bostonbubble.com

[wherzmyhome]

we are looking at a 1960's house, about 1700 sqft, that is listed for 369k. it is a pretty good school town...has 3 bdr and 1.5 baths, with 2 car garage, 1 zone heat/ac, new roof/new windows....what would be a good price for something like this. the current seller bought it for 340k in '02. Any thoughts? plus any experience with raising a family of 2 kids in a similar sized home?

[Boston ITer]

This purchase seems ok because your mortgage payment will be in the 1.25:1 ratio with an equivalent rent. Also, the overall price is tame by metro Boston standards and thus, has less pressure on the downside, unless something dramatically changes in the neighborhood.

[wherzmyhome]

Thanks! The sf is really about 1000 sf in the top floor of a split and about 500 sf in the basement. 200 sf from the enclosed patio. Just concerned if the space would be sufficient when my kids are a little older.

[Boston ITer]

[balor123]

[q]I'm possibly the most bearish person on this forum.[/q]
Yeah I'd agree with that

If I recall, then that puts you at a ratio of of just under 4x. A bit high by national standards but a bit low for Boston. Plus, it'll become normal quickly, especially if he marries. You haven't told us the town, though, and your view of where you can raise kids may change once you have them. I once thought that Waltham was an ok place but now that I actually have one I want better.

As to the sf, that's really not a lot. I live in 1200sf with just 1 kid and it's pretty tight. I guess with 500sf you have more storage space. I don't know about the patio but you'll have to decide for yourself how usable that space is to you, especially in the winter. If the basement is finished, then you might consider that living space just remember that it's probably not the healthiest environment to be raising your kid in (Radon gas, humidity, lack of sunlight, etc).

[CC]

[CL]

The price, in absolutely sense, seems managable. Meaning your mortgage will not be excessive compared to rent and income, and even if you made a timing mistake and bought an expensive one, it (hopefully) will not kill you.

I personally like split level (compared to other style) since you typically have a lower level that is discounted as a basement in paper but with the right one (i.e. with proper access, windows, heated, no water issue etc), can pretty function like normal living area. Plus, since the listing sometimes listed only the top floor as living area, it sounds really low (like your 1K sqft when it really isn't) and drop out of a lot of people online filters/radar screens, thus reduce your competition.

Example:
http://www.redfin.com/MA/Wellesley/30-Dunedin-Rd-02481/home/8963222

Re size: I came from Asia growing up in 800 sq ft condo...my opinion is, in terms of space needs, yards, etc, kids are more flexible than you think.

CC is correct in terms of town - it can vary a lot.

[Wherzmyhome]

Thank u all! This is nice town in the metro west where we have been looking for a while. The mortgage is very manageable, and we could theoretically afford more, but then again it's our first home and we will see how we do with ownership. We live in a 900 sf. Apt now, so it would be like a lateral shift for us in terms of sf., plus yard and privacy. if we decide to make an offer, we would go below the 340k paid by the seller.

We are also not big fans of living in or near the city, because I work in Boston, and it takes me an hour to get to south station from Waltham today. The commute time would remain the same from mw and the towns are nicer.

[CC]

You may have to negotiate very hard, since no matter what the seller will lose money especially considering the realtor's 5% fee. It's hard for anyone to accept the reality that after paying many years' interests and tax he still owns nothing. However, you probably will get it because the activity is very low now. Sellers may get even less if they wait longer.

Good luck!