Cost of Living - is it true? (Dallas, Frisco: insurance, mortgage)

[jacob]

http://money.cnn.com/2006/07/13/pf/s...hest/index.htm

According to this article and several other sites, $100k salary in Dallas is better than $200k salary in NY.

Is that really true. People who have lived in both these places, do you really find that difference ?

[cdelena]

From my point of view it is an exaggeration. They are different places that offer different things. It would cost a lot to have a Texas sized house in NY, and cost alot to see a Broadway play when living in Dallas. Without a doubt NYC is much more expensive than Dallas, but only double if you don't adjust to the environment.

[socketz]

This is true. I think they get carried away with that median home price they always refer to.

I know that I make a little more in Dallas than in Socal.

In Socal I lived in a home that was appropriate to my income (1987, 1900 sq/ft, 4Bdr/2Ba), now in Dallas I do the same (new construction and a little larger). In the end, my mortgage + property taxes + insurance ends up being about the same (home price cuts in 1/2, property taxes double). The catch is that when you relocate to another state, you are hoping to avoid going lateral, so you end up buying something that feels more like something you can't get where your leaving. Sure, I really moved for the career opportunity, but I also have to make sure the family is getting an upgrade as well. I also now get to explore having things I never dreamed of in San Diego, like 'new' or a 'guest room' and 3-car garage. If I could have found something smaller and cheaper that was still new, I probably would have bought it, but most of the homes out here the size of my home in Socal are either starter homes or in areas I don't want to live. In fact, when you try to buy something small in a nice area say like SW Frisco, you actually pay alot more per square/ft than somehting larger. It seems smaller more custom homes are in high demand.

[jacob]

Originally Posted by socketz

This is true. I think they get carried away with that median home price they always refer to.

I know that I make a little more in Dallas than in Socal.

In Socal I lived in a home that was appropriate to my income (1987, 1900 sq/ft, 4Bdr/2Ba), now in Dallas I do the same (new construction and a little larger). In the end, my mortgage + property taxes + insurance ends up being about the same (home price cuts in 1/2, property taxes double). The catch is that when you relocate to another state, you are hoping to avoid going lateral, so you end up buying something that feels more like something you can't get where your leaving. Sure, I really moved for the career opportunity, but I also have to make sure the family is getting an upgrade as well. I also now get to explore having things I never dreamed of in San Diego, like 'new' or a 'guest room' and 3-car garage. If I could have found something smaller and cheaper that was still new, I probably would have bought it, but most of the homes out here the size of my home in Socal are either starter homes or in areas I don't want to live. In fact, when you try to buy something small in a nice area say like SW Frisco, you actually pay alot more per square/ft than somehting larger. It seems smaller more custom homes are in high demand.

socketz,

so are you saying you like being in Dallas - its an upgrade for you - you got more house and surprisingly, same or better salary. So the 2:1 ratio may be exaggerated, but at the end of the day, one is better off in a city like dallas than NY or SoCal ?

[Synopsis]

I don't think it's exaggerated much, if any at all. Just look at the cost of a two bedroom apt. in NY and one in Dallas; it's probably around twice as much. Food wouldn't be twice as much, but there are issues with parking in NY and such as well.

[LOK222]

I'm not there yet.. we are in the process but I can say that here in the DC suburbs there are many townhouses that sell for 500-600k

[socketz]

The home I bought in Dallas (Darling) is in a different league compared to my home in Socal, which was fine. Seriously, the Semi-custom Dallas builders often mentioned on the forums here build an incredible home.

So yes, while I 1/2'd my home cost and doubled my prop taxes (i.e. net is about the same), I'm still getting about 4x the quality of home as compared to what I had...so it's not a fair comparison. I could have went with a mid-range builder like DR Horton, Meritage, Lennar, etc and saved alot more.

[javak]

Originally Posted by jacob

http://money.cnn.com/2006/07/13/pf/s...hest/index.htm

According to this article and several other sites, $100k salary in Dallas is better than $200k salary in NY.

Is that really true. People who have lived in both these places, do you really find that difference ?

Two years ago we left California with a 100k salary and 4 children. My son had to sleep in the living room because we couldn't afford a bedroom for him . I drove an 11 year old pickup and my wife drove a tiny Nissan Sentra . We rarely went out to eat and there was always a shortage of money . Now we are in the DFW area with the same salary and live like royality . We have a huge home for all the kids with a swimming pool. We paid off the balance on a 2005 Yukon in the first year . My wife bought a Chevy Impala last year and we take the kids out to the movies and out to eat on a regular basis .
The commute is much less, the gasoline is $1.93 instead of $2.55, and the electicity is 11 cents instead of 24 cents per kwh .

[shannon94]

Originally Posted by javak

Two years ago we left California with a 100k salary and 4 children. My son had to sleep in the living room because we couldn't afford a bedroom for him . I drove an 11 year old pickup and my wife drove a tiny Nissan Sentra . We rarely went out to eat and there was always a shortage of money . Now we are in the DFW area with the same salary and live like royality . We have a huge home for all the kids with a swimming pool. We paid off the balance on a 2005 Yukon in the first year . My wife bought a Chevy Impala last year and we take the kids out to the movies and out to eat on a regular basis .
The commute is much less, the gasoline is $1.93 instead of $2.55, and the electicity is 11 cents instead of 24 cents per kwh .

Good for you javak ...that's what I like to hear!! We've been really happy with our move from San Diego as well. Doesn't it give you peace of mind not to live paycheck to paycheck and really have something to show for all your hard work? We are in that same income bracket and it felt like nothing in San Diego.

[Need_affordable_home]

Great posts. This is the main reason why I cant wait to leave south FL, the cost of living is insane with those house prices, taxes and insurance! Other things are more expensive as well, even the food is cheaper up north! I am self employed and make the same money regardless of where ill settle so I am weighing location vs. cost of living. I can choose a more desirable location with more expensive houses and cost of living but then ill be living very modestly compared to a more rural location where I can enjoy a nice big house and splurge on my hobbies.