for the oos'ers-
has anyone sat down and calculated the extra incurred cost of owning a condo against the benefits of tuition decrease? worried that you may not be able to unload the condo after four years?
if i did the condo thing, i just found out id be financing it personally (no parental help). sounds a little daunting...
I am not an oss but here is the math as I see it:
In state tuition and fees = $12,782
Out of state tuition and fees = $25,882
cost difference per year = $13,100 *3 years = $39,300 of potential savings
Now lets say you bought a 100k condo and put 3% down and got a 30year mortgage at the prime 5.75% fixed rate.
That would make your monthly payment 566.07 per month. Now add to that property tax, insurance, and maintenance fees .I have no Idea how much they will run, but for the sake of argument lets say they bump your monthly payment up to an even $850 per month.
so 850/ month trans lates to $10,200 per year
so your first year you would pay OS tuition, mortgage, and a 3k down payment
25,882 + 3000 +10,200 = $39,082
the next three years you would pay
(12,782 + 10,200) * 3 = $68,946
total cost for all four years = $108,028
Now compare this to four years of OS tuition
25,882 * 4 =103,528
So buying a 100k condo would cost you ~$4,500 more than just paying out of state tuition, but that also includes your room expenses for all four years. considering the average 1 bedroom apartment on the rail line costs around $950/month.
950 * 12 = 11.400 * 4 = $45,600
when this is added to 4 years of out of state tuition, buying makes even more sense.
renting for 4 years + OS tuition = $149,128
This lead to over $40k worth of savings if you buy and establish residency.
I don't think you will have any trouble unloading your condo in four years, If you pick a decent location. Any place that is within walking distance to the rail line will always be in high demand.
good luck, and sorry for the long post