How much would you pay for location? The houses in the exact neighbourhood I'm looking at run about $40-60k more than houses a 5 min drive away. We really want to be within walking distance of my job and the downtown core of our city, but it turns out that everyone else wants to live there too.

We keep thinking we've found the perfect house, but then something comes up. The basement needs too much work. The street is way too noisy. The neighbor's house is falling down. All I want is a three bedroom house with a big kitchen within walking distance to work that doesn't require any work. Mr L would really like a garage. Is that too much to ask?