May 17, 2010
The Smart Money is Moving Downtown
Want to save $3,600 a year? Ditch your car and move to the city. Seriously.
The assumption has been, generally, that living in the heart of the city is far more expensive than living in the ‘burbs’. But recent research by the Chicago-based Center for Neighbourhood Technology presented in The Arizona Republic suggests the exact opposite. Living in the city is not only a sustainable option for those who are keen to do their part for the environment; it’s also a more affordable option.
According to Scott Bernstein, president of the Center for Neighborhood Technology, people switching from a suburban home to an urban one would save $3,600 a year simply due to the savings in transportation costs alone.
And it makes sense. Homes become far less affordable when you factor in the cost of getting around. A home in the suburbs may be cheaper initially, but the cost of transportation ultimately erases those savings. Living outside the city automatically necessitates the need for a vehicle to do even the most basic things: drop off the kids at school; pick up groceries; go to yoga. And often that one vehicle turns into two if your schedule is not synchronized with your partner’s. Add the cost of gas, maintenance and insurance – not to mention the human cost of time spent on the road – and that cheaper home in the suburbs suddenly looks a lot costlier.
So what better time than now to invest in a downtown property? All signs seem to be suggesting that the market is on the rise, but right now Valley properties are still available at reasonable rates. And, besides, you can feel good about reducing your carbon footprint.
One Lexington embodies this ideal beautifully. An easy stroll across the street to Osborne LRT will give you access to the necessities and the fun stuff – restaurants, boutique shops, the Suns, the theater, etc, etc.
And just think what you can buy with that extra $3,600.
