More coming!

Hi everyone, 

I'm in the middle of a brutally intensive period in an MBA - think classes Sat + Sunday. Fantastic learning experience, but most definitely upsets the work-life balance. OK, there is no balance.

Stay tuned for more updates in a wek or two, 

AIML

Do I buy a House or a Condo?

Best use of your capital is to find the best risk-return ratio to park it in. I like condos for that reason. You put down, say,50K on the Condo, you have NO maintenance, it has all the amenities, and you dont have to shovel an Fing driveway. The downside is that only land holds true value, as it is the only good on the planet that has a fixed supply (ok, maybe natural resources, but ignore that). Condos are fantastic, but DO NOT buy one that is approaching 40 years of age; the useful lifespan of such a structure is 40-60 years. If your stuck at the end, you basically end up paying twice. But thats an extreme case. 

With the house, you can still put down the 50K, and you get the land, but you assume 100% liability for all major systems in the house: electrical, plumbing, roof, furnace, foundation... With the condo, you assume a small portion of joint liability.If both places will appreciate by 3% this year, then the condo wins. You typically need to put in 2%recapilization costs into a house every year. Not to mention: if the roof suddenly needs replacing, guess who pays for it. Houses are great as a medium term investment, but if you can - in a city - your first place should be a condo. Ensure it has a good number of bedrooms for the price you pay, as rents dont always follow ownership prices. God damned socialist rent controls in this country.

Long story short. Its your first place, you dont want to assume a large liability. Buy the condo.

AIML