Again, you are talking as if my friend is at your age ! My friend is around 60s, kids completed colleges. He is a normal bay area IT employee, single earner, owned only Cupertino home and his entire savings are in 401k and in his home.He wanted mortgage free home, sold it, got a good size home with lot. Above all, he has got 500k tax free benefit and mortgage free rest of his life !
I can understand this. If one is close to or already retired, then why live in Cupertino? For the matter, why live anywhere on the Peninsula if one does not have to work at an employer’s office? (rhetorical question). Since you friend is in his 60s, I can surmise that he gives a rat’s @ss about maximizing his investment potential. At some point, most people (but not all) will say, “I have enough money. I will continue to make more but I don’t need to maximize it.” Happiness is being content and wanting what you have — happiness is not having what you want.
Alex is a good agent. Also - this house was nominated (but not selected) for the AIA tour. AIA tour houses are usually spectacular. The AIA tour houses usually all have an ethereal quality to them — all very Jony Ive-esque.
Retiring and living in Cupertino is certainly a lot better than retiring and living in Pleasanton. @hanera can attest to that. @jil’s friend probably has never given a rat’s ass about maximizing his investment potential. That’s why he is where he is.
I agree on what @Jil’s friend did. He is still in commute distance to his social circle in the bayarea and his quality of life would be better with much newer house and neighborhood. I wouldn’t mind doing that when there is no more school!
Primary home can’t be judged by its appreciation alone. You could buy a ranch in SJ 40 years ago instead of a Cupertino house. But living in the ranch for 40 years to maximize appreciation is not a good way to enjoy your life.
Money is to help people have a better life. You don’t want to live miserable to maximize your money
IIRC, it was 1.2M base price,around 700k appreciation, but 500k tax free , rest taxed but very small. Anyway, I do not know what taxes he paid as it is beyond my limit!