Buy better than rent for this one?

[upperlowerclass_IHB]

Just browsing around redfin and found this one. Would monthly be lower on a mortgage than renting this one? Obviously I wouldn't buy it, but interesting thought nonetheless.



http://redfin.com/stingray/do/printable-listing?listing-id=1482714

 

[bigmoneysalsa_IHB]

That's a GRM of about 180-190. Smoking hot deal in today's market. Horrible deal in 2010's market.

 

[No_Such_Reality_IHB]

Based on a target rent of $2400, due to the high HOA and Mello Roos, breakeven out of pocket is roughly $225,000. That's assuming a marginal 28%, 9.5% Fed State Tax, enough income that the deduction doesn't matter, and a trivial $100/month in maintenance.

 

[IrvineRenter_IHB]

I have profiled that one:





<a title="Permanent Link to Walkaway" rel="bookmark" href="http://www.irvinehousingblog.com/2008/02/19/walkaway/">Walkaway</a>

 

[upperlowerclass_IHB]

ahh I feel bad, dunno how i missed that one seeing as how I'm on here every day. Feel free to remove this post.

 

[IrvineRenter_IHB]

Don't feel bad, I was just pointing you to some additional information...

 

[momopi_IHB]

$450k for a 2/2 is a bit high, IMO.

 

[25w100k+_IHB]

Yup. Gonna agree with the King of Bears and say even this is overpriced. Why? Its 3 f*cking stories. If this was a nice detached condo or even an end unit townhome, I'd think about buying it today. But its got a bunch of shared walls, and to get to your bedroom you have two walk two flights of stairs.



And as No_Such_Reality said, theres a lot of extra money you pay for owning a condo. Now, I think it'd rent for a fair amount higher then 2400 bucks, maybe 2700 but still...not gonna break even.