Hi Mustachians! Thought I'd run this by you before I make any big decisions.
I live in the NoVA area and make $47k. I currently rent a room for $475/mo. However, I was browsing and came across probably the only affordable house in NoVA-- 3.7 miles from work, <1k sqft, 3 brs, and only $165k! The location is MUCH better than my current location, in terms of access to work, grocery store, Costco, and family, but despite the low price I can't help but think of all the drawbacks. I made a pro/con chart here:
https://i.imgur.com/iK64RoY.jpgWith my salary and spending levels, I can handle a 15 year mortgage with ease, while still saving $1041.67/mo in my SIMPLE IRA (enough to max it). The house will need some renovations, but after those are complete (via sweat equity of course) I can get two roommates which should bring in at least $900/mo total.
What occurred to me is while some people aspire to be homeowners, I don't really care either way. However, I have some goals that are best met via homeownership, such as being able to do my own repairs/renovations, or having space for project cars, or eventually having no house payments. So my reasons for purchasing are more lifestyle and less financial.
One major downside is I only expect I would live there for at most 3 years. After that I would either sell, or rent out via a property manager, depending on the market.
I see housing as an expense, not an investment, so I expect to lose money no matter what I do. The idea, of course, is to minimize the loss, while still accounting for lifestyle preferences.
What do you guys think? Buy the house, or continue to enjoy my easy renter's life?