Caroline Gerardo: Writing is not the path of least distance

Caroline Gerardo: Writing is not the path of least distance

Rent or Buy?

Is it time to buy or rent?


Timing is everything.

The choice should be a business decision not an emotional one. If the bank tells you your ratios are too high, take it as a blessing that this is not a sound selection at this time.

Pros:

Buying a house is a tax deduction (assuming you need a deduction).

Owning a house gives you the freedom to stay as long as you like and do what you want.

Cons:

If you are thinking employment promotion or moves upward- you will be stuck with location.

Often you can rent cheaper, but with a limited palette and expect increases.

Solutions:

Buy less than you think you can afford which allows breathing room.

Put as little down payment as you might and let the insurers’ bear the worry.

Shop very carefully for a deal.

Take your time. Do not fall in love with a house it is just a thing.

Enlist expert representation and investigate everything.

Everything in the universe falls apart- have a budget for those older items in the house.

If you save junk long enough, it is still junk

My children love their gadgets. We have had stolen, broken and lost six iPhones. Fortunately, I bought Apple stock when it was initial public offering, and continued to buy and sell so all the shares I own I consider gravy. I asked them to compile all the old phones and cords in a drawer, as they can be recycled.


Son thought we could sell them to one of the online companies that advertise, “We buy used cell phones.” Well after making his list and entering the old pager, ancient Nokias and all this junk the total value was less than two dollars.

He packed them up because his middle school, Niguel Hills collects them and ships them to needy children. This is better than having them sit in a drawer waiting to be on the Antiques Roadshow.