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My cousins new house

April 23rd, 2017 at 10:48 pm

My cousin and his wife bought a new house a few months ago and we were invited for Easter dinner and to see their new place. The house is BIG. It's 3300 square feet with an additional 900 square foot, fully finished basement that is a separate apartment with 2 bedrooms. Their 28 year old son currently lives in that level, rent free but that's another story.

The house is beautiful. Very high end finishes, open concept kitchen, dining, family room, large deck, and 2 car garage. I am still drooling over the master bathroom, 2 sinks, separate tub and large walk in shower with a bench and lot's of storage.

They paid $510,000. The property taxes were listed at just over $5k per year. I know they did not put 20% down because his wife was complaining about having to pay PMI. My cousin is 60 years old and his wife is 56. He works as a truck driver for a large soft drink company. She does not work outside the home, no young kids at home.

I just wonder how they are affording such an expensive home, and I worry about them in retirement. I don't know their full financial picture, but I do talk to his wife quite frequently and I just don't get the sense that they are well prepared for retirement.

I do admit feeling some pangs of envy at the finishes, but not at the thought of that monthly mortgage payment, or utility bill, or cleaning it!

In the end, I feel satisfied with my paid off condo and being able to sleep at night without such large financial burdens.

3 Responses to “My cousins new house”

  1. creditcardfree Says:
    1492988834

    I sure wouldn't want to be 60 and paying PMI on a home! So many people don't really plan or think ahead. We have a tub, separate shower with small bench and two sinks in a 2400 sq ft home and even a separate toilet room. It's over the top. We rent, but I really don't think I need a jetted tub in a master, as long as I have one in another bathroom.

  2. snafu Says:
    1493019478

    My viewpoint is nearly identical to your's. 60 y/o paying PMI would give me nightmares. The principal to interest ratio would reduce me to tears. What mortgage broker broke the rules for this trick? Do they live in an area that will escalate in value in 5 years so that they can sell for 33% net profit?

  3. MonkeyMama Says:
    1493037373

    Yikes!

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