To rent or not to rent
February 4th, 2008 by KimThat is the question.
After moving out of my parents’ house last October, and spending the last several months living happily on my own, I’m now facing the dilemma of what to do next. The person I am subletting from is returning from abroad, meaning I need to either find another place or move back with my parents.
So, I’ve been looking at the usual apartment and housing websites and fishing for roommates, but there are other questions, too.
WHERE. First of all: where to live? Do I stay close to town where rents are high or move away from the city and get a better deal but a more frustrating commute? What about the character of the neighborhood? As a young female, where would I feel comfortable walking around at night?
ROOMMATES. Should I try to live with a roommate? And if so, should I recruit a friend or try my luck with someone I don’t know? AND, if it’s someone I don’t know, how do I make sure that that person isn’t loud/mean/a slob/a neat freak/insane/going to allow her boyfriend to move in with us? Do I have a choice?
HOW MUCH? How much am I willing to pay for rent? Should I be saving money instead? Should I move back to my parents’ house and try to save money so that I’ll eventually (hopefully!) be able to buy my own place?
PARKING. I feel like parking could make or break a deal in Honolulu. Street parking seems almost too uncertain to deal with. But maybe I’m wrong?
I think these are all questions we have to ask when trying to decide whether to rent or where to rent, especially given the high costs and the budget constraints many 20-somethings are working with. Also, although I can afford it now, I can’t help thinking that maybe I should be saving money, since I do want to eventually have a place of my own. There’s so much to consider!
Help! Anyone have advice?
Tags: Hawaii, housing, price of paradise
February 4th, 2008 at 12:14 pm
If you can handle living with your parents and really want to start saving, I say move back in. For me, location is key, putting safety before distance to job or school. I know I would not be a good roommate so I chose to live on my own. I dormed for a year and that was it. Did not like it at all. I also feel parking is a big deal. Street parking can be stressful, and I’ve seen side mirrors missing from cars after being side-swiped. Other things to consider are utilities, washer/dryer, and security.
February 4th, 2008 at 12:15 pm
I would say that you should move in w/ your parents, pay your fare share of the rent and save up. In about 2-3 years, you could save up for a down payment for your own place…Did i say YOUR OWN PLACE?
How nice is that Kim? 2-3 years is not that long you know.
February 4th, 2008 at 12:24 pm
How will your commute be if you move back to your parents? If good, then go back home with the intention of saving enough to get your own place or at least give you enough time to find that special place to rent. It sounds like you have a very good relationship with your parents so save your money…it may be a good idea to discuss a rental/sharing of expenses with your parents while living there.
But, it sounds like you are set to find your own place. Recruiting friends or maybe one of your friends will bring you in is always an affordable option. My son started off with 3 of his high school buddies renting a house in Palolo valley while they were going to college but everyone has graduated and moved on except for my son but luckily was able to find others that they know from high school to move in. It’s a nice old house deep in the valley and close enough to downtown where he works. You really need to be flexible when sharing a place. I recall living with 3 others while attending UH to share expenses…ended up with 2 of them in a fist fight…it was a feud between a super neat guy and a slob. We shortly went our own ways.
February 4th, 2008 at 12:51 pm
That was the exact same dilemma that I had just a couple months ago. I did the research, thought through the options, and finally decided to just live at home for the time being to save up. Fortunately, its all good at home where theres no fighting or anything like that for which I am grateful for. So why not take advantage of that and enjoy it?
But I think something else that you need to ask yourself is where you plan to be in the future. Are you still going to be working at the advertiser? Going back to school (perhaps on the mainland)? Depending on where you want to be, renting or saving up will have varying pros and cons. I still have trouble coming up with an answer for myself. I do, though, know what I don’t want. And that includes living with my parents for the rest of my life.
February 4th, 2008 at 1:22 pm
I agree with DaBomb. Why pay someone else’s mortgage when you can start saving to pay your own.
February 4th, 2008 at 1:32 pm
is their some friends or a significant other you can move in with? or split the rent with?…i don’t trust random people. so i would just move back in at home.
February 4th, 2008 at 1:39 pm
Discuss with your parents, with a view toward what your long term goals/plans are. If they have no problems with you coming home, this should be seriously considered. Since you are working full-time, some form of rent should be paid if you move back, even if not much more than a nominal amount. Other paybacks in terms of household chores and buying occasional takeout dinners for everyone are other examples of remuneration.
February 4th, 2008 at 1:51 pm
everyone always told me that after living on your own for any amount of time it’s super hard to go back to living under your parents roof again! me and the hubby lived at home with my mom for quite a few years, different life situations called for it, but we always paid our fair share which equaled to nearly half of her mortgage payment. to be honest, the whole time i lived at home i really didn’t save up much money. when we decided to move out was when we got really serious about saving up. its so much easier to rationalize big purchases when your “landlord” is mom and dad, just make sure you don’t fall into that trap.
February 4th, 2008 at 2:23 pm
kim,
agree with alot of the other posters.
i got lucky and was allowed to live at home with the parents rent free after graduating. this helped me to save A LOT so that i was able to get my own place. so if you don’t mind, and your parents don’t mind you a little more free than before, try it out. or even if they charge you a little, it still would be less than what you’d be paying in town.
one big plus, the tax refund.
but each person has their own circumstances and situations, bf/gf/single, driving/traffic, close to town & the haps, food, etc. so good luck with your decision!
February 4th, 2008 at 2:37 pm
Have a heart to heart with the folks about the rules and see if you can stand life at home. If so, it makes a ton of sense from a financial standpoint.
Parents are usually receptive to the idea, but some anticipate implementing the same rules that applied during high school. Get that sorted out beforehand. Hot topics are usually dating/curfew/sex/not coming home, alcohol/drugs, friends, noise, parking, and in some instances religious practices, weapons and tattoos.
You look like the perfect daughter and none of these are issues, so move home and get rich.
February 4th, 2008 at 2:53 pm
moving in with the parents is a big plus in terms of saving money, however, some people i know, myself included from experience, moving back may or may not hinder your independence. thats one thing my friends and i noticed. it might not be bad, but once one has been on their own, giving that freedom up to do whatever whenever one wants in any fashion or form is quite much to bear. hope you figure things out and that they work out the best.
happy belated birthday by the way:)
February 4th, 2008 at 3:06 pm
I built an extension on my parents house and it’s almost like 2 separate homes in one. We have our own living room, kitchen, 2 bathrooms, my 2 kids each have a bedroom, a bedroom for my wife and I and separate entrances to the house. I pay for all the utilities and take care of the maintenence. It was cheaper than buying a home and it’s right in town too. It’s working out pretty good for me. Living in my parents home, yet it doesn’t feel like we are.
February 4th, 2008 at 3:09 pm
Privacy and freedom vs. ownership and financial stability.
I personally cannot see myself paying someone else’s mortgage. Being 24 as well, the thought of renting my own place has crossed my mind more than once, but it all comes back to sacrificing a little now and working towards owning something that I can call my own later. Id rather invest money in my own property instead of helping to better something that’s not even mines. Until then, ill stick it out with mom and dad.
Many 20-somethings here in Hawaii are dealing with the same dilemma. We want privacy and a place to call our own, but don’t have enough financial stability to afford it all.
Many of us are living with parents and inheriting property when parents are gone. This usually means taking care of mom and dad until the end, and by the time ownership kicks in, our kids need to take care of us! This, on top of sharing property with siblings and other family members.
With the sky-high rental and median house/condo prices here in paradise, us young people need to work hard now, land good jobs and save up for that down on our own piece of land! Cost of living expenses and a competitive job market make it a lot harder than it should be for us. Heck, I could move to the mainland now and get my own mansion for under 200k! I couldn’t buy a shack here for that much! I guess that’s the “price of paradise”.
For now, I’m staying with my girlfriend at her house in Hawaii Kai and we have an ample amount of privacy. We come and go on our own accord and have most of the freedom we would have if it were our own house. We have 4 people in a 4 bedroom 3 bath town-house and things are going pretty good. It’s affording us the opportunity to save up and get our very own place.
We help to pay electric, cable, telephone, gas, water/sewer, property tax and insurance bills, cook dinners, clean up and carry many of the responsibilities as we would if we were owners. This is on top of our car/insurance payments, credit cards, phone, etc. utilities, gas and food. It’s tough, but we’re busting butt to make it happen.
I was fortunate enough that my parents worked hard in their young age to purchase and pay off property that would set us up when we get older. I’m pretty much set with house and my name just went on the deed for our house in Kaimuki.
Unfortunately, my father passed away a couple months ago, which left me to make a decision to step up and move back home to take care of my mom, so now, we’re planning to purchase a 2nd property, renovate and rent our our first property to offset the new mortgage that we’ll be taking on for the next 30 years.
We’re planning to build a huge house that we can all grow into with separate dwellings for both my girlfriend and I, my brother and mom, taking care of her as she reaches an older age.
We’ll have 4 income streams contributing to the mortgage which means that later on in life, my girlfriend (hopefully wife by then! lol) will be able to purchase another place that we can retire into.
We’re utilizing the equity in our current home and working as a team to buy something nice that we can all live comfortably in. We’re making our property work for us and investing in our future. You only live once and I’d like to be able to pass on property to my children, as my dad did for us.
Buying a house is one of the largest investments that most people make in their entire lives. The average age of home buyers now-a-days range from the mid 30’s on up. I know lots of 40 somethings that either just bought homes, or are still living with mom and dad. You’re only 24 and still have lots of time to save and plan your future!
I would stick it out with mom and dad while you and your significant other work hard to make that money. Save what you would be paying rent with and give it a few years. When you folks are ready, get married, buy that house and start your family. Hopefully prices will drop a bit by then.
You’ll be in your early 30’s, a proud home-owner and happily married with some little ones on the way.
Whatever your decision, you’ll be fine and you can count on us for advice!
Good luck, Kim!
February 4th, 2008 at 10:57 pm
Don’t move back in with your parents!!!
I went away to college and grad school. My friends couldn’t believe it when I decided to come back here. In their minds, coming back to Hawaii equals living with your parents and having a really lame boring life. Whereas staying in a big city on the mainland means living in a cool apt and having a great time.
I refuse to contribute to that. I think it’s possible to live an equally great life here. Make it happen!!
Find a reasonably priced place (w/roommate), save what you can, and hope for the best!
February 5th, 2008 at 2:59 am
If finances are the main issue, then it’s a no-brainer: move back home.
But as mentioned in your post two weeks ago, it’s hard to put a price tag on personal growth and life experiences.
I just paid off my credit card bill for a five-day stay in New Orleans for the Sugar Bowl: $1,126.
Sure, I could have “put that money away” for a house or other smart investment, instead of five days in the “Vegas of the South.”
But as much as it hurt to pay that bill (ouch!), I don’t regret spending the money because I still look at it as a “once-in-a-lifetime experience.”
Everybody’s situation is unique in some way, so I would just weigh what is important to you and base your decision on what is right for you.
Oh, and if you do rent another place, I think secured, covered parking and own washer/dryer are worthy things to look for, as well as a secured entrance and proximity to work/family.
Traffic is a mess out there, and in my opinion cutting down on wasted time and stress is worth a few extra bucks in rent.
February 5th, 2008 at 5:35 am
Rent.
Once you taste independence, it’s hard to go back.
With $500k+ homes requiring a 20% down payment, you’ll be at home “saving” until you’re 30.
February 5th, 2008 at 9:37 am
Hey Kim!
At age 24, I was in graduate school and chose to live with the parents to save money. I forgo my freedom but had to do what I needed to do financially.
I didn’t buy my own place until last year when I just turned 29. It took me THAT long to save up a 15% downpayment on an old 1 bedroom condo. I lived at home until then to save…but I forgo all my privacy! Meaning, I couldn’t really date freely with the parents home.
So..it’s all what you want. Freedom! or saving money. If renting, I wouldn’t rent alone….you should rent with a roommate to keep costs down, that way you can still save for a place!
Or….you can decide to marry Rich!
February 5th, 2008 at 10:50 am
stay with your parents!!! that’s my advice after living alone, with a roommate, alone, with two roommates, and now alone again.
February 5th, 2008 at 12:03 pm
Anon does have a point. Though I would say it is more like $600K. I guess moving back to the mainland it is!
February 7th, 2008 at 9:07 am
Hi Kim,
I am 33 years old have been with my wife for 5 years and just had my first baby yesterday. I moved away from home to go to college when I was 17 years old and have lived on my own ever since. But now with the new kid we are actually seriously considering moving back in with my mom and dad. At least for a little bit. There are all kinds of considerations on one side there are things like getting help with the kid, saving money but on the other end it’s jeeze, do I want to move back in with my parents at this age? Kind of funny. But you know what, one of the things I also considered and thought was cool was at my age, going home makes me feel like a little kid again. Especially since I haven’t really lived there since I graduated from high school.
February 9th, 2008 at 12:45 am
Hi Kim, I totally understand what you are going through. When I first moved home from college, I was eager to move out, but I had no money. I was able to save $10,000 in one year. It didn’t last long, because I wanted to move out so badly and be closer to work. Luckily, Josh wanted to move out of his place at the time and we found a place together. Well, after furnishing our townhouse and paying $700 (my half of the rent) for a year, I had saved nothing and had actually dipped into my savings to pay for the deposit and furniture. I had less than when I started. Now I’m back at home, almost at square one. I’m still not saving as much as I was before because I’ve been giving my dad rent money, but I suppose, for now, it is all that I can do. I keep checking the classifieds, and everyday it is the same…$1000 or more for a decent place. On my salary, I’d better win the lottery if I want to eat AND rent. Until I find something that is ideal, I am going to just stay with mom and dad and not fret the loss of independence. I keep thinking if I had only stayed home last year…I’d have $20,000 saved up and would be on my way to making a real investment in a property.
Maybe you will have better luck than me. If you have a friend you can live with, that’s best…splitting the rent makes $1400 a lot more affordable. Town has some decent places for one at reasonable prices–you just have to keep looking and be patient. Some of my friends have gotten good deals. I would recommend trying to get some place with parking though–if you come home late at night, you probably don’t want to walk too far to your front door. I would definitely recommend staying close to work if you can though–I commute 63 miles a day, round trip, and let me tell you the drive will eventually wear you down. I feel as though I spend most of my time in my car, and by the time I get home, I have little energy to do anything. If I have to come into town, it’s an even bigger nightmare trying to get in from the “outside.”
Good luck to you…this is truly the dilemma of our age group.