The Midwest is the best if... (Fontana, Lancaster: section 8, 2015, rental)

[tcmtcm]

Originally Posted by 909er

If you have the income to make it in SoCal, you will be fine. If you can't make much money in SoCal, you wont be any happier living here, in fact you will find yourself missing the slower pace and wondering why you entered the rat race.

Combined with my partner, it will be fine (over 175k). If something happens to him? I'm not sure if my 60-70k will work. It still scares the crap out of me, just like the poster from Phoenix, but I'm so homesick....

[909er]

I'm finding it difficult to believe that a family with an income of $100K who lives in Fontana--or so you've said--is struggling to make it. Do you perhaps have astronomical student loans you're paying off, or an elderly parent to support?

The title of the thread is "The Midwest is best if"...

I never said I was struggling, although I am far from wealthy. In fact, I am barely middle class. We live in a house, the bills get paid, and life goes on. But yes it is difficult to live in SoCal if you are not wealthy, I'm sure the Iranian Shah's in BH have few complaints, except taxes of course.

I believe a person should be able to own a 3 or 4 bedroom home, within 15 minutes of their job, and that home should be around 2.5X their income. I believe a person should not be subject to excessive taxation or regulation. And I believe if a person loses their job, it should not be extremely difficult to replace it (That is subjective, of course, and based on skill set)

I like the weather in SoCal but not the COL in L.A. County, so I choose to commute. That's a sacrifice I make but certainly would not have to make in an inland state. Jobs are in LA and cheap homes are in the IE. If you are a highly paid techie or entertainment person, you can afford L.A. and it's for you.

Some fields in L.A. are overflowing with jobs and companies, and others are becoming antiquated in this area. If I were to lose my position, it is currently not easy to find a new one in my field, that pays what I make. In other states, it is. Some may say that means update my skill set, I say tell that to my kids when I'm working all day and in school all night. Too late for that. If I was in an inland state, and needed quick work while I hunt for a permanent position, I can go to a temp service and package oatmeal for $9/hr and get by. Some of those positions are available in warehouses in the IE, but I know from experience English will be the second language and most people working those are uneducated and/or minorities. Furthermore, the $9/hr, sometimes even $12/hr based on the CL ad's I read, is chump change in SoCal when you live on a much higher budget. It is much more stressful to make it in SoCal than it is in St Louis. Same can be said for NYC and Manhattan, if you are successful there, you can afford the high COL. But lose that power position, and Manhattan will not be your home long if you can not replace it.

I have a friend that moved out here with me, he chose to get a bungalow in Long Beach for about $450k. Him and his wife can afford it, but he's absolutely terrified about losing his job and not making that payment without his income, I just can't imagine the stress that is and the sleep he says he loses over that.

[znlwovuhrjw]

Originally Posted by tcmtcm

Combined with my partner, it will be fine (over 175k). If something happens to him? I'm not sure if my 60-70k will work. It still scares the crap out of me, just like the poster from Phoenix, but I'm so homesick....

That's also why Los Angeles has a much lower divorce rate than normal, because it would be impossible to survive upon divorce!

[tcmtcm]

Originally Posted by 909er

I have a friend that moved out here with me, he chose to get a bungalow in Long Beach for about $450k. Him and his wife can afford it, but he's absolutely terrified about losing his job and not making that payment without his income, I just can't imagine the stress that is and the sleep he says he loses over that.

This is it. My ONLY inhibition. I want the bungalow in LB......my boyfriend has the high paying techie job, I am in school counseling. My job is a good one here, not so much there.

Originally Posted by kingdomkz

That's also why Los Angeles has a much lower divorce rate than normal, because it would be impossible to survive upon divorce!

Hah! "We stayed together for the house."

[CA4Now]

Originally Posted by 909er

I never said I was struggling, although I am far from wealthy.

Maybe I misunderstood what you've posted in your other threads.

Originally Posted by 909er

We make about $100k, maybe a little more, but by the time we pay rent, gas, child activities, bills, etc, what goes in our savings acct's is nowhere near what it would take to put a decent downpayment on a home. And I have a "coveted aerospace job" although the wage increases have not kept pace with inflation.

I believe a person should be able to own a 3 or 4 bedroom home, within 15 minutes of their job, and that home should be around 2.5X their income. I believe a person should not be subject to excessive taxation or regulation. And I believe if a person loses their job, it should not be extremely difficult to replace it (That is subjective, of course, and based on skill set)

What drew you to southern CA when you moved here? Twelve years ago we were entering a real estate bubble.

[LuvSouthOC]

Originally Posted by 909er

That is actually a very false statement. I have friends and family that own a home, nice car, and boat making $20/hr. Thats a household income around $80k. You cant do that in CA. Its also easier to find a job over there, and if you lose your job, you can go to a temp agency and get by on $10/hr temporarily. In CA, you can't do that. Lose your job, you can be in serious trouble quickly. Go to a temp service to get by, nobody speaks English at the temp jobs out here, and wouldn't make enough to get by anyway.

And the lower taxes, registration, gas, and no smogging makes that Camry cheaper to run in the Midwest.

20 bucks an hour translates to 80k/year?

[znlwovuhrjw]

Originally Posted by LuvSouthOC

20 bucks an hour translates to 80k/year?

If both spouses are making ~$20/hr (5 days and 8 hours a day for 52 weeks, with ~2 weeks of vacation/sick days/holidays/etc) each the value per salary each is ~$40,000/yr thus being somewhere around ~$80,000 a year combined.

In states with a lower tax bracket 4-5% and lower property tax overall probably $500-$2,000/yr, still doing better in general than California. The percentages add up quickly!

[mysticaltyger]

Originally Posted by jm1982

I think that most people are optimistic too that their financial situation will change sometime in the future .

Unfortunately, probably too optimistic.

[mysticaltyger]

Originally Posted by 909er

That is actually a very false statement. I have friends and family that own a home, nice car, and boat making $20/hr. Thats a household income around $80k. You cant do that in CA. Its also easier to find a job over there, and if you lose your job, you can go to a temp agency and get by on $10/hr temporarily. In CA, you can't do that. Lose your job, you can be in serious trouble quickly. Go to a temp service to get by, nobody speaks English at the temp jobs out here, and wouldn't make enough to get by anyway.

And the lower taxes, registration, gas, and no smogging makes that Camry cheaper to run in the Midwest.

I was with you until that last statement. Cars do tend to wear out faster in the Midwest because of the harsh weather; so replacing your car more frequently definitely offsets those other costs (and it's not like they don't have car registration fees elsewhere).

[seain dublin]

Originally Posted by CA4Now

I'm finding it difficult to believe that a family with an income of $100K who lives in Fontana--or so you've said--is struggling to make it. Do you perhaps have astronomical student loans you're paying off, or an elderly parent to support?

Exactly, I have noticed a few times on the CA boards the people who are making decent money and whine about how tough it is, as they continue to post the truth starts to come out about their own finances.

For example one poster was saying they can't make it as a single person in LA on 60K, a few posts later it comes out they have a car note, an alimony payment, a kid who needs braces not covered by their insurance(so much for being single). A really single person who makes 60K a year can live nicely in LA if they're loaded with debt.

Large student loans, two car notes in the family, that adds up.

No one is saying CA isn't expensive, but unless you have 4 kids or more something is off if you can't live decently on a 100K a year in Fontana. What's sitting out in the driveway, three cars, two of which have big car payments?

So how much of this is CA's fault, and how much is the individual's fault?

And the kicker is these same people if they moved to a less expensive state, say down south would see a salary cut, bring their debt with them, and still be in the same boat.