This blog forum is for the discussion of real estate as an investment and as a place to call home. The home that you own is an investment as is the shopping center investment or the rental apartment building. All topics of real estate to further wealth building and wonderful living are open to discussion. The more diverse the better. Please try to challenge us.
Saturday, August 4, 2007
Duplex vs Condo in Sunnyvale or Mountain View
It may take a little more guts and a bit more downpayment to buy a duplex over your first "standard" purchase in Silicon Valley (ie: the condo). A decent 2 bedroom condo in Mountain View will run you $500,000 while a duplex in the same area could be $900,000. For the extra $400,000 you will receive approximately $1800 in rent which wil almost cover your additional debt. The benefits? How about not having to pay monthly homeowners dues, having a private garage, having a backyard, collecting rent, getting tax sheltering from the rental unit, paying less in income taxes, benefiting from a larger appreciation base or getting rent increases? There are many benefits to doing this. I also know that five years from now, you will have a vastly better financial picture than if you had bought a condo.
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