Why would a doctor who makes 300K+ a year still be living in an apartment?

[Anonymous]

[Texaskid1]

Because the American Dream of owning your own home is more like the American Nightmare.

I have several older relatives who can't wait to sell there home and retire in a small apartment. They have told me time and time again that owning a home is not what it's cracked up to be. They make decent money but it all goes to the house ; repairs cost money , taxes, landscape. The home sound smore like a ball and chain than a dream.

I am 47 and live in a small apartment. I am not married and have no kids. Why should I own a home? I don't plan on living where I am forever. Some people say that I am throwing money away with rent and I suppose they may have a point if one wants to build up equity. I have my savings and what I own in stocks but I have no kids so who would I pass that money to? On the other hand , the reason that one one of mu Uncles and his wife just sold their howe of over 40 years is because they underestimated the amount of money they would spend in retirement and owing that house was just too expensive for them. Nearly all of my older relatives own property and they all talk about how much of a mistake it was to take on so much. I pay a lot of attention - and take notes - to their mistakes.

[WindAtMyBack]

Because he prefers living in an apartment. There are a lot of advantages to living in apartments. Houses require a huge amount of work, both inside and outside. There is ALWAYS something to do. It is never ending. In an apartment, you just call the landlord when something needs fixed, and let them do it. You don't even have to call anyone about the landscaping and yard work. It's done automatically.

When I was young I always wanted to own a house. But after working in construction, building and remodeling houses for years, I no longer wanted a house. I knew how much work they are. I didn't want to mess with it. I did eventually end up owning a house, but only because of the circumstance, not because it was my first choice.

Another thing about owning a house. It's like a ball and chain holding you down. You lose a lot of freedom when you own a house, because you can't just up and leave any time you want.

[Anonymous]

Most people in New York live in apartments. Most doctors don't make $300,000, only high-end doctors like surgeons and radiologists and anesthesiologists. $300,000 isn't a lot of money anymore, especially if the doctor is divorced or has child support payments or has a second wife or family. There could be a million reasons.

[Dinklex3]

Maybe he travels. Maybe he doesn’t know where he wants to settle down. Maybe he’s having one built. Maybe he’s waiting until married. Maybe he just doesn’t want one. There can be so many reasons.

[ArrowheadSW]

Good question. A doctor who is single might not want to spend the time taking care of a house with a yard, etc. Or might be young and saving money to pay cash for a house later. Or a house just might not be important to him/her because they are more focused on their work.

[veganrogue]

For a doctor, $300K doesn't go as far as you think. I have several friends who are doctors and the insurance policies they must maintain to practice medicine is astronomical. (surgeons can pay up to 50K in premiums per year) Working with HMO's is a nightmare. Not to mention office space, equipment (depending on his/her specialty), staff and the basic fact that most doctors in the US are saddled with so much student loan debt, the time required to payback those loans is anywhere from 5 to 25 years.

There are so many reasons to rent over own. Here's some off the top of my head:

• No maintenance costs or repair bills
• Access to amenities
• No real estate taxes
• No down payment
• No mortgage
• No worries about property value
• Fixed rent amount
• Lower insurance
• No property upkeep

[Anonymous]

I am not a doctor, but I make $280k a year, live in a co-op apartment, and only have to pay a maintenance fee. It's a crappy apartment where I have to answer to the landlord. I bought the apartment. It's nice and comfortable with a doorman who ensures my packages aren't stolen. And I live in it because I don't have time to run my businesses and do maintenance on a house at the same time.

He's a doctor, so he probably doesn't have enough time in the day to do maintenance on the house and work a stressful job.

[Asker]

That makes a lot of sense. I make $150K a year and we live in the same building. Maybe I’m being biased because he’s almost 50 and I would think he’d live somewhere a little bigger. It’s a nice building and everything but someone with that salary could probably do better.

[Avicenna]

You don't say where this, but in addition to possibly having large student loans to pay off, he may be planning to take a job elsewhere in a few years or less.

[Asker]

Makes sense. He’s almost 50 though.
He has moved a lot over the years though like 3 different cities.

[BourbonAndBacon]

If he lives by himself why would he need a house. I don't want to mow grass, paint shutters or shovel snow anymore. I live in a townhouse and I pay a monthly maintenance fee so that I don't have to do any outside maintenance. I'd live in an apartment because my place is a too big for what I need and I've got bedrooms and bathrooms that never get used.

[Drumlin2001]

Depends where in the world. I'd imagine in new york £300k wouldn't stretch far.
Also if single why would they need more space? If busy working, not spending much time at home, no real reason to send on unnessacarily big property.
Why do you ask? What's your interest?

[ProbablyClueless]

Convenience or the insanely high price of real estate, probably. The guy either just doesn't want/doesn't have the time to put into maintaining a home, or he can't afford to buy a home, despite his salary.

I know doctors graduate with lots of med school debt, so that could hold someone back from buying a home.

[Staximus]

Because they don't care? Taking care of a house is a lot of money, time, and hassle for somebody who is so wrapped up in their career like a doctor. A hassle and commitment that they don't need to deal with if they are single with no kids. A one bedroom apartment is plenty for some people and way less time invested and way less maintenance. If they make that much money then they aren't worried about wasting it on rent, either.

[Astarlessnightsky]

Why not? If the doc likes the apartment its understandable he/she doesn't move.

[Asker]

He lives in my apt we have a beautiful rooftop pool and amenities. Maybe it’s cuz I live here I don’t think it’s as nice 😆

[KrakenAttackin]

He wants hassle free living. Also, he is probably paying off medical school loans.

[LiamJHayden]

1. Might not want to be stuck in one location.
2. Might have investment vehicles that outstrip the cap gains of housing in his area.

[OddBeMe]

Possibly because he moves around a lot. But sometimes people like apartments and amenities more than finance sense.

[AngryCarl]

Because he doesn't plan on staying in the area.

[Anonymous]

Bills student loan debt credit card debt car payments insurance food cell phone alimony child support

[Jmmmfi4]

POCKETING ALL THE MONEY THAT WOULD BE GOING TO A HOUSE PAYMENT

[sawno]

Housing crisis / student loan debt.

[jamesgoldman]

Because he's in the financial redzobe

[HaveNoName]

Perhaps a simple person with simple desires.

[kingmaker21]

300k yearly? Lol it's not enough.