Hope you both love your jobs, as you will be doing them for a while.

OP, how old are you guys and how much do you have in savings? Net worth. If you plan to stay for 7-8 yrs, go for it. Enjoy.

Yes, no problem. I'd focus on aggressively paying down the student loans before kids too.

OP, pay off your student debt from the downpayment fund. Save for another year to replenish. Then go for it.

Unless you’re unable to find affordable rent I don’t think you’re missing out by waiting to buy. Instead pay down the loans. If the market dips significantly start investing heavily.

Anonymous wrote:Home price 950k
Downpayment 250k
DH salary 210k base plus 65k bonus
My salary 110k

Student loans DH 120k
Mine 38k
No other debt

Stupid with all your debt. Why not use the fortune of your high income to build wealth rather than dig yourself in a deeper hole?

Is this a forever home/ a home you can grow into? If you don't see yourselves moving in the next 5 to 7 years then you'll be fine

Anonymous wrote:Take the cash to pay off the student loans. Then either buy a cheaper home or take another few years to save up the cash again to buy.

This. Sounds like you are young. You’ll be so happy later to have those loans paid off.

You can easily afford it on those incomes. I'd ignore the student loan hawks if your interest rate is 4% or lower. If higher than that, I agree pay it off ASAP. Other question is how stable your income is -- I wouldn't want a large mortgage if you're in a field where your income is liable to drop in a couple years (eg., biglaw)

Take the cash to pay off the student loans. Then either buy a cheaper home or take another few years to save up the cash again to buy.

Anonymous wrote:Technically yes, but you shouldn't. A $700k mortgage is too expensive for what you need for 2 people.
Over the next 5 years:
- pay off the student loans
- save an extra $100k-$200k for downpayment.
-then when you are pregnant or having your 2nd kid, look for the bigger home.

It's excessive at this point in your life.

ITA with this. I say this as someone with a higher HHI than you and a paid-off mortgage.

take a few years to prove your own fiscal discipline to yourselves. give yourselves something to work toward. Don't just add $700k of on top of the $150k you're already carrying. You have a strong combined income, use it to actually build some wealth first instead of just borrowing more and more.

Op one thing you should consider is your current housing cost.

We purchased with only 10 percent down but because we found a house we liked and the mortgage woulld have an effective payment less than our rent.

If you have a good deal on rent now and like where you live then I’d payoff the loans. It is so freeing.

OP, have you heard of Google?

My question is the house a good investment.

Markets pretty high now, but some markets are still enjoying growth.

If you are buying in an up and coming area, I would say yes, make the leverage work for you.

If you the house is less likely to appreciate, then I would say you are overspending.

Oh, and for OP, you can certainly afford the home with those numbers. But if you aren't planning kid for at least five years, I'm guessing you're in your early 30s (or younger?) If so, there's no rush. Pay off the loans before you buy. The market is likely at or near a peak, so if you wait a couple of years you might catch it in the next downturn. If there's no particular event driving your purchase (new baby, kid starting school, etc.), I wouldn't rush. You have the luxury of time.