Question for homeowners in the Southbay CA

[OneOfTheseDays]

I'm currently looking at buying a 2bdr/2.5bath townhouse in Sunnyvale, CA. It's brand new, in a good neighborhood, and comes with all the bells and whistles (hardwood floors, stainless steel appliances, etc.).

Right now the asking price is $475,000. Similarly equipped townhouses are going for roughly the same amount in the area. At the end of the day, this just seems like an awful lot of money to be pouring into a 2 bdrm townhouse. I can afford it, but am wondering if this is going to be a wise investment. I don't necessarily care about being able to flip the house in a few years and make massive profit, but I'm also not looking to lose money here either when I do want to move out.

I can see myself living there for the next 4-5 years until I get married and have kids.

 

[schneiderguy]

That's only 15 minutes from where I live, we can be best friends and have sleepovers :wub::wub::wub:

 

[Slew Foot]

Apparently a whole lot of people in the bay area are buying up loads of real estate right now in anticipation of facebook's IPO later this year. Looking for a quick flip i guess.

 

[Dirigible]

No one can guarantee you won't lose money. But the region survived the downturn better than most. As Slew Foot's example shows, a lot of rich people are regularly minted around here. I own two Bay Area houses and am not too concerned about losing money on them.

On the flip side, rents tend to be relatively cheap compared to purchase prices. Even if you're thinking 4-5 years, and even if you could sell for at least as much as you paid, you'll be putting out a lot of cash in interest. Run the numbers to see if renting would be better. I rented a 2br apartment on Homer in Palo Alto for years starting during the dot com boom and paid a pittance compared to what buying a place would've cost. Allowed me to save up a hefty down payment for when I did buy a house.

 

[shopbruin]

That sounds cheap.

EDIT: Actually if this community is where I THINK it is, well you're still in Sunnyvale. It's actually nicer on the other side of town, but with the corresponding price increase.

 

[OneOfTheseDays]

That sounds cheap.

EDIT: Actually if this community is where I THINK it is, well you're still in Sunnyvale. It's actually nicer on the other side of town, but with the corresponding price increase.

Yes if you're familiar with the area it's pretty easy to figure out.

The area where the townhomes are being developed is really great. Nice quiet neighborhood, near lots of shopping, freeways, light rail, etc. I think it has great potential to grow in the next few years.

 

[MotF Bane]

Zoiks lives in Sunnyvale.

http://forums.anandtech.com/member.php?u=9320

 

[Jumpem]

I'm currently looking at buying a 2bdr/2.5bath townhouse in Sunnyvale, CA. It's brand new, in a good neighborhood, and comes with all the bells and whistles (hardwood floors, stainless steel appliances, etc.).

Right now the asking price is $475,000. Similarly equipped townhouses are going for roughly the same amount in the area. At the end of the day, this just seems like an awful lot of money to be pouring into a 2 bdrm townhouse. I can afford it, but am wondering if this is going to be a wise investment. I don't necessarily care about being able to flip the house in a few years and make massive profit, but I'm also not looking to lose money here either when I do want to move out.

I can see myself living there for the next 4-5 years until I get married and have kids.

Stop right there. Don't buy a property if you are staying in it for that short a period.

 

[HopJokey]

Don't forget about the HOA fees - they are probably around $200-300 a month.

 

[senseamp]

It's a lot of money, but it's what the prices are in this area, especially good parts of Sunnyvale, closer to Cupertino. Everyone buying houses here is making six figures, prices reflect that. Also, decent 2 br apartments rent for $2000+. I would spend in the $600K+ range and get something where you can raise kids though. Maybe sublet a room out in the meanwhile.

 

[alienb]

why the fuck would you want to live in california

 

[Leros]

That's only 15 minutes from where I live, we can be best friends and have sleepovers :wub::wub::wub:

This is clear evidence that the OP shouldn't buy it. Its clearly in a bad neighborhood.

 

[squirrel dog]

check out the hoa and the fees that will be owed monthly.For that much money,could you not find an older house a little farther out?

 

[Jumpem]

check out the hoa and the fees that will be owed monthly.For that much money,could you not find an older house a little farther out?

HOA fees don't need to be alot. Mine are $168 per quarter.

 

[PhoKingGuy]

why the fuck would you want to live in california

Lol this guy

 

[OILFIELDTRASH]

HOA fees don't need to be alot. Mine are $168 per quarter.

Mine are $0 for life. I also don't live anywhere as neat as that. Small town living isn't for everyone. No movie theaters, handful of small restaurants, run into the occasional toothless hillbilly, quiet, friendly.

 

[brianmanahan]

generally a house isnt worth it unless you plan to live there at least 7 years, that is the break-even point. continue renting.

 

[uclaLabrat]

why the fuck would you want to live in california

Have you ever lived there? After living on the east coast, I can't imagine why anyone WOULDN'T want to live there.

I know lots of people from california out here. They ALL want to go back.

 

[JulesMaximus]

why the fuck would you want to live in california

why the fuck would you want to live anywhere else?

 

[MotF Bane]

why the fuck would you want to live anywhere else?

Too many people, and, at least for my view, totally insane politics.

 

[uclaLabrat]

Too many people, and, at least for my view, totally insane politics.

There is far more population density on the east coast than the west coast.

 

[OILFIELDTRASH]

There is far more population density on the east coast than the west coast.

They're both too crowded for me.

 

[MotF Bane]

There is far more population density on the east coast than the west coast.

Interesting, I'd never actually considered checked the density figures.

 

[Slew Foot]

Theres a reason its called flyover country. no one wants to live there.

 

[Dr. Detroit]

Check out Santa Clara city instead of Sunnyvale -

We like the area around SCU, Pruneridge GC, Central Park, and off Calabazas & El Camino & Bowers.

Are you getting a 1-car or 2 car garage? Single story, two story or three story.

Friend lives in Sunnyvale in a Condo near Wolf & El Camino. I hate that place, 3 story 2bdrm. 2nd bdrm is behind the garage while the master is on the 3rd floor. Its not a Bdrm down there - its a cave.


http://www.redfin.com/CA/Santa-Clara/472-N-Winchester-Blvd-95050/unit-2/home/1381591