Current Events > How realistic is it to maintain the costs of a house in HCOL area making $20/hr?

(+) Yeah! (+)

lets assume in this case she gets inheritance money (probably high 6 figures) once her parents pass away and she has no husband or kids

able to afford the costs and expenses on her own?

Depends on whst state.

Monolith1676 posted...

Depends on whst state.

california in this instance

ScionTC_07 posted...

california in this instance

Definitely not.

ScionTC_07 posted...

lets assume in this case she gets inheritance money (probably high 6 figures) once her parents pass away and she has no husband or kids

able to afford the costs and expenses on her own?

Even if she inherited a fully paid off house that had no work needed on it, if it's a high cost of living area in California you're probably looking at something like 13 grand a year in property taxes alone.

Depends on what high cost of living means. We talking like Bay Area or any major hub?

also depends on area. LA is expensive but if you live outside the city its more manageable.

same with SD, if she tries to live in Mira Mesa or Mission Valley its gonna be expensive, if she goes out to lakeside and commutes 40 minutes to work shell probably be fine.

I figured. Im very sure she will be forced to sell it since she cant afford the upkeep.

I know she has savings but I doubt its enough to afford her house even if its paid off.

[LFAQs-redacted-quote]


San Francisco proper

Zeeak4444 posted...

Depends on what high cost of living means. We talking like Bay Area or any major hub?

also depends on area. LA is expensive but if you live outside the city its more manageable.

same with SD, if she tries to live in Mira Mesa or Mission Valley its gonna be expensive, if she goes out to lakeside and commutes 40 minutes to work shell probably be fine.

we talking about the actual San Francisco city

$20/hour as a single person isn't even enough for a house in any populated area in the midwest. California? You might as well limit yourself to the shittiest of 1-bedroom apartments.

Nope. $20 an hour I'd like $41,000 a year.

The only real way this is possible if you're talking about multiple people contributing to that house and they own a share of that home, so maybe something like 2 couples and one of their sibling (who wants to remain single) or some weird scenario like that, even then they wouldn't be eating good food, just ric beans and ramen for most meals.

Depends on the value/size of the house, but unlikely. Just the taxes and insurance alone on a 500k home are likely to cost you more than 10k annually. New siding or a roof will run you at minimum 20k each at some point.

Even if the taxes and insurance are just what you would expect to pay in rent, by owning you are now responsible for every other repair and appliances. Fortunately those expenses don't happen too often, but on 40k a year you would be running tight.

ScionTC_07 posted...

lets assume in this case she gets inheritance money (probably high 6 figures)

Good thing she has connections.

For someone making 20/hour, the amount of money they would get from selling the house would be life changing.

She'll be broke within a few short years.

CARRRNE_ASADA posted...

For someone making 20/hour, the amount of money they would get from selling the house would be life changing.

This is exactly why im saying that selling the house will realistically be her best move if her parents pass away

Her choice is that or getting a boyfriend who makes a lot of money to help with house cost expenses but who knows if hes willing to help share house maintenance costs if his name not on the property

bump

She could keep the house and rent out parts of it to at a rate high enough to cover the upkeep expenses and taxes.

Otherwise she's gonna need to sell, but she'll get a ton of money immediately for doing so.

KajeI posted...

She could keep the house and rent out parts of it to at a rate high enough to cover the upkeep expenses and taxes.

Otherwise she's gonna need to sell, but she'll get a ton of money immediately for doing so.

This. Property taxes alone could tie up a lot of her income. Even a single room for 1K could alleviate a lot.

Rule of thumb is that you should spend no more than 28% of your gross income on housing. You're not doing anything with $11k in a HCOL area. Property taxes and insurance will clean that out real quick nevermind routine maintance and upkeep.

ScionTC_07 posted...

lets assume in this case she gets inheritance money (probably high 6 figures) once her parents pass away and she has no husband or kids

able to afford the costs and expenses on her own?

Absolutely not.

Besides parents could end up using all the money. Doesnt take much time in a nursing home to blow through all of it.

And parents could live a long time. My dad made it to 95.

^thats also a good point too

nursing home costs are absurd

There's no shot, estates also don't distribute or clear out as fast as you'd think. She needs a full ass salary or partner to pull off maintaining and living in that house, in that area, full stop.

If she sold the house on top of her inheritance, /that/ is life changing money and she could pretty much do anything with her life if she isn't senseless and lives within her means.