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Old 12-06-2016, 07:49 AM
 
Location: Sweet Home Chicago!
6,721 posts, read 6,475,985 times
Reputation: 9910

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Quote:
Originally Posted by My Kind Of Town View Post
We bought our home in late 2009 for under $400k. We refinanced in 2013 with 20% down to eliminate PMI (original purchase we put down 15%) and secured a 30 year fixed rate mortgage at 3.125%. Our property taxes have been in the $5k-$5.5k range over the past few years and home insurance hovers around the $1k mark. Add it all up and it comes out to ~$1800/month. Safe to say we wouldn't be able to find a comparable rental for that price. Homes like ours in the neighborhood typically rent out in the $2200-2800 range depending upon condition/updates.
Quote:
Originally Posted by IrishIllini View Post
BUT PROPERTY TAXES!!!!!!!!!!
Factor in the higher state income tax in GA of 6% vs. Illinois at 3.75% and it's actually cheaper to live in Illinois. At least in the case of MKOT.

*Assuming a household income of ~$150K, you'll pay $3,375 less living in Illinois vs. Georgia for income tax.

Illinois at $150K x 3.75% = $5,625

Georgia at $150K x 6% = $9,000

I'm guessing with the dual income scenario that Taco has, the savings may be even more lopsided.

Bump up the household income to $250K and you get this >

Illinois at $250K x 3.75% = $9,375

Georgia at $250K x 6% = $15,000

 
Old 12-06-2016, 08:19 AM
 
335 posts, read 334,041 times
Reputation: 258
Quote:
Originally Posted by flamadiddle View Post
Factor in the higher state income tax in GA of 6% vs. Illinois at 3.75% and it's actually cheaper to live in Illinois. At least in the case of MKOT.

*Assuming a household income of ~$150K, you'll pay $3,375 less living in Illinois vs. Georgia for income tax.

Illinois at $150K x 3.75% = $5,625

Georgia at $150K x 6% = $9,000

I'm guessing with the dual income scenario that Taco has, the savings may be even more lopsided.

Bump up the household income to $250K and you get this >

Illinois at $250K x 3.75% = $9,375

Georgia at $250K x 6% = $15,000
Right, but his situation is very rare. The complete pieces of garbage I linked above are examples of what you can buy, finding an updated 4 bed home with at least 3000 square feet at that price is impossible in hinsdale, LaGrange area. My mom will also be retiring there and living with us, finding a home with a full daylight basement with a finished kitchen, space, etc in Illinois is not happening for 450k. Not unless you sacrifice something major, which we won't do.

Last edited by Taco1234; 12-06-2016 at 08:29 AM..
 
Old 12-06-2016, 08:21 AM
 
335 posts, read 334,041 times
Reputation: 258
Quote:
Originally Posted by tolovefromANFIELD View Post
I put that up 8 years ago and never changed it. I've grown up a lot since then, and realized that world isn't nearly as black and white as I once thought.
Ahhhhh... well slap a psychic sign on your front window and open for business! Your description of illinois couldn't be more spot on, which is why we are high-tailing it out of here. Throwing your money at their corruption is just plain silly!
 
Old 12-06-2016, 08:27 AM
 
335 posts, read 334,041 times
Reputation: 258
Quote:
Originally Posted by flamadiddle View Post
Factor in the higher state income tax in GA of 6% vs. Illinois at 3.75% and it's actually cheaper to live in Illinois. At least in the case of MKOT.

*Assuming a household income of ~$150K, you'll pay $3,375 less living in Illinois vs. Georgia for income tax.

Illinois at $150K x 3.75% = $5,625

Georgia at $150K x 6% = $9,000

I'm guessing with the dual income scenario that Taco has, the savings may be even more lopsided.

Bump up the household income to $250K and you get this >

Illinois at $250K x 3.75% = $9,375

Georgia at $250K x 6% = $15,000
You do realize that Illinois' income tax will very likely be rising in the near future, right? The money to pay back the BILLIONS in debt has to come from somewhere

Also, again... for the home we'd want here we'd be looking at a monthly payment of 4K... therefor same house and same salaries looking at around 2k. Even with a 2.25 higher income tax rate we are still coming out ahead.
PAYING 6k MORE IN INCOME TAX IS < THE ADDITIONAL 24k MORE IN MORTGAGE PAYMENTS!!!
Good lord.
 
Old 12-06-2016, 08:41 AM
 
4,011 posts, read 4,248,676 times
Reputation: 3118
Looking at income taxes only, yes. OTOH, most of my friends who have relocated to suburban Atlanta have told me that they (still) have a slightly lower cost of living vs suburban Chicago, regardless of the income tax. Even being able to deduct more property taxes on their 1040s living in IL still put them at a better 'net' living down south. YMMV.

Quote:
Originally Posted by flamadiddle View Post
Factor in the higher state income tax in GA of 6% vs. Illinois at 3.75% and it's actually cheaper to live in Illinois. At least in the case of MKOT.

*Assuming a household income of ~$150K, you'll pay $3,375 less living in Illinois vs. Georgia for income tax.

Illinois at $150K x 3.75% = $5,625

Georgia at $150K x 6% = $9,000

I'm guessing with the dual income scenario that Taco has, the savings may be even more lopsided.

Bump up the household income to $250K and you get this >

Illinois at $250K x 3.75% = $9,375

Georgia at $250K x 6% = $15,000
 
Old 12-06-2016, 08:49 AM
 
Location: Sweet Home Chicago!
6,721 posts, read 6,475,985 times
Reputation: 9910
Quote:
Originally Posted by damba View Post
Looking at income taxes only, yes. OTOH, most of my friends who have relocated to suburban Atlanta have told me that they (still) have a slightly lower cost of living vs suburban Chicago, regardless of the income tax. Even being able to deduct more property taxes on their 1040s living in IL still put them at a better 'net' living down south. YMMV.
Totally agree, but then you have the roadside carnival vs. Disney argument that I mentioned. Atlanta is nothing like Chicago, but if one prefers hot summers vs. cold winters and does not desire or benefit from a big city atmosphere, sure, move to Atlanta and save a few bucks.
 
Old 12-06-2016, 08:55 AM
 
4,011 posts, read 4,248,676 times
Reputation: 3118
Quote:
Originally Posted by flamadiddle View Post
Totally agree, but then you have the roadside carnival vs. Disney argument that I mentioned. Atlanta is nothing like Chicago, but if one prefers hot summers vs. cold winters and does not need or benefit from a big city atmosphere, sure, move to Atlanta and save a few bucks.
I agree with you- Chicago is amazing, and some of my friends do as well. They wanted their cake and be able to eat it too- splitting the difference by living/working south of the Mason-Dixon line while keeping a small studio apartment near downtown Chicago (AirBnB!).

cheers
 
Old 12-06-2016, 08:57 AM
 
1,851 posts, read 2,169,001 times
Reputation: 1283
Quote:
Originally Posted by damba View Post
I agree with you- Chicago is amazing, and some of my friends do as well. They wanted their cake and be able to eat it too- splitting the difference by living/working south of the Mason-Dixon line while keeping a small studio apartment near downtown Chicago (AirBnB!).

cheers
That seems like a lot of work for what may amount to $300 dollars in savings per year, lol. I guess the Air BnB generates enough income to make it worth it?

Last edited by IrishIllini; 12-06-2016 at 09:06 AM..
 
Old 12-06-2016, 09:07 AM
 
748 posts, read 832,323 times
Reputation: 508
Are these even habitable? And, with 350 and taxes, that is still over 1800/ month. You'd actually be more like 2200+ after escrow.

I still don't see how 1800 (all-in payment) in Hinsdale is a reality without buying a place that needs significant work or has other HUGE drawbacks.
 
Old 12-06-2016, 09:08 AM
 
748 posts, read 832,323 times
Reputation: 508
Quote:
Originally Posted by My Kind Of Town View Post
We bought our home in late 2009 for under $400k. We refinanced in 2013 with 20% down to eliminate PMI (original purchase we put down 15%) and secured a 30 year fixed rate mortgage at 3.125%. Our property taxes have been in the $5k-$5.5k range over the past few years and home insurance hovers around the $1k mark. Add it all up and it comes out to ~$1800/month. Safe to say we wouldn't be able to find a comparable rental for that price. Homes like ours in the neighborhood typically rent out in the $2200-2800 range depending upon condition/updates.
OK - this is much more inline with what I would expect. That same home from 2009 would almost certainly be closer to 500K today, or more. Add that to the current 4% rates, and we're well above 1800/ month. That's simply not a number that people moving into Hinsdale can find today.
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