Moving to Columbus from Australia (Jackson, Toronto: for sale, real estate, sublets)

[jehane]

Hi all

My university offer came through, so provided my visa paperwork gets sorted in time I will be arriving in Columbus in late April. I have been reading quite extensively through these forums and I thank all of the helpful people here. I still have a few questions...

After reading through a lot of the "where should I live" threads, I'm leaning heavily towards Grandview because it's close to the west campus (where my research lab is) and it seems a bit nicer and quieter than the east side of campus where most of the student housing is. I've had a look through a few sites for sales and rentals so I have a reasonable idea of current prices. Mostly I've been using realtor.com but happy to get recommendations on other sites. I've also been looking at craigslist for sublets for the summer, with plans to use those first few months to find somewhere more permanent to live. Provided all goes well at uni, I expect to be there at least 5 years.

1. I'm seriously considering buying vs renting. I am looking at properties around 100K and would probably pay cash, which would avoid the lack of US credit rating problem. Would a few months be sufficient to settle a house (apartment) purchase? How does the house buying process work in the US/Ohio?

2. I'll likely be landing in Dallas/Fort Worth as there are direct flights and I have relatives there. I'm considering buying a car there (possibly govt auction) and driving it to Ohio. Could I use my sublet address for the registration even though I won't be living there yet? Otherwise I can use my relatives' address either in Dallas or Florida (other relatives) for the initial registration and get it changed when I have an address in Ohio. What are the implications for this plan? Factor in that I will have quite a lot of luggage, my parents are likely to come with me for the first couple of weeks and we are planning to visit relatives in Dallas and Florida definitely, and Connecticut and Toronto possibly. Plus I want to enjoy a bit of a holiday before I start 5 years of grad school with little time and money.

3. The tax system seems a bit complicated. As I understand it, I'll have to pay Federal income tax, State income tax, local income tax and possibly a property tax if I buy a property? Plus sales taxes.

4. Any recommendations for services? ie banking (credit union ok), cellphone, internet, etc?

5. Most importantly, where can I get my Tim Tam fix? (and why did the hyperlink option only show up when I previewed the post and not when originally writing it?)

Thanks in advance!

[jbcmh81]

I bought my house 6 years ago and it took less than 2 months total, but there were issues with a previous owner's lien so it might've taken longer than usual. You'll want to make sure and get an inspection done, though not necessarily through the real estate company you're working with, but from a reputable 3rd party. You can bring this back to the owner and work out any compensation or price reductions based on that report. I have no idea how it works with cash only, though.

State laws differ on car purchases, so I'm not sure how a state like Texas does it. I believe you need an established address in Ohio to do it there, but someone with more knowledge should chime in. You could also contact the local DMV where you plan to buy (or go to their website). Dallas to Florida to Toronto is a lot of driving. If you have the money, I'd say fly.

Yes, there are income taxes at the state and federal level, and a tax related to the school system you live in. There is a property tax that is assessed about every year. If you have a mortgage, this is payed over the course of the year, but through cash only with no mortgage, it'd probably just end up being a single payment once a year. How much depends on where you live. Columbus City property taxes are generally pretty low. Not sure about Grandview. In Ohio, there is a sales tax on all non-food items.

In Columbus I used PNC banking, Time Warner for internet/cable, and verizon for cell. Others may prefer different companies but I never had any serious issues with these.

No idea where you'd get Tim Tam. Trader Joe's maybe?

[jehane]

Thanks jbcmh81, your posts are always really informative. As usual, answers lead to more questions...

Are the inspections done by real estate companies, or are there specialist building inspection companies? Can you recommend any in the area? Are there buyer's agents in the US?

Hmmm...the transport plan is still fluid as it will depend on a lot of factors, especially time and cost. I'm not too worried about driving distance (except as impacting time required) as I'm quite used to long distance driving (including in the US) and I'll be sharing the driving with my dad. But it's not a definite plan, just one option that I'm considering and I have certainly not ruled out flying. Extra luggage on flights is quite costly though. I like trains but there aren't many useful routes for the places I want to go. I'll certainly check out the relevant DMV sites.

The Tim Tam question was a bit tongue-in-cheek (though I'm still interested if there are any confirmed sightings) but thanks for the suggestion.

[jbcmh81]

Originally Posted by jehane

Thanks jbcmh81, your posts are always really informative. As usual, answers lead to more questions...

Are the inspections done by real estate companies, or are there specialist building inspection companies? Can you recommend any in the area? Are there buyer's agents in the US?

Hmmm...the transport plan is still fluid as it will depend on a lot of factors, especially time and cost. I'm not too worried about driving distance (except as impacting time required) as I'm quite used to long distance driving (including in the US) and I'll be sharing the driving with my dad. But it's not a definite plan, just one option that I'm considering and I have certainly not ruled out flying. Extra luggage on flights is quite costly though. I like trains but there aren't many useful routes for the places I want to go. I'll certainly check out the relevant DMV sites.

The Tim Tam question was a bit tongue-in-cheek (though I'm still interested if there are any confirmed sightings) but thanks for the suggestion.

Some real estate companies have inspection teams, but usually they partner with outside firms. Unfortunately I don't know any to recommend. I would do a search online for some in the area and look for reviews. Here's a list I found: Columbus Home inspectors | Home inspectors in Columbus, OH - YP.com While not many have reviews, home inspectors all have to be certified and check for generally the same things. You can contact some and get an idea of all that they look for and pricing.

[dxdtdemon]

As far as the local income tax goes, I've seen some graduate students/research assistants get burned because they were being paid by a company/organization that was not in Columbus, and therefore didn't have the local income tax automatically withheld, while the ones who get paid by the university directly or from a Columbus company/organization do get their local tax withheld automatically.

[Meemur]

Re the tax issue: you'll want to talk with Human Resources at the University about taxes when you arrive. Chances are, there will be some information in your orientation, but as pointed out, it's worth understanding all of the financial implications.

There are also tax services where you can ask questions or pay to have your taxes filled if you don't want to deal with phoning the gov't tax hotline or if HR can't help. Two are H&R Block and Jackson Hewitt. I have no financial interest in either.
If you go that route, explain up front that you are from another country so you get one of the senior employees.

[jehane]

Thanks again jbcmh81, and thanks also to dxdtdemon and Meemur.

I have been able to find a tax agent here in Australia who specialises in Aus/US tax issues and is a registered tax agent in both countries. I'm hoping to speak to him this week about issues.