[Bahamut]

In that case, taxes and rent only would account for about a $50k difference at those numbers - not enough to make up the gap between Austin and SF if we're talking $200k and $300k, and I'd imagine $200k isn't as easy to hit in Austin as $300k+ in the Bay Area.

[randomacct3847]

The difference is buying. A 300k house in Austin would be 1.5m in SF. Again, if you’re single and renting and ok with roommates SF makes sense, but if you’re buying 300k/year will not be enough to afford a 1.5m place (which probably won’t be renovated and in a bad location)

[Bahamut]

It is more than enough to buy - not sure what you're expectations are around buying here. Sure, it maybe possible to buy instantly in Austin, to my understanding in not as great neighborhoods if you want it cheaper, as I hear house prices have gone up there as well, but in 5-10 years of working at $300k+, it's very possible to buy in most of the Bay Area.

The benefit becomes compounded in the Bay Area if you have a spouse also working, and timelines accelerated.

[randomacct3847]

Not if the best places are cash offers only. And cap on SALT taxes starting 2018 tax year means many high earners will not be able to deduct expensive property taxes and most income above and beyond their base salary.

300k is living with a roommate level IMO unless you’re just looking to buy a 1 bedroom and not have kids.

[Bahamut]

What the heck would you be spending $ on to be living with a non-significant other roommate necessarily at $300k?

This is extraordinary hyperbole that pretty much ignores what it’s really like in the Bay Area - many people making $100k or even less don’t even live with roommates here if they don’t want to. I make over $300k myself and the only reason I have a roommate is because she’s one of my best friends and I am helping her out while she’s early in her career.

There’s no need to put down another place just due to whatever biases, especially if there are few facts behind it. It’s ok to like where you’re at without going to extraordinary lengths to stretch it to everyone.

[closeparen]

Saving up $100k/year towards ownership is just treading water; prices will easily rise that much on their own. This leaves another ~$70k/year to play with in your $300k salary. The marginal cost of living alone vs. with roommates is not insignificant in that context. So yes, if you are making $300k/year and serious about buying, it would be hard to justify renting an entire apartment.

Absolutely agree that you can afford to live alone if you do not particularly care about buying.