Currently paying $3.2K for a third-floor walk-up with good light (east + west), in-unit washer/dryer and free electricity.
Just had our first child and am thinking about splashing out on a tower in our neighborhood which would come with nice amenities + elevator. Total cost would be between $6,000-$6,400. The walk-up was fine when we didn't have a kid but now it's getting in the way of my wife leaving the house in the day given we need to lug down stroller. Would also meaningfully increase space from current ~650 sqft to ~1,100 sqft.
Wife is no longer working, will be an ASO3 at a large bank (IB, coverage) with average pay next year when our lease is up. Solid balance sheet as I went A2A.
If you can afford it, it's not crazy. You're a big boy. Make a budget and make a decision.
Based on the most helpful WSO content, your situation aligns with common considerations for professionals in high-demand roles like IB. A $6,000-$6,400 rent isn't necessarily "crazy" given your circumstances, especially in a major city. Here's why:
Life Stage and Priorities:
With a child and a non-working spouse, upgrading to a larger, more convenient space with amenities like an elevator makes sense. The added space (1,100 sqft vs. 650 sqft) and ease of access for strollers can significantly improve your family's quality of life.
Income and Affordability:
As an ASO3 in IB with average pay, you're likely earning in the $275K-$325K range. Many associates in similar roles spend $5,000-$6,000 on rent, especially when prioritizing comfort and convenience. This aligns with the idea that rent/mortgage shouldn't exceed $6K/month for someone in your income bracket.
Mental Health and Lifestyle:
A better living environment can reduce stress and improve mental health, especially with a demanding job and family responsibilities. As noted in WSO threads, having a clean, spacious, and functional living space is often worth the cost.
Balance Sheet Consideration:
Since you mentioned having a solid balance sheet, this upgrade seems manageable. It's important to ensure that the higher rent doesn't compromise your ability to save or invest for the future.
Ultimately, while $6K+ rent is a significant expense, it can be justified if it enhances your family's quality of life and aligns with your financial capacity. Life is about balancing priorities, and this move seems to reflect a thoughtful adjustment to your new family dynamics.
Sources: Life in General Will Cost More Than You Think, How much do you spend on rent as an associate making 275-325?, How Many of You Are Actually Happy?
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