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With the OP's budget, I'd definitely look at the Cameron Village area. North of the center is a Mid-Century ranches neighborhood and to its south is a gorgeous 1910-1920 neighborhood (Cameron Park). IMO, the latter is more convenient since it's closer to Downtown, Pullen Park and other city amenities like the YMCA and public library. From Cameron Park, one can walk to Glenwood South and pick up the free DT circulator bus to all districts of DT Raleigh.
Regarding Chapel Hill/ Carrboro area, what are the most family friendly neighborhoods in the $500-$600 range? What are the best schools and are the higher taxes actually worth the difference? I haven't visited this area but I keep hearing great things about CH.
As Mike noted, there are some neighborhoods in Durham worth checking out in that range if being in walking distance to dining, shopping, etc. are of interest. Trinity Park near downtown would be an option as he pointed out; it has houses below and above as well as in that price range.
A house was for sale across the street from us at $575k but went under contract within 48 hours; a Sotheby's affiliate has a house listed for $620k on Buchanan across the street from East Campus, and I think there is an open house coming up soon. Tight-knit neighborhood, mix of professors, professionals, and active retirees. If you're looking in the $500k-600k range you'd likely want to stay south of Green St. or thereabouts and west of Gregson. Plenty of nicer homes in northern TP but the occasional listings that pop up for $800k+ on Gregson aren't to my mind a value.
If you want something close to shopping, dining and movies in Durham, it would be worth checking out The Lodge at Southpoint Apartment Homes, or something in that neighborhood.
I know of 2 young couples just starting out their family, who enjoy living there and I like the community everytime I visit them.
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