Thank you Joe.
I forgot to mention that 100K is coming from my mom, 100K from my sister, and just a 100K from my husband and I. So it would be split ownership, but we would be the primary residents.
Our taxable income is actually low because my husband's business has been operating at a loss. And he's got a lot of expenses and write-offs.
As for renting, we've plugged the numbers into Rent vs Buy calculators at Realtor and Trulia, and both say rent, for at least the next 15 years.
We feel comfortable only paying $3K/month for either rent or mortgage. So if we buy something big, we would need to off-set the cost somehow.
So we're still not sure if we should:
1. Rent a 3 bd for $3K/mo
2. Buy a 3 bd condo for $570K
3. Buy a small duplex condo for roughly $620K, which includes 1 studio rental
4. Buy a SFH for $780K
5. Buy SFH for $850K with 7K sqft lot, and install a 2 bd ADU for additional $100K cost
We see here on BP that a lot of people are saying that OC is overpriced, and people should wait for the next downturn to jump in.
At the same time, we’ve got this cash just sitting there collecting 1% interest…and a baby coming. And come to think about it, we probably don't have time to learn the art of flipping.
