It looks like the deal is going to go through on the house. The only uncertainty is financing, and it looks like that will go through pretty well, though it’s not 100% certain that we will get exactly the terms we’re hoping for (though we’re pretty confident). It’s going to be a big payment, but appreciation here has been greater than 10% annually for the last several years, so it will be a good investment. The cool thing about owning a house is that you get the benefits of an investment long before you actually own the house - the bank doesn’t get anything extra if the value of the house goes up. I guess that’s obvious, but it does help you see a house as a unique investment.
Here is a picture of the exterior:
The specs:
2907 S Byron St
Seattle, WA 98144
Completed December 2004 (new construction)
4 bedrooms
2.5 baths
Hardwood floors (and carpeted bedrooms)
Whirlpool tub in master bath
Fans in all the bathrooms (believe me, this is a must. I don’t know why it took people 4,000 years to think of that.)
HardiePlank siding
2-car garage (that’s car-hold, mr. fancy Frenchman!)
~2000 square feet (we aren’t sure)
Ceilings and walls throughout
Gas fireplace and huge bay window (the kind you can sit in) in living room
Not much yard (not a problem)
Linoleum in kitchen and bathrooms (ugh - a good candidate for future home improvement)
Off-street parking for 10-20 cars (or we could plant grass or something)
10 min from work
10 min from SU
9,280 cubic miles of kitchen cabinet space (only a slight exaggeration)
69.0″ fridge clearance (which is not enough for 75% of fridges on the market - oh well, there are too many to choose from, anyway)
Gas range
Choose-your-own washer/dryer and fridge (read: not included so cough up the dough yourself)
Skylights over staircase and in master bath
Flush toilets
~6′ x 12′ Deck off of 2nd-story master bedroom (pretty cool, though we may want to add a staircase to the ground if we ever fence in the yard)
Fully wired for cable (though not ethernet, unfortunately)
Electricity
Running water
Room in the garage for friends’ band to practice (and possibly a ping-pong table, which would be awesome!)
We are very excited. This is a big step, and as we discussed previously here, it would be really easy to get into a Home Improvement trap where we obsess over and spend far too much money on “fixing” things that aren’t broken, all in the name of investment and improvement. Some candidates in this (new and nearly perfect) house:
Faucet upgrades (they’re pretty basic)
New countertops for kitchen (kind of ugly formica)
New cabinets for kitchen and bathrooms (oak is not my favorite. boo hoo.)
Tile to replace linoleum in kitchen and bathroom
Wiring for ethernet
Rentable apartment addition over garage (major)
Fence in front yard
Expand deck and add staircase
Cool security system
Lever doorknobs instead of the round kind (good for when your arms are full)
Install track lighting and additional recessed lighting throughout the house (ceiling lighting is pretty basic)
Dimmer switches
Ceiling fans
As you can see, this kind of list could go on forever, so I want to really watch out for this trap.
Niiiiiiiiiiice.
I was reading the other day in this book that if you make your mortage payments bimonthly instead of monthly you can save a whole helluva lot of money over the course of a 30-year mortgage (in the area of $100,000, depending on various factors). There’s a lot of stuff like that in the book (not just about houses, either), so you might wanna check it out if you’re interested. Don’t let the title scare you, it’s not a get-rich-quick thing, just about tips to help you know how the system works.
Congrats!
Ian-
That looks like a good book. I liked this paragraph from one of the reviews:
This is exactly the strategy we’re using. There is no way for most people to exercise enough self-control to save for retirement. You have to set up payroll deductions so you never think of the money as being in your immediate possession. Then, you get used to a lifestyle that includes saving, and you’re set.
That is really a great house. I am thinking of acquiring a loan so that I can start cnstructing my house. In fact I am already weighing my options. I have already considered some of the available lenders.