It’s no secret that Detroit is on the edge of a water crisis, with thousands of homes in need of repair and thousands more needing to be demolished to make way for a new shopping center.
But if you’re looking to get the best deal on a home, you might want to consider a smaller house or a smaller condo, or even a new building, experts say.
Here’s how to make sure your home is worth it, and how to find a home that fits your budget.
A house with a basement: There are two options when it comes to how much you can afford to spend for a home with a lower basement.
A small house: If you have a basement that’s less than 1,000 square feet, you can save $1,000 or more.
But if your basement is more than 1 of 2,000 feet, it will cost you an extra $5,000 to $10,000.
A condo: You can get a condo that costs $600,000 if you can get the space.
And the price depends on the size of the home and the location of the condo.
The smaller the home, the more affordable the deal.
If you want to find the perfect size of home, a smaller home or condo might be the best option, said Nancy Hulshof, director of real estate for Real Estate Trends, a group of realtors and property agents that specializes in buying and selling homes.
But a house that’s bigger than the maximum size you can fit into a home’s basement is not ideal, Hulswell said.
If a home is a smaller, cheaper option, you could save more if you live in the suburbs, HULswell added.
And even if you have to leave your neighborhood for work or school, you’ll still have more money to spend.
If you can find a smaller place that’s affordable, you’re probably better off, Hulswell said, because you can buy a smaller apartment, for example.
If the home is on a street, then you can take advantage of the free public transit you can enjoy, Hulk said.
But even a house in the heart of the city is still better than a smaller one.
You can rent an apartment at a much lower price if you commute by car, Hulin said.
And if you’ve got a job and a family, it’s cheaper to rent a larger home than to buy one that has fewer amenities, said Tom Reichert, managing director of property and real estate at Reichers Realty, an investment firm in Detroit.
You can also get a house with more amenities, such as a lakefront home or a pool.
But Hulschof said you might not be able to afford it, if you are a retiree.
A home in the city limits your options.
“I’m not sure that the city has a housing problem, but I think there is a housing crisis in Detroit,” she said.
Hulschop said she would recommend a smaller or a larger house.
“If you are an employee, you probably can’t afford a smaller [house] or a condo,” she added.
You also might have to move in for work.
A smaller home with fewer amenities can cost more to live in than a larger one, Hullshof said.
You may also want to try and get a loan for a smaller property, since you can borrow up to $3,000 a month for a house.
But there are higher interest rates for loans for smaller houses, Houlschof added.
But in the end, you may have to sell a house to make room for a condo or condo.HULSWELL: A $400,000 home is the best bargain in Detroit, but you can’t save the priceYou can see a map of the best homes for sale in Detroit here.
If a house is cheaper than you can live in, you should consider selling it to make up for the difference, said Brian Dolan, a certified real estate agent and managing partner at Dolan Realty in Detroit and president of the American Real Estate Association’s Home Price Index.
A smaller home might be a better investment if you don’t want to move out of the neighborhood, but it can be a good deal if you do.
If your income is high enough to qualify for the lower-income housing tax credit, you will be able help reduce your mortgage payments, said Elizabeth Hockett, an attorney and senior director of government relations for the American Association of Realtors.
And the tax credit can help offset some of the cost of buying a larger, larger home, Hocket said.
“You can’t do it for the low income because of the tax credits,” she explained.
“But if it is affordable, I think it is worth consideration.”
You can find out more about how much your home will cost by viewing the Detroit Housing Market Index.