I would.

Dumb idea.

My kids are 9 and 12 now, and k really wish I’d bought a vacation place when they were toddlers. We would have used it so much back then. If you think you’ll use it, then go for it. I really regret not buying a place when we could enjoy it. Now they are in sports literally 46/52 weekends a year.

Id do it in a heartbeat.

I would never buy a second home. I'd rather travel to multiple countries instead with my kids (and have done so).

Anonymous wrote:

Anonymous wrote:Can your parents buy the lake cabin and gift it to you?

This is a great question.

Second, any chance your parents were going to gift you their lake house?

Yes, what's the plan there?

I would go for it but only if its not a money pit (well maintained)!

So at 270k, maxing out 2 401ks, health insurance and taxes you net about $13875k/mo?

Your bare bones monthly expenses are 6k/mo. The removal of daycare is negligible because you will need to catch up on 529, and your kids basic needs will get more expensive.

I’d say you can afford it, but given your profile I’d say that money could be better spent elsewhere. I have 3 homes and it’s always something that needs money spent on one of them

Mistake.

Anonymous wrote:Can your parents buy the lake cabin and gift it to you?

This is a great question.

Second, any chance your parents were going to gift you their lake house?

Can your parents buy the lake cabin and gift it to you?

You need to include the cost of utilities on the cabin and put in 1% a year for maintenance. So probably around 5K?

Since your primary home is relatively inexpensive for your income, I think this is doable financially. Your question could essentially be: can I afford a 600k home on a 270k income since that's the combined values of your homes.

But a second home has a lot of additional expenses, you often don't qualify for tax breaks etc. and it can be a hassle. Think about whether you will really use it, what its resale value will likely be.

How often will you use it? Will you rent it out when not in use? How far away is it from your primary home?

I was honestly pretty busy with a toddler and would probably not want an "extra" project (maintaining another house), but maybe you can do it. Houses can throw you unexpected expenses. How old are your parents and will they feel compelled to "watch after" your house if something goes wrong and you are not there?

As my child grew up, he got involved in local activities that had weekend events. I don't think we would have used a second house as much. For me this is more than a financial decision. Kids can be expensive and need things like orthodontist work and tutors. I wouldn't buy the cabin. Maybe you can rent something nearby when you visit your parents there?

We have an opportunity to buy a cabin off market before it goes on the MLS. It's across the street from my parent's lake house that we've had since I was a baby so the selling neighbors would love to see us buy it.

HHI $270k we are 31 and 33yo so planning on significant growth here
Bought primary home for $325k in 2015, current value $410k

Expenses:
PITI on primary home $2500
Childcare $1850/mo, dropping to $840/mo in June, both kids will be in public school by 2025
Groceries $700/mo
Utilities $220/mo
Phones and internet: $200
Car payment $300/mo done in May

Savings:
$50k emergency fund
Retirement on track- max out DH's 401k, both our Roth IRAs, and an additional investment account. Haven't done our taxes yet so don't have exact number on hand.
Kids have $3k and $5k in their 529s (toddlers)

No debt other than our remaining mortgage.
Planning on our current home being our forever home.

The house is being offered to us at $280k, comps are $265-290k so fair market rate.
20% down would give us a PITI of $1800 on this house