What is your ERE housing score?

How to avoid signing your life over to a mortgage
thavelick
Posts: 2
Joined: Fri Sep 27, 2019 7:00 pm
Location: Arvada, CO. Walk score: 69

Re: What is your ERE housing score?

Post by thavelick »

I live in a pretty walkable area and work from home and walk or bus to the grocery store or elsewhere. Here's how I work out:

Work: 0 (Work from home)
Groceries: 1 mile away, so 0 if I walk, .7 if I bus. so let's say .35
Monthly cost: I bought my house for $40k down and my PITI is $1,383 so 40,000/400 + 1383 = $1,483

Therefore my score is 0 + .35 + 1,483/100 = 15.18, which I'd call a B-/C+.

Before reading this post, I had been calculating this number based on equity rather than down payment, and because my house has more than doubled in value since I bought it about a decade ago, the calculation puts me more in the D range which kind of made me sad. But, maybe that's silly because if I'm not selling it, it's silly to consider what other people might pay for my house.

Another interesting fact: For a couple years, I had room mates and the rent they paid totaled 1,400/month With that, I get really low: 0 + .35 + 83/100 = 1.18

If I rented out the same rooms today I think I could get 1,850/mo which would make my score negative!

cmonkey
Posts: 1791
Joined: Mon Apr 21, 2014 11:56 am

Re: What is your ERE housing score?

Post by cmonkey »

Now that we live in MN, this has become super efficient. Both WFH, groceries are 1.7 miles away by bike. We own our house so implied cost is about 403 per month with purchase price, taxes and insurance.

0 + (1.7*.3) + (4836/12/100) = 4.54 ( A+)

User avatar
unemployable
Posts: 480
Joined: Mon Jan 08, 2018 11:36 am
Location: Homeless

Re: What is your ERE housing score?

Post by unemployable »

For the next few months, my housing score will be negative!

Imputed rent: Combination of living with Mom (her house is paid off) and housesitting, while I sublet for some $300 more than my rent is, so -3

Distance to work: No real job, but some income from selling stuff on eBay and doing odd tasks for neighbors, so zero

Distance to groceries: Two miles, actually a little less (and far less as the crow flies, curvy suburban streets y'know) but let's call it two.

Σ = -1

That's how you do it, people!

classical_Liberal
Posts: 1677
Joined: Sun Mar 20, 2016 6:05 am

Re: What is your ERE housing score?

Post by classical_Liberal »

@unemployable
If you walk or ride bike to the grocery store, according to the original scale, you can actually bring it down to a -3, BAM!

My current arrangement 0+0+3= 3, now at an A+... Not good enough when unemployable is going all European central bank on me. I wonder if it'll stimulate his economy?

Edit: On second thought, in the winter i'll probably drive for groceries, so 0+2+3=5, when there is snow on the ground.

bostonimproper
Posts: 213
Joined: Sun Jul 01, 2018 11:45 am

Re: What is your ERE housing score?

Post by bostonimproper »

Distance to work = 1.7 miles, half walking half public transit
Distance to grocery = 1 mile, but I get it delivered through Instacart/Amazon Prime (I'll give myself a 2x penalty for that)
Cost of housing (PITI + down payment) = $2200, which I live in with my husband

-> 1.7 * (0.7 * 0.5) + 1 * 2 + 2200/100/2 = 13.6
So we're looking at a solid B.

MEA
Posts: 58
Joined: Sat Dec 28, 2019 9:54 am

Re: What is your ERE housing score?

Post by MEA »

9 for me, maybe 11 for DW because she usually commutes. Better than I would have guessed

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C40
Posts: 2528
Joined: Thu Feb 17, 2011 4:30 am

Re: What is your ERE housing score?

Post by C40 »

Rent is low in Vietnam. Usually I get food by walking to the store, about 70 meters. I do also drive around on a motorbike to eat out regularly, though I guess that's not included in the calculation.

Rent is $190 per month. Could have gotten cheaper if I got a longer lease (I only did two months), or an apartment without a nice roof area and view, or get a girlfriend that moves in. But it's cheap enough that I don't bother trying to change.

Score = 0 + 0.1 + 1.9 = 2

theanimal
Posts: 1576
Joined: Fri Jan 25, 2013 10:05 pm
Location: AK
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Re: What is your ERE housing score?

Post by theanimal »

My only issue is grocery. I drive there and its 11 mi away. Otherwise I work from home and my housing payment has remained low and is now much lower at $360 that I'm on my own property.

0+11+3.6=14.6

A low "B". Most obvious room for improvement is grocery but that isnt going to change unless I move.

I was thinking about this when I lived in the Arctic. My housing was 0 and any work I did, didnt require me to travel anywhere. The only catch was the nearest grocer was ~250 mi away. That's one long walk/bike ride to the grocery store to save my housing score from an F. :lol:

Scott 2
Posts: 1486
Joined: Sun Feb 12, 2012 10:34 pm

Re: What is your ERE housing score?

Post by Scott 2 »

Work from home. Grocery Delivery. Wife and I own townhouse.

0+0+6 = 6

The grocery delivery feels like a bit of a cheat. It's a premium service. Driving to nearest store would put me at 10.

Frita
Posts: 515
Joined: Thu Mar 15, 2018 8:43 pm

Re: What is your ERE housing score?

Post by Frita »

Walk to work starting July 16th (0.8 mile), walk/bike for groceries (1.1 miles), own house outright (used 3% of purchase price plus taxes/insurance/utilities, divided by 2 for spouse and self, did not include teen per PW)

0 + 0 + 4.5 = 4.5

Alphaville
Posts: 849
Joined: Thu Oct 03, 2019 10:50 am
Location: Walkscore 92, Bikescore 93

Re: What is your ERE housing score?

Post by Alphaville »

Scott 2 wrote:
Thu Jul 02, 2020 12:52 pm

The grocery delivery feels like a bit of a cheat. It's a premium service.
depends where/how. if you could ditch the car and just get delivery it would make for huge savings

maybe not a good idea to ditch a car before a pandemic like i did but o well :lol:



my score is 7. would like a 3.

bigato
Posts: 2798
Joined: Sat Mar 05, 2011 12:43 pm
Location: Brazil

Re: What is your ERE housing score?

Post by bigato »

I pay for electricity and internet, does that count as housing? My uncle even gets angry at me when I fix something at the house using my own money, like a leaky faucet that I replaced a couple of weeks ago (I disassembled it but the faulty part is not something I could find nor fix). This is temporary, but other than that, I'm at zero now. At my actual house, when I move there, it's going to be a bit over the comfortable walking distance: 5km from the nearest grocery store, so I'll bike there like, once a month or something.

Frita
Posts: 515
Joined: Thu Mar 15, 2018 8:43 pm

Re: What is your ERE housing score?

Post by Frita »

@bigato
Electricity and internet are part of utilities for housing, at least I lump it all in there. Being a guest who is willing to invest in your uncle’s home makes you a standup person in my book. I know landlords who get calls from tenants to replace burned out lightbulbs. That just seems cheap and petty.

Alphaville
Posts: 849
Joined: Thu Oct 03, 2019 10:50 am
Location: Walkscore 92, Bikescore 93

Re: What is your ERE housing score?

Post by Alphaville »

Frita wrote:
Thu Jul 02, 2020 4:39 pm
I know landlords who get calls from tenants to replace burned out lightbulbs. That just seems cheap and petty.
that depends. in fancy corporate-run apartments you may not be allowed to mess with the light fixtures, or you might kill yourself trying, etc. it should be spelled out on the lease, and it’s worth checking with management.

ertyu
Posts: 941
Joined: Sun Nov 13, 2016 2:31 am

Re: What is your ERE housing score?

Post by ertyu »

My housing score is 0. I am an unemployed moocher who lives with his parents. Distance to grocery is negligible - you walk out the building and a small independent grocery store that stocks fruit, vegetables, cleaning supplies, and household essentials is across the street.

2Birds1Stone
Posts: 1045
Joined: Thu Nov 19, 2015 11:20 am
Location: Earth

Re: What is your ERE housing score?

Post by 2Birds1Stone »

0 as well now. Pretty sweet!

ETA - staying in a flat/on an orchard that family owns. Providing some social/basic care for grandparents in return for free housing. There is a Lidl and second large supermarket across the street from the flat, and from the Orchard it's a 5 or 12 minute bike ride to the small/large grocery stores. Since I'm ERE'd there is no job to go to.

I underestimated the impact of a low housing score in my earlier years working toward FIRE/ERE. It truly is a game changer, that and not having a car.

Matt3121
Posts: 56
Joined: Mon Sep 09, 2019 7:45 pm

Re: What is your ERE housing score?

Post by Matt3121 »

I'm negative something I guess. I hit ERE, my house is paid and the rent I charge on 1 room is bigger than my total housing costs.

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