, dating him was an adventure in shitty relationships.
Post by dexteroni on Sept 17, 2012 22:27:13 GMT -5
Jenny, it's a narrow island in the East River. I think used to be mostly housing projects but I don't think that's the case anymore. But it's not really the hood per se. It's an unusual little place.
ETA: It would be awesome to take the tram to work.
seriously. what is this roosevelt island people are talking about?
it's a small narrow Island in the East River that is part of Manhattan. It has a hospital, a bunch of high rise apartment buildings and a few restaurants, shops, etc. You can get there by subway, but there is a also a sky tram that goes there from midtown. There's not a lot to visit there, but it's cool to take the tram at night.
not sure if this was mentioned - but I wouldn't want to rent my whole life and then have no asset when I retire, like you mentioned in previous post. Paying off the mortgage is part of many people's retirement plans, so they have a home to live in or a nest egg to downsize with. Especially not on your budget, you are easily throwing $1M+ out the window.... I can't emphasize this enough.
And all those people who foreclosed on their homes over the past few years? (and even more who are tens or hundreds of thousands underwater but can afford payments) ...I'm thinking their home ownership cost them a ton more than renting would have.
Choosing to own, rather than continue renting, is easily the biggest mistake I made on my life.
RI has mostly Luxury high rise condo and apartment buildings with nice views. I think there is still one hospital there. I only moved to NYC in 2008 and since then it's seemed pretty decent and lively to me. The last time i went there was in July. It's one stop on the F train from Midtown, some people use the tram.
Well to be honest, the % of income that you allocate to savings each month seems really low to me. I would not be comfortable with that, esp. with what you're earmarking for your kids' college fund. I get that it's expensive to live in NYC and you want to enjoy what if offers but I would still cut down on some of your discretionary spending so that you can add more to your savings.
Unless your H is getting big year end bonuses that you're not telling us about, then you're fine.
Eta: I just looked at your budget again. Do you include clothing/hair cuts/travel in the fun money category? How about life insurance?
Jenny, it's a narrow island in the East River. I think used to be mostly housing projects but I don't think that's the case anymore. But it's not really the hood per se. It's an unusual little place.
ETA: It would be awesome to take the tram to work.
Wasn't it also asylums and I believe it still has an amputee hospital that is fairly prominent?
At it has like very few restaurants and other conveniences?
It is strange in that it is considered part of Manhattan, but is not on the island of Manhattan (and if you want to drive off of it, you have to do so via Queens -- you can't drive to the rest of Manhattan from there).
Here is a description from a Village Voice article from 2004: Admitting you live on Roosevelt Island is a great conversation-starter. You'll hear, "I thought that was just a park," "How do you get there?" (swim!), and, of course, "Is it true they don't allow dogs?" (a myth: the island itself does, but most residents' leases do not).
Called "Welfare Island" until 1973, when New York institutions including almshouses, an insane asylum and a state penitentiary gave way to modern high-rises, RI is currently home to a curious mix of UN employees and their families, chronic-care patients of Coler-Goldwater Memorial Hospital, elderly longtime residents, and young New Yorkers looking for a good deal. Although technically a part of Manhattan, RI lacks the bustle and buzz that most people associate with life in the city. But for peace and quiet, ample green space, and affordable modern apartments with fantastic skyline views, Roosevelt Island is a curiosity worth checking out.
I know at least one person who grew up there. It used to be a bit of a hippie commune back in the day. My coworker lived there and I always thought it was nice and quiet.
It's probably going to change just a little bit once Cornell's new tech campus is up and running.
I should have clarified that when I say "savings", I didn't mean money held in a generic savings account. I always include investments that could be easily liquidated and that aren't earmarked towards a short-term goal when I think of savings. If there isn't a lot more than what you previously posted, I would stick to $4k as opposed to $5k.
I bet there are a hundred places in Brooklyn on a green line just as convenient as Rosie with a lot more stuff going on.
Re: Roosevelt Island, it is also home to one of the city's public gifted & talented programs. I don't know what the deal is v. other G & T programs, but I know a bunch of people who send their kids to the school on Roosevelt Island. (In case OP cares about these things.)
I should have clarified that when I say "savings", I didn't mean money held in a generic savings account. I always include investments that could be easily liquidated and that aren't earmarked towards a short-term goal when I think of savings. If there isn't a lot more than what you previously posted, I would stick to $4k as opposed to $5k.
I bet there are a hundred places in Brooklyn on a green line just as convenient as Rosie with a lot more stuff going on.
Not if her husband works 2 blocks from the tram in Midtown. She already said she likes Roosevelt Island and it's a really decent place. I don't know why people keep bringing such old ideas about the place to this discussion. We all can't live in hip areas.
I am cracking up re the awe of RI. I never would have considered that part of Manhattan either, but it is a very decent place to live considering its close proximity to Midtown.
OP, do you have annual bonuses that you do not include in your monthly budget? If so, you are good to go. If not, I would try to bulk up your cash savings amount to 6mos' living expenses.
I am cracking up re the awe of RI. I never would have considered that part of Manhattan either, but it is a very decent place to live considering its close proximity to Midtown.
I am fascinated by Roosevelt Island. (But I guess not enough to actually visit, even when I lived close to it.)
The tram makes me panic. I used to see it every day from the bus, and I was NOT okay with looking at it.
V, I was also fascinated by it whenever we drove down the FDR. I never visited RI while we were in NY, so I guess I wasn't curious enough either. I will say that the tram ride looked cold as hell on those windy winter days. Heh.
Ditto! My goal in the future is to work in a school where we can get discounts for DS and any future kid.
Seriously. This is my goal in life as well. ha.
It's pretty sweet. Too bad I don't have kids to take advantage of the free tuition. In some ways I get the short end of the stick b/c my salary is lower than it might be at a different place that doesn't offer free tuition.
It's pretty sweet. Too bad I don't have kids to take advantage of the free tuition. In some ways I get the short end of the stick b/c my salary is lower than it might be at a different place that doesn't offer free tuition.
well, I'm looking for a university, not a private school. Unless I become Bill Gates rich, I dont see the point in us sending our kids to private school in NJ, especially based on where we plan on moving.
hmmm....maybe you both are right and I am blinded by the fact that I am stuck in my house. I guess my goal is to not have a housing payment once I retire. Perhaps this is more personal, didn't mean to offend. I guess I imagine if they paid $5k a month towards a mortgage, they would have a million dollar asset at the end, at a minimum they would have a roof over their head with no monthly payment. What they pay for it and how much it appreciates is a gamble, as is rental rates in 30 years...I really don't mean that snarky, I just don't have that experience to compare...
OP - if you can afford it, go for it! It sounds like you would like to and it will work for your family. If it doesn't, move back. There could be worse things.
A comparable place to buy would easily be 1.5 million plus. Far more than $5000/month PITI. Plus HOA fees of $600 or more per month. Then there's the cash on hand you need for most condo/co-op boards (could be 80% of the purchase price). Buying in NYC does not always make sense.
not sure if this was mentioned - but I wouldn't want to rent my whole life and then have no asset when I retire, like you mentioned in previous post. Paying off the mortgage is part of many people's retirement plans, so they have a home to live in or a nest egg to downsize with. Especially not on your budget, you are easily throwing $1M+ out the window.... I can't emphasize this enough.
It's pretty sweet. Too bad I don't have kids to take advantage of the free tuition. In some ways I get the short end of the stick b/c my salary is lower than it might be at a different place that doesn't offer free tuition.
well, I'm looking for a university, not a private school. Unless I become Bill Gates rich, I dont see the point in us sending our kids to private school in NJ, especially based on where we plan on moving.
My H still works for a pretty good school in the Boston area. He could send our kids there for free - as long as they can get in! I could also get free tuition there - but I already have my MA from that school, from when I worked there.
Meh - running figures by a broad demographic of internet strangers makes sense to me especially if it's a pretty savvy group and one's about to make a big jump. You get all sort of perspectives - such as "after all that rent, what do you have?" The stickershock of NYC, maybe a bit of envy about income and special circumstances like unstated discounted tuition (down from 40k/year for most) probably have people twitching a bit but it's not really all that different from people that post budgets but leave out the fact that grandparents are paying the private school tuition which is pretty common. Now I just like checking out streeteasy, something I never knew about, thanks to v.
Also to be fair, the OP specifically indicated that she had checked about tuition - it was just hard to understand how that could be possible/whether she was really underestimating that part of the budget.
Meh - running figures by a broad demographic of internet strangers makes sense to me especially if it's a pretty savvy group and one's about to make a big jump. You get all sort of perspectives - such as "after all that rent, what do you have?" The stickershock of NYC, maybe a bit of envy about income and special circumstances like unstated discounted tuition (down from 40k/year for most) probably have people twitching a bit but it's not really all that different from people that post budgets but leave out the fact that grandparents are paying the private school tuition which is pretty common. Now I just like checking out streeteasy, something I never knew about, thanks to v.
My only issue is her wording in the OP. She wasn't clear in what she was asking of us.