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The Cost of The City vs The Suburbs
When
you purchase a home, the price on your mortgage
is not the only cost that will be associated with
it. The location of your home will have an impact
on your finances, which is why it is wise to compare
the cost of living in the city vs the suburbs.
City Life
Depending on your personal lifestyle, living in a
quiet, peaceful community could be a bore. City life
generally offers more opportunities for dining, shopping
and entertainment. Employment opportunities are typically
higher as well, since there is usually a higher concentration
of businesses in the city. However, because of these
things, city home prices are often high and determined
by convenience rather than square footage alone.
City life is also often associated with higher taxes.
Living outside the city limits may keep you from having
to pay city taxes, but you could instead have to pay
for some of your own services such as waste removal.
Depending on the size of the city, you may also end
up paying more for transportation. Owning a car and
securing long-term parking in a major city can be
a tremendous expense. On the other hand, paying for
bus and subway passes can add up as well.
Although it can be costly to get around in the city,
it doesn't always have to be. For instance, you are
more likely be able to walk to convenient locations
in a city. Most big cities are pedestrian-friendly,
which can help reduce the need to pay for transportation.
City life also offers an abundance of retail, dining
and public service facilities within common areas,
or "districts," further eliminating the
need to commute.
Another benefit to life in the city has to do with
household expenses. It will take less energy to heat
and cool a city condo than it would a two-story single
family home. Not to mention you won't have to worry
about maintenance tasks like replacing roof shingles,
painting the exterior or doing yard work.
Pros:
* Convenience
* No need to commute
* Smaller household bills
Cons:
* Higher taxes
* Transportation within city can be expensive
* Higher home prices
Suburban Life
While you are likely to find more space for your
money in the suburban housing market, you should keep
in mind that you may encounter other costs.
The big drawback to life in the suburbs is the cost
of commuting. If you are able to land a job outside
the city, you're one of the lucky few. Most people
who live in a suburban community have to work in a
nearby city, which means doing a lot of driving. With
gas prices what they are, this can add up to a pretty
big expense.
Another thing to consider is the cost associated
with maintaining or decorating a larger space. A four
bedroom house with a spacious backyard might be great,
but it will cost you more in utilities, maintenance
and furnishings.
Living in the suburbs also provides a different lifestyle.
If you want entertainment, it may be harder to come
by in the 'burbs. Be that as it may, a lot of people
choose to live in the suburbs because they do not
crave the excitement of the city's nightlife. Suburbanites
are generally families or couples who prefer a laid-back
community.
Pros:
* More square footage for your money
* Avoid city taxes
* More laid-back lifestyle
Cons:
* Commuting expense
* Homes more expensive to maintain
* Fewer choices for schools, retail, dining and other
services
To summarize, both lifestyles offer their own unique
set of pros and cons. Think about the kind of lifestyle
you prefer and decide what you think you can afford
before signing on the dotted line.
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