Recently, my wife and I decided it’s time to buy a house. Our household income is set to more than double in a few months and we will be in a 33% marginal tax bracket. Time to start taking advantage of the tax benefits the government gives homeowners.
For the past year or so, we’ve been living in Los Angeles’s Westside neighborhood, about 2.5 miles inland from the Pacific Ocean.
Rent’s in LA have skyrocketed in the past year…along with real estate prices.
We currently pay $2,400 to live in a nice 2 bedroom, 2 bath, 1550 sq ft condo. I personally feel the neighborhood is run down, but apparently I’m alone in regards – it considered a very desirable part of town, owing to its close proximity to ocean, jobs, downtown, bars, and restaurants.
But this condo we live in would probably sell for $700,000.