= Status Quo =
- Lunch: ($10 per day) * (5 days per week) * (4 weeks per month) = $200 monthly
- Car Insurance: ($2500 yearly) / 12 = $200 monthly
- Parking: $100 monthly
- Gas: $80 monthly
- Gym: $50 monthly
- Cell phone: $50 monthly
= Speculative Future =
Gas, Parking, Car Insurance can go away when I move out and have no car. So that's - $380 in monthly expenses.
== Buying ==
To buy a place for $350,000, would certainly want to maximize down payment to avoid insurance payments. It will cost $2500 per month in mortgage payments and lock me in for a long long time. Lock-in isn't an option, and $2500 is too much.
== Renting ==
To rent a place, it will cost like $1200 per month. Or it could cost half of that if I share a room. This is "wasted" money. But money spent on real estate is wasted too, since much of it goes into paying back interest.
Mortgage is $2500. Suppose I invest the difference ($1300 or $2000!) into the stock market and get a return of 10% yearly. Not so bad, even from investment point of view. In fact, probably better. And I'm not locked in to Vancouver.
= Real Future =
- Rent $900
- Gym $50
- Cell $50
- Internet $50
- Utilities ?
- Food budget $300
- (Car insurance $200) no longer paying
- (Parking $100) no longer paying
- (Gas $100) no longer paying