When evaluating real estate, buyers frequently shop price. "We can afford $2,000 a month in payments" is a common type of statement from buyers. But seldom do buyers consider the other costs involved in owning a specific property. When you move to a new home in the same town, or select one home over another in a new town, your work place seldom moves to accomodate that selection of home. So, now, living 18 miles west of town, in a new "less expensive" neighborhood has the additional costs of commuting.
In January of 2008, we are looking at gas prices in excess of $3.00 and the prognosticators are saying $4.00 is in the near future. Just adding 10 miles a day to an SUV commute can have a dramatic effect on the "savings" of living in the country. Owning a Prius can be more economical, but there is still a costs on time. Commuting 10 minutes versus 30 minutes each day, each way, means 167 hours a year less time spent in the car.
By no means should cost be the only factor in buying a new home, but it should be A factor. Play with this calculator a little and you may be surprised by the actual cost of living "in the country".
When entering information here, note that using the Commuting Details page, you can add more than one driver, and more than one car. If you stay at home, think about how much you drive now, and how much you will have to drive in the new home.
While a house on the outskirts of Albemarle may carry a discount to city property, also give consideration to time costs and the expense of maintaining your cars. At $3.00 a gal or more, the cost of commuting can quickly add to the cost of owning a home. Use this calculator to find the true cost of living away from work.
