Housing Simulation

My assigned profile was:

Yearly income: $30,000

Monthly payments: $200 (student loan)

Family of four, including two children, one going into 3rd grade, the other 6th.

With a mortgage rate of 4.25%, I calculated the loan I could receive with the $5,000 downpayment I had available.

Aggressively, I can spend $90,000 on a new home.

My rent affordability (monthly) is determined by my gross income. The appropriate amount is 33%. Therefore:

The rent I can afford to pay, while still having enough money monthly to survive (food, etc.) is $833.33.

I decided to look for different homes in various suburbs surrounding the Hartford, CT area.

The following homes are within my budget and provide the space necessary for the size of my family:

$58,000 home with 4 beds and 2 full baths in Windsor, CT:

 

 

HUGE backyard…great for the kids!

$59,000 home with 3 beds and 2 baths in Windsor, CT:

From: http://www.coldwellbankermoves.com

$85,000 home with 4 beds and 2 full baths in Windsor, CT:

251 Bloomfield Ave
Windsor, CT 06095

From: http://www.coldwellbankermoves.com

$84,150 home with 5 beds and 2 baths in Middletown, CT.

62 R Silver St
Middletown, CT 06457

From: http://www.coldwellbankermoves.com

A fixer-upper, but a beautiful home!

If I were to move into the first house on this list, located at 32 Wilson Ave, Windsor, CT, my children could attend schools such as the following:

Wish School (through 8th grade)

Though the COmmunity Educational Climate is low, the school has a high level of technological accessibility. Furthermore, there is an extremely impressive 12/1 teacher ratio.

Journalism and Media High School

Though this school reports a medium measure of technology and a below average community educational climate, it is important to note that this educational facility focuses on journalism and media. Therefore, if one of my children has a special interest in the subject, they have the ability to attend a High School that focuses on what he/she is truly interested in.

The next home, located at 470 West Wolcott Ave in Windsor, CT, would allow my children to attend schools such as:

Sage Park Middle School

Not only does this school have a high measure of technology, but the student/teacher ratio is only 9/1. This school is located less than two miles from the home (1.8 miles).

In the home located at 62 Silver Rd, Middletown, CT, 06475. This is the home I would choose to purchase, namely because of the most nearby school.

My kids could attend Woodrow Wilson Middle School (or schools similar):

This school is not only located only 1.1 miles from the home (walking or bike-riding distance!), but has am average community educational climate, a high level of technology used within their classrooms, and a great 13/1 student/teacher ratio.

This school focuses on bettering its students not only academically, but mentally and physically as well. Each month, Woodrow Wilson middle school posts online the cafeteria menu, and a guide to eating right and staying active. This schools’ willingness to post their menus online shows that they are honest and open with their students and their families, and perhaps willing to better or increase the options (much like Jack posting his evaluations on moodle!).

Furthermore, Woodrow Wilson Middle School recently published a plan to better the school academically, and work towards a more unified and advanced student body. This school is determined to operate at its highest level, for the betterment of its students.

Because my search was extremely elaborate and extensive, the conclusion of my results is not necessarily typical. Buying a home (namely, a home in my top, top price range) will leave me with a large mortgage, with a big interest rate. However, renting a house for a family of four, for under $833.33 a month is nearly impossible. Only one bedrooms in the suburbs surrounding Hartford go for less than $833. Unfortunately, this puts my family in a glad place financially, for our only viable option is to buy a house, leaving us with a pretty large mortgage. However, I believe that it is worth paying out a higher mortgage if it means that my children can attend a better school.