Curious on what people think as far as renting an apartment vs getting a mortgage on an apartment/townhome in Houston early in your career (IB Analyst)?
Does it even financially make sense to buy as an IB analyst? To take out a mortgage and have roommates rent out? Has it worked for you?
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Interested
Houston? Where is that
Taking advantage of assumingly low real estate prices and certainly low interest rates could be beneficial. I guess, the question is, do you see yourself staying in Houston for a long time? Even if you choose to rent it out, you'd still have to be responsible for maintaining the apartment/townhome, which can be tedious because I guess you never really know what could happen. Plus there's other expenses to be aware of, such as monthly condo fees (if applicable) and perhaps property taxes. Just some things to consider!
Hard to say without knowing your financial situation or plans in the next few years. That being said, house hacking is a great way to build equity. I'm also bullish on the TX metro areas. Good luck!
Interested as well!
I've rented for the last three years and haven't considered buying. 90% of what could be bought for that purpose (i.e. buy 3 bedroom and use two roommates to cover the mortgage) are three story townhouses with no yard in either neighborhoods that are turning over (so lots of construction) or are 10 in a row with people doing the same thing. It also creates a lot of headache in my opinion to deal with the upkeep and rommates possibly moving out. Something breaks? You're the owner so you have to deal with it. Just seems like a lot of unnecessary stress during an already stressful time.
Rent at one of the apartment complexes.
Property taxes in Texas are relatively high, plus most of the exits are in Dallas or NYC. Prob better to rent until you're ready to settle down, otherwise you might end up needing to sell before market appreciates (plus the shitty HOA fees). A lot of 1 Br places in Rice Military or midtown go for $1-1.2k, not bad if you're on an analyst salary.
One of the best housing markets in the country - good place to invest the future bonuses
Rent. The days of planting your roots are over. The world is your home.
An underrated aspect of buying in Texas is the property taxes. No state income taxes, so the government has to get their money from somewhere. The great thing about Houston is that you can get a really nice apartment to yourself that's close to downtown for around $1500. If you have a roommate, luxury 2BRs are like $2500-$3000/month total, which is extremely doable when you're making $85k/year + bonus and aren't living in NYC.
Former Houstonian here, so I'm referring to apartments in the Heights area which is a pretty hot part of town for young professionals. Other areas nearby downtown are typically a little less expensive.
Rent dummy you're 22. Unless you have strong ties to Houston and never plan on leaving and are planning to settle down with someone why buy? Who knows how your career will change in 2 years let alone like 8. Oh great job opportunity in Dallas I want to pursue? Oh wait I bought this house 2 years ago and now I'm tied to it and odds you get your shirt taken in the process. You're not a real estate investor. Don't overthink this. Get a nice apartment. Something goes wrong, put in a maintenance request and it's taken care of
Maybe financially. But as an analyst, I would rent. Flexibility early in the career is key, maybe you will be relocating in a couple years for a buyside gig, business school, or the market in Houston continues to suffer and you are part of the next right-sizing wave.
Property taxes are brutal.
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