Anonymous
09/11/2016 19:06
Subject: 1.6MM home- how much would you want to be making?
oP why don't you test out the mortgage payment for three months and see how it goes? Put it into savings you can't touch. See how it works with you budget. At the same time make sure and max out retirement and save for college. Also have 1-2k leftover each month for unexpected expenses. I have a feeling you'll find your new budget too tight but you never know.
Anonymous
09/11/2016 18:25
Subject: 1.6MM home- how much would you want to be making?
Anonymous wrote:We make $370k and have two mortgages (primary home $490K and beach house $266K so $756K total)
No problem paying these plus maxing two 401ks, saving for retirement and traveling internationally yearly.
People on this forum are insanely conservative. There is a lot of wealth building (or money hoarding depending on your perspective) going on.
The OP is looking to take on a $1.3m mortgage on 300k. That is a lot higher than your 750k mortgage.
Anonymous
09/11/2016 18:19
Subject: 1.6MM home- how much would you want to be making?
We make $370k and have two mortgages (primary home $490K and beach house $266K so $756K total)
No problem paying these plus maxing two 401ks, saving for retirement and traveling internationally yearly.
People on this forum are insanely conservative. There is a lot of wealth building (or money hoarding depending on your perspective) going on.
No problem paying these plus maxing two 401ks, saving for retirement and traveling internationally yearly.
People on this forum are insanely conservative. There is a lot of wealth building (or money hoarding depending on your perspective) going on.
Anonymous
09/11/2016 18:06
Subject: 1.6MM home- how much would you want to be making?
We make about 500k and took a mortgage for about 900k. My worst case is we make about 300-350. Then again we both work, so we child care costs, and we max two 401k, Roth, HDHP, and put a little in 529s.
Anonymous
09/11/2016 14:44
Subject: 1.6MM home- how much would you want to be making?
We make a little more ($500k) and are looking at ~$1.8M for our next house. We'd put down $400-500k which is around 20-25% down. We've looked through our budget for this a few times and feel comfortable with it. No outstanding debt, contribute solidly to retirement and college savings. We're just waiting until our youngest finishes elementary here.
Anonymous
09/11/2016 14:37
Subject: 1.6MM home- how much would you want to be making?
Keep in mind other monthly expenses that go along with a $1.6M home. Are you going to cut your own grass? landscaping and lawn care? maintenance? utility, heating and cooling? No way if I were in your shoes.
Anonymous
09/11/2016 13:31
Subject: 1.6MM home- how much would you want to be making?
Do 5 year IO - gives you time to build HHI and get the SAH working. If SAH is perpetual and she sounds like she may be, forget the creative financing and look for divorce RIGHT NOW before she hits you for 60% in 10-20 years when you have serious HHI.
Anonymous
09/11/2016 13:13
Subject: 1.6MM home- how much would you want to be making?
Best finance advice I ever received: include a $500 line item for "unexpected shit."
Anonymous
09/11/2016 12:47
Subject: Re:1.6MM home- how much would you want to be making?
We have about that income but save $36k a year in retirement and $20k a year in college accounts (which is, honestly, less than we should for two kids) plus other cash savings/investments. You have to put those line items in your budget before the mortgage or you don't really know what you can afford to spend on a house.
Also, as always--how can people make this much money and be this clueless?
Also, as always--how can people make this much money and be this clueless?
Anonymous
09/10/2016 20:20
Subject: 1.6MM home- how much would you want to be making?
Anonymous wrote:Op, look at your financial situation, your consumption habits, and future income vs expenses. People on this forum are nuts. I think most just have bad spending habits....excessive alochol, travel, recreation drug use, etc. You don't need a $500k to purchase a $1.6m home, at least when you are not white (cacausian). We built a $2m custom for a income same as yours and not stretched by any means. Both kids in private college and retirement fully funded and we travel and shop at whole foods,mets. We are in our late 40s. Bunch of bull here on this form....!
PPP may be on to something here. I have seen many immigrant (the professional kind) with good, but not super high incomes purchasing high end (>$1.5m) homes throughout the finer suburban Montgomery and Fairfax county sub divisions. I own a small hme improvement business and find myself installing decks, patios, hardscaping, etc at numerous newly built homes owned by immigrants. Must be a cultural and/or lifestyle thing I guess.
Anonymous
09/10/2016 20:12
Subject: 1.6MM home- how much would you want to be making?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Op, look at your financial situation, your consumption habits, and future income vs expenses. People on this forum are nuts. I think most just have bad spending habits....excessive alochol, travel, recreation drug use, etc. You don't need a $500k to purchase a $1.6m home, at least when you are not white (cacausian). We built a $2m custom for a income same as yours and not stretched by any means. Both kids in private college and retirement fully funded and we travel and shop at whole foods,mets. We are in our late 40s. Bunch of bull here on this form....!
How is this even possible?
Keep in mind that OP is unable to fully fund retirement or save for college with his current home!
Its not. Pp is smoking something.
Not smoking anything....never have. No troll. I know you find it hard to believe but 100% fact.
Anonymous
09/10/2016 20:11
Subject: 1.6MM home- how much would you want to be making?
This is doable. We bought a $1.3 million house on your income and are able to save each month, but we always have lived a pretty frugal lifestyle. People on here are pretty conservative - you read about 2500 PITI on HHI of 600k, and that just seems ridiculous.
That said, make sure your income/jobs are secure. We have two fed jobs and savings of 750k (mix of inheritence and personal savings), so we felt secure in signing that very big mortgage.
That said, make sure your income/jobs are secure. We have two fed jobs and savings of 750k (mix of inheritence and personal savings), so we felt secure in signing that very big mortgage.
Anonymous
09/10/2016 20:10
Subject: 1.6MM home- how much would you want to be making?
Anonymous wrote:Anonymous wrote:Op, look at your financial situation, your consumption habits, and future income vs expenses. People on this forum are nuts. I think most just have bad spending habits....excessive alochol, travel, recreation drug use, etc. You don't need a $500k to purchase a $1.6m home, at least when you are not white (cacausian). We built a $2m custom for a income same as yours and not stretched by any means. Both kids in private college and retirement fully funded and we travel and shop at whole foods,mets. We are in our late 40s. Bunch of bull here on this form....!
How is this even possible?
Keep in mind that OP is unable to fully fund retirement or save for college with his current home!
Its not. Pp is smoking something.
Anonymous
09/10/2016 19:44
Subject: 1.6MM home- how much would you want to be making?
Anonymous wrote:Op, look at your financial situation, your consumption habits, and future income vs expenses. People on this forum are nuts. I think most just have bad spending habits....excessive alochol, travel, recreation drug use, etc. You don't need a $500k to purchase a $1.6m home, at least when you are not white (cacausian). We built a $2m custom for a income same as yours and not stretched by any means. Both kids in private college and retirement fully funded and we travel and shop at whole foods,mets. We are in our late 40s. Bunch of bull here on this form....!
How is this even possible?
Keep in mind that OP is unable to fully fund retirement or save for college with his current home!
Anonymous
09/10/2016 18:32
Subject: 1.6MM home- how much would you want to be making?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:The assumption is that you're paid once every 2 weeks. Hence 26 payments per year, not 24.
When our mortgage is due, we don't get to count on that partial payment of the 2 extra pay cycles. We count on the 2 paychecks we know will hit our account.
Good for you. But i don't think that most people earning 300k are living paycheck to paycheck...
We actually have a seven figure income including bonuses. No one is living paycheck to paycheck. I do balance our checkbook. We invest so we don't keep all our money in our checking account.
Again, good for you!
-np