Here's the deal: we sold our place in Pittsburgh a couple of years ago, because we knew we would never live there again and renting it out was a pain in the ass (Pittsburgh's a lousy rental market for houses because it's so cheap to buy there). I kind of like my unbearable lightness of being at the moment, in which I neither own nor owe anything substantial, but all the financial advice I've encountered suggests that I really should have a piece of property by the time I retire. So now I'm looking around (especially since so much is on sale). But this is complicated by two facts:
1) I plan to spend most of the rest of my working years outside the U.S., living in government housing; and
2) I have no idea where we'd be retiring to.
In other words, there's no obvious place in the US -- or anywhere else, for that matter -- where we should be buying. Given that, I can see three options, but am certainly investment-unsavvy enough to believe there are options I'm missing. What I've come up with is:
a) Buy something in DC/MD/VA. We're likely to be living there for a tour in 2010-13, and maybe one more 3-year period before retirement. This would give us an easy place to land for those tours, and should be an easy-to-rent property that holds its value while we're abroad.
b) Buy a vacation home. Every time I finish a tour, I'm required to go on vacation for at least a month. (Really! It's Congressionally mandated!) Since no one in our family lives in a house big enough to host guests for a month, this entails finding a place to stay; having my own vacation home could solve that problem, and I could rent it out the rest of the time. This plan would work best if I were interested in a 4-season vacation destination, because then I could rent it out year-round; unfortunately, I'm partial to the New England coast (epecially Rhode Island, where I have family), but that still makes this viable.
c) Forget living in anything I buy; instead, buy a rental property someplace where property values are nearly certain to hold or rise, and where there's a captive pool of renters to begouged catered to. Where is this mythical place? College Town, USA. I'm specifically thinking of Austin, since my in-laws are down the road in San Antonio. Iowa City, where I still have friends (including a couple who've made a prety penny in real estate).
I know a bunch of people here seem to have some decided opinions about property and investment. Ok, help me think this through. What would you do?
1) I plan to spend most of the rest of my working years outside the U.S., living in government housing; and
2) I have no idea where we'd be retiring to.
In other words, there's no obvious place in the US -- or anywhere else, for that matter -- where we should be buying. Given that, I can see three options, but am certainly investment-unsavvy enough to believe there are options I'm missing. What I've come up with is:
a) Buy something in DC/MD/VA. We're likely to be living there for a tour in 2010-13, and maybe one more 3-year period before retirement. This would give us an easy place to land for those tours, and should be an easy-to-rent property that holds its value while we're abroad.
b) Buy a vacation home. Every time I finish a tour, I'm required to go on vacation for at least a month. (Really! It's Congressionally mandated!) Since no one in our family lives in a house big enough to host guests for a month, this entails finding a place to stay; having my own vacation home could solve that problem, and I could rent it out the rest of the time. This plan would work best if I were interested in a 4-season vacation destination, because then I could rent it out year-round; unfortunately, I'm partial to the New England coast (epecially Rhode Island, where I have family), but that still makes this viable.
c) Forget living in anything I buy; instead, buy a rental property someplace where property values are nearly certain to hold or rise, and where there's a captive pool of renters to be
I know a bunch of people here seem to have some decided opinions about property and investment. Ok, help me think this through. What would you do?
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