Anonymous
03/17/2024 07:26
Subject: Are YOU able to keep your housing expenses at or below 28% of your gross pay?
Anonymous wrote:Anonymous wrote:Nope. We’re currently at a HHI of $16K/mo and our house expenses are over $5K/mo. Things are definitely tight.
holy crap! I would not consider this right, I’d consider it suffocating.
i’m a single mom with a loser ex who only has to pay $350/mo in support. I gross $16,666/mo and i saved and scrimped to buy a very small TH for my son and I with a PITI of just under 3k. I could not imagine having to dig out another 2k. As it is with insurance taxes and 401k I only bring home 8.5k/mo to live on. This very quickly gets chewed up.
I think if you have more people, you have to live in a bigger space. It's suffocating either way, living in a smaller but cheaper place, or more expensive and larger place.
Anonymous
03/17/2024 07:21
Subject: Re:Are YOU able to keep your housing expenses at or below 28% of your gross pay?
Anonymous wrote:Our HHI is about 10% of gross income, before bonuses. When we bought, it was probably closer to 20%.
We bought an undesirable house on a bad lot in the best neighborhood we could find, spent much less than we were approved for, and didn’t move when our salaries increased. Slowly fixing it up as we have the inclination to deal with the projects.
I don’t love my home, I don’t even like it really, but I do love my savings accounts and the freedom living so far below our means gives us.
Have you been able to do anything fun given your sacrifice on your home? I don't know if my living place is something I can sacrifice as it is where I will be for most of my time (I WFH).
Anonymous
03/16/2024 10:00
Subject: Are YOU able to keep your housing expenses at or below 28% of your gross pay?
Anonymous wrote:Anonymous wrote:Yes. We’re at ~21% of gross
PITI: $6100 on a 950k mortgage
Total household gross: $350k
Were also maxing 401k’s, IRAs, HSA, putting 5-10k a year each into brokerage, and putting a couple hundred bucks into extra principal payments.
Next up is funding the 529 for future babby, after saving for imminent wedding is done
This is awesome!! I hope our kids can do this. Great job!
That’s my income and I’d have to slash savings dramatically to support such a high PITI. But to each their own…
Anonymous
03/16/2024 09:58
Subject: Are YOU able to keep your housing expenses at or below 28% of your gross pay?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:
Anonymous wrote:Anonymous wrote:I can now but remember when it was not the case....
yes
roughly 55k gross monthly income
mortgage 5,600 or 10%
If you could not I’d be more concerned.
NP. Does the 28% rule actually make sense though? It seems so random and arbitrary. At an HHI of 600K, that's $14k/month. No way I'm spending that much on housing!
The 28% rule of thumb is on net income, not gross.
It's on gross. E.g. https://www.cnbc.com/select/what-is-the-28-36-rule-for-buying-a-home/
That doesn’t make mathematical sense, even if CNBC says it does. You can’t live off your tax payments.