Reply to At odds with spouse ove how much house we can afford

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I think 1.7m is too much to spend in your situation, OP.  Your HHI is healthy (obviously), but your savings are pretty low for that HHI, so I think you need to allocate more of your income to savings than to mortgage interest.

I did not see any estimate of your current monthly/yearly spend, which could have a big impact on the answer.  You also don't say how stable (or not) your incomes are.

I'd recommend targeting homes in the 1.3m range (plus/minus 200k).  We're in a comparable situation to you, and that's our target.[/quote]

This. You are technically under accumulators of wealth. Read The Millionaire Next Door.[/quote]

Agreed. We make about 1/10 of what you do, but we have 1/3-1/2 of the "accessible savings" that you do.[/quote]

Apparently, she didn't factor into her reported savings some number of full college tuitions.

OP, I think you need to start with the house. You will need to agree on that in any case, so why not just start with that. Have your realtor show you the full range (from his to your number) and see what is the house that works for both of you. That will be your answer.

Honestly, I find his number pretty ridiculous. We make much less and are very conservative re: debt (haven't bought anything yet) but to limit yourself to one year HHI is kind of ridiculous. The old rule of thumb used to be that price of the house should be no more than 3*HHI. 2*HHI would be a conservative approach. 1*HHi is really kind of ridiculous approach - unless you actually find a house you both like at that price.[/quote]

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