Lots of Factors - To Rent or Buy - Company Pays quite a bit

**Denver Mike** · 01-31-2011, 07:53 PM

Sorry for the less than cordial email - rather than it be long and full of worthless information I will try to stick to the facts.

I currently live in Denver, CO. I purchased my house about 6 years ago. The cost of my house was $180,000. I put 40k down. I currently have about 120k left in principal.

I may be getting transferred with my company to Bowling Green, KY. The cost of living is significantly lower than Denver.

Part of my relocation package include my company paying for my closing costs when I sell my house and when I purchase a new home.

There is also a bonus if I can sell my house within 30 - 60 - 90 days. The bonus is obviously higher the faster I sell it.

If I do move I would only be in Bowling Green for 18-24 months.

The question is -would I want to rent or buy in Bowling Green.

I could get a house twice my current size for about 200k.

The equity in my home right now is around 100k so a large down payment wouldn't be a problem.

They way I see it (and I am young and stupid) is that even if I am only going to be in this new home for 2 years:

1. I have lots of interest to write off when it comes to tax time
2. Assuming it's 1k a month in mortgage - that a decent amount of money to recoup when I go to sell it instead of throwing it into rent.
3. My next move will likely be picked up by the company again.

Is purchasing a home make sense for this short amount of time in KY?
What do I need to consider - I was told make sure it's in the good school district for the next buyer.

Any advice is appreciated and thank you in advance!

**Chrisopher Moltisanti** · 02-01-2011, 06:45 AM

If you can't stay put for at least ten years nowadays, there's no point in owning.

Rent a whole house and put contingencies in the lease agreement if you're worried that the landlord will want his house back after only six months of your occupying it.

**AlexB** · 02-01-2011, 11:14 PM

I agree, I would not purchase a home if you're only planning on staying there 2 yrs or less, especially in this market. Prices are still continuing to fall in most cities. I would definitely consider renting.

**Jupiter Homes** · 02-02-2011, 05:01 AM

Renting a small place is a lot cheaper for you than buying if you are staying less than 5 years. Once you're ready for a long term home though, you should really get one while prices are low.

**Prashant** · 02-04-2011, 12:33 AM

I would suggest renting a house if the current economical condition is not good. Buying can be done when economical conditions are good and one can afford it buying.

**James_alex** · 02-08-2011, 12:24 AM

Originally Posted by AlexB

I agree, I would not purchase a home if you're only planning on staying there 2 yrs or less, especially in this market. Prices are still continuing to fall in most cities. I would definitely consider renting.

Yes, renting can be the better option and soon after, according to the real estate market conditions it will easier to by a property or house in better price.