Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You're living above your means if you only have 6K in savings on 6500/month of take-home pay. Get your spending under control before you worry about purchasing a house.

I don't have only 6k in savings now, that is the amt I will have left in savings after purchasing home.

and THAT is financial suicide. I hope the lender doesn't approve you, for your own good. They'd be doing you a huge favor. You need to boost your savings so that you have 6 months minimum in your savings account, and then after that assuming your same income, you should be looking at homes in the $500K range (which is what you're currently looking at based on the mortgage amount you posted), you should be looking at homes in the $300K range. Otherwise, rent.

Why 6 months? She’s a government employee, right? I assume she has STD, sick leave and LTD as well. There’s also a TSP she could borrow from. A six month emergency fund seems excessive. Most homeowners wouldn’t be homeowners and would still be renters if they followed your rules.

Anonymous wrote:The biggest issue, as others have said, is that you'll only have $6K in savings. That's REALLY tight -- just look at threads here for how much common repairs cost. Replacing a water heater will be $2K. A sewer line repair will bankrupt you. You also need to be realistic about insurance premiums - ours have risen 30% over the last 3 years with zero claims, and it's still cheaper than anywhere else I could find when I compared around.

What's your income trajectory? Can you take on a roommate? Are you handy enough to fix things on your own? You can't assume that rates will fall in the next year enough to make a refinance make sense.

How many home repairs will OP have though? Surely she knows the age of major appliances. 6k is probably enough if she can save over time and the roof, boiler etc are in good shape.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Are you getting married?

not that I know of

Fastest way to build wealth!

And then have a couple of kids, fastest way to demolish wealth

You're speaking to a former single Mom. Marriage with the right person IS the way to building wealth.

Echoing what others have said re: home repairs. If you only can't afford more than $600K chances are any single family home you get will be older and more likely to have stuff out of code, breaking, etc.

But rents are expensive - I get it. If I were in your situation (single with no immediate plans for marriage or kids, and you have career growth trajectory), I would look into a condo or townhouse that is smaller and less maintenance. Ideally with a manageable HOA that includes utilities. The downside is they do not hold their values as well, but at least you'd own property. I'd run the numbers and see what comparable rent / condo / SFH would cost.

The biggest issue, as others have said, is that you'll only have $6K in savings. That's REALLY tight -- just look at threads here for how much common repairs cost. Replacing a water heater will be $2K. A sewer line repair will bankrupt you. You also need to be realistic about insurance premiums - ours have risen 30% over the last 3 years with zero claims, and it's still cheaper than anywhere else I could find when I compared around.

What's your income trajectory? Can you take on a roommate? Are you handy enough to fix things on your own? You can't assume that rates will fall in the next year enough to make a refinance make sense.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You're living above your means if you only have 6K in savings on 6500/month of take-home pay. Get your spending under control before you worry about purchasing a house.

I don't have only 6k in savings now, that is the amt I will have left in savings after purchasing home.

and THAT is financial suicide. I hope the lender doesn't approve you, for your own good. They'd be doing you a huge favor. You need to boost your savings so that you have 6 months minimum in your savings account, and then after that assuming your same income, you should be looking at homes in the $500K range (which is what you're currently looking at based on the mortgage amount you posted), you should be looking at homes in the $300K range. Otherwise, rent.

*should not be looking*

Anonymous wrote:

Anonymous wrote:You're living above your means if you only have 6K in savings on 6500/month of take-home pay. Get your spending under control before you worry about purchasing a house.

I don't have only 6k in savings now, that is the amt I will have left in savings after purchasing home.

and THAT is financial suicide. I hope the lender doesn't approve you, for your own good. They'd be doing you a huge favor. You need to boost your savings so that you have 6 months minimum in your savings account, and then after that assuming your same income, you should be looking at homes in the $500K range (which is what you're currently looking at based on the mortgage amount you posted), you should be looking at homes in the $300K range. Otherwise, rent.

I wouldn’t do it. Pre-marriage and kids I wanted to spend money on travel, going out, fun stuff, rather than sitting in a big empty home. But if a house is a priority that outweighs everything else, then go for it. The main issue that gives me pause is the lack of residual savings. As others have said, you can get hit by major unexpected repair bills.

How old are you and how many bedrooms?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Are you getting married?

not that I know of

Fastest way to build wealth!

And then have a couple of kids, fastest way to demolish wealth

Anonymous wrote:

Anonymous wrote:Are you getting married?

not that I know of

Fastest way to build wealth!

I think you can do it, but only you know yourself how cheaply you can live ( no travel, no eating out, no fancy clothes etc.). I know I can live cheaply, but not everyone does.

If you are single you can do it. Worst case
1) can get roommate
2) can move home
3) rent it go cheaper
4) just sell

Anonymous wrote:Are you getting married?

not that I know of

Are you getting married?