Is this a smart move financially?
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Anonymous
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I am a Director of Development for a non profit. Salary is $165,000 with four weeks vacation. No salary growth. I was promoted to run the department last year after being with the company for 6 years (my boss left a year ago). The organization is in a tough place financially and going through some rough times.
We bought a condo two years ago. Monthly mortgage and HoA is $2,500. My husband makes $80,000 with no promotion potential. He is prepared to leave his job. I am being headhunted for a position in Cambridge, MA. I told them I would need at least 25% more money and full relocation. The job is at a university and the benefits are amazing and I would get five weeks of vacation and the two weeks between Christmas and New Years off. They still want to interview me. We can only rent our condo for $2,000 (max). We would have to pay the difference. We don't have enough equity in the condo to sell and not lose money. Rent in the Cambridge area is astronomical. My husband has had initial conversations with contacts in that area and has tentatively been offered a job paying $100,000/year. We have two kids ages 10 and 4. Should we stay put or relocate? |
Anonymous
| I don't think this is a financial decision. I don't see an unmanageable difference here. I think it depends on where you prefer to live. I happen to really like the Boston area, and in your shoes I'd move up there and rent a place in Belmont. |
Anonymous
| I agree this is not a financial decision. It is about where you want to live. |
Anonymous
| Even with having to pay the difference IF we can find reliable renters? |
Anonymous
How much do you owe on the condo and what would it sell for? |
Anonymous
Sounds like your hhi will be around $300k. $500/mo isn't that much in that case. |
Anonymous
| How much does your equity grow every month? |
Anonymous
| We owe $312,000. Paid $330,000. Have had the kitchen redone and have not had an appraisal since. Would need to sell it for at least $345,000 to break even. Also, don't we have to report the rent as income? |
Anonymous
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Do you think you might stay at the university long-term, and if so, do they cover tuition for dependents? If so, that could be a huge financial upside to the new position.
Since you haven't even interviewed yet, I would at least explore the Cambridge position before agonizing over what to do IF you get it. Learning more about the job, your peers, the environment, etc. will help with your decision. |
Anonymous
How much would it sell for? I wouldn't worry so much on the break-even point if you aren't underwater. I think you're looking at small financial data points instead of the big picture of where you would prefer to live. |
Anonymous
Yes, you do but you also get to take a ton of deductions, including depreciation. If your income is below a certain level, you can deduct the losses against ordinary income, though you will above that level. Still, there can be tax benefits to a rental property which is one reason people do it. |
Anonymous
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This is one of those way-too-specific overshare posts. It flabbergasts me that people put out so many personal, identifiable details under this much too transparent veil of "anonymity."
If I was recruiting you and saw this post, you'd be out of consideration in a hot second for general lack of discretion and common sense. |
Anonymous
| I'm impressed you are a director of development making $165. That's a pretty good salary for that role from what I understand. Most non-profits don't pay that much. I have a family member who is one and not making nearly as much. |
Anonymous
you get to deduct the mortgage as a business expense (for the rental property) as well as the HOA fees. |
Anonymous
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Someone is offering you either the winning powerball or the winning megamillions ticket, and you're worried about which car to drive to the lottery office bc the gas mileage is different
Where do you want your kids to grow up? |