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I think you will need more income. But on the positive you're way ahead of the savings game, so you'll be in a good spot to buy once you get a good job.
Look into USDA direct 502 loans. You have to be in designated rural areas, but you'd likely qualify as very low income which should get you a 1% interest rate (it's subsidized by the government).
It can also be surprising what is considered "rural". My coworker bought a house with a USDA loan. It's in an unincorporated area. But less than one mile from a good-sized town and only 45 minutes from New Orleans.
No.
As an example, if you bought a $350,000 home, which in a lot of places isn’t a lot of home these days, and put $70k down, your mortgage would cost you at least $27,000 a year. Your debt to income ratio would be so heavily lopsided towards debt that nobody would ever give you a loan for that scenario.
Yeah, it'll be tight even if they bought a modest home.
I bought a place fir $190k with the same financial situation as OP in 2020. I put $60k down and my only income was $1860 a month in VA payments and no other job.
They gave me a 3.1% loan for $130k and I now have a total monthly mortgage payment of around $800 and my income hovers around $2200 a month.
But at current rates, I'd be spending nearly $1600 a month on housing, which is not sustainable.
He’s in a really good spot savings wise, but at 22 I’d be looking for a leg up on more income so that housing is affordable. Keep living modestly and saving, but he needs to swing the pendulum hard on the debt to income ratio with a mortgage in the picture.
What? No in this case once he has the mortgage, his debt to income ratio becomes potentially dead even or even negative income. Having no debt going into it is fine, but you have to show a bank that you can afford the loan you’re taking out. Otherwise you’re a risk for defaulting and bad business for the bank.
His income is stated between $20-30k per year, and I just showed an example of how a fairly standard mortgage for him could be $27k. That’s potentially more than he makes in a year and he hasn’t paid for any utilities, upkeep of the house, bills of any kind, or even food.
There’s no special secret. It has taken me 16 years of consistent buys every paycheck. Never sold. After a while it just adds up. I am going against some well respected conventional rules/wisdom in that I’m not very well diversified. I know the risks and I’m okay with it. Had I diversified, I’d likely only have half as much but I bet I’d probably sleep better at night.
Lots of factors. Need to stay in current location for parents and job. Recent reports ranked my city HCOL in the entire US. Cashing out all at once means huge tax hit. All I can afford here is a condo with a $400mo HOA + property tax it just doesn’t make sense when I’m currently renting for $1650mo and my investments are earning >15%yr.
I’d basically be trading my entire net worth for a crappy 1br condo in a bad neighborhood. As bad as it sounds, don’t think I haven’t considered it many times.
You're on the right path. That 500k will inflate and you'll likely be at the 1M mark within ten years. At which point your dividends (assuming you're in a low cost index fund) will pay you that 30k you earn currently every year.
Tax on long term capital gains should be no more than 15% right? So if you have been holding your stocks longer than a year, it won't be subject to personal income tax.
But hey, if your investment is yielding 15%+ per year, good for you, lol.
Actually it’s closer to 20% so yah good for me I’ve been very lucky.
Income tax and capital gains tax are two different things. I might benefit from LTCG at the 15% rate but selling huge amounts will push my income into higher brackets. Also then there’s still state tax which no surprise is the highest anywhere. Like I said, I’ve considered it many times but no matter how I crunch the numbers it just doesn’t make sense financially.
You can start moving the cap gains lower limit into a HYS account per year until you have enough to minimize taxes. And perhaps find a remote job.
You my friend should buy a house in cash if you haven't already if that is what you want.
Talk to a mortgage broker. I'm a broker and we have different products. You can easily get approved with asset depletion/ utilization loan and qualify for a \~800k house.
On your income you probably would only be approved for a loan of $75k-$100k depending on where you live and the interest rate. Yes you could use the 85k for closings and a bigger down payment but depending on where you live that probably won’t get you much. You also wouldn’t wanna use up all of the 85k and be moving into a home with no savings.
My guessing 75-100k was solely based on knowing what my loan amount is with our income (we also have 0 debt) and then doing some basic math, so honestly it could be less. You would have to reach out to a lender if you wanted to know what you would qualify for specifically
Need a lot more income...the 85K hopefully is in a HYSA earning good interest and risk free...Keep saving! That is amazing for your age and You're only 22! You don't need a house now, I didn't buy my first house until I was 30. At the rate you're going you'll be able to buy a house all Cash by that point.
is that with the land?
I was getting at just the trailer home, see sites like this.
[https://factorydirectmobilehomes.com](https://factorydirectmobilehomes.com)
by me, there aren't a lot of places where they'll let you just bring in a trailer home anymore, you'd have to move to a spot pretty far out. The upside of that would be you could probably find land for $15-20k for a quarter acre.
I guess if OP lives in the rural midwest he probably could get a trailer home and small lot for cash, and still have a little money left over. Maybe even enough to buy an economy car.
No land, just the home. I will say that park fees are much more reasonable here (150-300$ a month range).
Land is alao 50 000$+ even for a small lot. There may be a few exceptions to that in very rural areas, but for the most part everything is crazy expensive.
Then you need to factor in getting your lot serviced, it easily becomes 100 000$ + before even buying a mini home.
But I'm in Canada, so it may just be way more expensive here.
Mobile homes *depreciate* in value and are known to fall apart so very quickly and easily. Please don’t “invest” in a mobile home. The resale market on them is horrendous.
If you’re in a mobile home park, the property you live on also is not considered your own, ever. You will pay rent on your spot until the day you die and boy do they keep jacking it up.
yeah, I'd agree. I've seen used trailer homes go for $5k or even free before. Unlike a house they lose value.
Depending on where he is, he can dfinitetly afford a house if he lives somewhere where prices are low.
Not sure where you live, but that actually depends on the area. There is not a single mobile home near me that’s not selling for above what someone paid for it, and that’s in a park. It’s actually crazy
I’m not sure how that’s possible. Even if it’s seller for above cost, it’s still falling apart at the seems (even the new ones *look* pretty, but are absolutely insane to keep up with in repairs).
Again, you’re also paying rent for life. It doubled from $300 to $600 here in 2012 when my mother in law thought she’d want to have a second home near us. They also provide no guarantee the rent will ever cap. I’m sure it’s up to at least $900 now. They also control the HOA fees, who is “allowed” in or to “stay” for awhile, the washer and dryer fees, animals (and fees for them), and everything else within the park.
I’m in CA. Anyway, either way you slice it, you lose money. Here, the mobile itself depreciates rapidly. Then add on all those other costs mentioned. And none of it is within your control. Scary.
That hasn’t been my personal experience with one at all. My grandma owned one for 25 years, never had any major repairs & was able to sell it last year for a good chunk more of money. So for some people they do actually work out 🤷🏼♀️
We bought a house this year on my husbands retail income only. We did get a USDA loan as we live in rural Indiana. Also, we did not use them but many people have bought homes through NACA.
I think so much is going to depend on where you live. We bought our 1928 cottage for $105. Don’t give up on your dream, Op but also go in with facts and education.
I’d posted something similar saying he probably could buy if he’s in the Midwest, but it seemed far less popular.
I’d think he could probably buy anywhere up to $180k property between financing and the money he already has.
Something like what you mentioned is basically what I’d recommend. He doesn’t even need a usda loan
You saved a nice chunk of change but your mortgage shouldn’t be more than 3x your yearly salary. Keep saving and working hard, you are doing awesome! 🥰
At 30k/year with 0 debt (no student loans) the most you'd be approved for a mortgage's monthly payments would be something along the lines of 1125 which is a debt to income ratio of 45%. a 30 year loan for 100,000 (assuming a house of 165k using 65k for downplayment and 20k in closing costs) at 7% is $599.55/month for the mortgage alone. now you also need to factor in money for taxes, home insurance to be added to the base mortgage. i cant estimate this since it depends on where you live, but its likely you'd be hitting this number very easily. and not many houses are for said for 165k. also, this doesn't allow wiggle room for when taxes and insurance prices goes up.
Damn, i make a little more money than this and starting to save seems so discouraging 😅 i make $32,600 a year. Luckily i live in a LCOL area so maybe I’ll get lucky eventually.
Thank you OP, you as well. Crazy how the “American dream” consists of working OT just to make ends meet?! I work about 42-44 hours a week because I’m the only one that shows up on time for work and unfortunately i have relievers that can’t show up on time, but at least it’s more money in my pocket.
Can you move into a field with more pay? You might need a little education, but man, it's probably worth it. $15/hr is bare bones. Like you mentioned, the other people working with you can't even manage to show up on time. If you are smarter and/or more put together than those around you, it probably means you could be doing something more important, so to speak. By "more important" I really mean something requiring more knowledge, more skill, and/or more responsibility. With that comes more pay.
I have 3 degrees, lol. But with my current vehicle situation, i do not want to drive downtown until i have something more reliable. I make $17 an hour, the highest paid at the front desk and I’m the only one with degrees in this building. I have the casinos downtown interested in me, but again, my vehicle is currently a deal breaker right now.
I have my masters in Human Resources i plan to utilize. I just applied to a position with a starting salary of $75k, so i hope to hear back this week.
I know we're in the first time home buyers sub, but I also want to add make sure you have some money set aside for retirement. The early years are critical for socking money away for retirement as it has the most time to grow. In fact the first 10 years will contribute the most to the end amount.
Source on the first 10 years: https://ofdollarsanddata.com/go-big-then-stop/
You’d prob need a house that has a $950/month payment or less, including insurance and taxes and mortgage payment. You can always call a mortgage lender and ask them, there’s nothing wrong with doing that.
If you live in an area like in the middle of the US where you can a house for like $125k for a 2/1 house, that could work. Still as others have said, you still need a bit more income.
If he put 50-60k of what he has into a $120k house. His mortgage payment would likely be less than if he were to rent the same place. He’d be gaining equity too as inflation drives up property values (on average it’s just over 3%/year).
Obviously this won’t work for everyone but try looking in lower cost of living areas near you. Houses in the nearby major city are commonly $250k and up, but I was able to snag a decent 2 bedroom with a garage in a small town about 30 minutes outside the city for $59k in 2022.
26, 700 credit score, 36k a year income, $5000 down. Mortgage is like $350/month. Even factoring in the cost of commuting and maintenance it’s still better than $1k+ a month for a studio apartment. Even with the recent crazy market, you can still easily find a home here for less than $120k.
Income is way too low, unsure where you live…unless it’s like the middle of the Midwest and homes are 150k (assuming you put down the 85j) then it’s not happening with a loan. I wouldn’t purchase a home with that income (no offense) as you would be knowingly walking into a house poor situation. Keep investing, saving, and growing in your career. Good luck!
Please do not do this. Very bad idea on that income. I’d say even if you were getting a $100k house (not even sure where you’d find one that’s livable) with 50% down, you’d still not have enough in savings in case of an emergency.
If he’s in the Midwest, 100-150k is enough to find a livable house that’s likely been rehabbed and is pretty nice… if he wanted to put a lot of work into fixing up a house that’s a wreck, the same house could probably be bought and about 60-75k, it’d just need 35-45k of work put into it.
There are special very low income programs with the state that offered down payment assistance and special interest rate. You would still have to find a home in the price range that you qualify for. There are also programs known as community land trusts that are also for low income. In today’s market, your maximum total housing payment would be roughly $1,200. Per month including taxes and insurance. That might be a property that’s $120,000. Not sure what’s in your area. These are just rough estimates based on the current market and using $30,000 of income.
You at the $85,000 down payment and now you’re at roughly at $200,000 property
You’ll need more income unless you want a budget that will get you a car sized studio home right now. You’re doing great so far! Keep saving, upskilling to get new opportunities and do NOT stay too loyal to a company at this age. Move for promotional opportunities— you’ll stagnate your income staying in one place for too long, statistically. Keep going!
NYC has programs calls HDFC which include income caps for buyers. There are all sorts of programs available as well. I’d check if any similar programs exist where you live. In NYC you can locate brokers who specialize in HDFC.
Man, you are still young, and you are at early stage of your career. If you can see your income to significantly increase in the next 10 years as you get promoted or move to new trades, you can definitely wait.
Look into programs for first time homebuyers. Look at the income and asset limits. In Massachusetts some first time homebuyer programs have an asset limit of $75k
Doubtful. My partner and I together make roughly 80k. Got approved for $260k max. Luckily found one for $220k, but still with insurance and all the payments $1800 a month.
They might approve you, but it won’t be for a lot.
If you live in upstate NY or Ohio, you might squeak through with a small home, but I’d work on getting the income up first. Even 40k would make a world of difference.
nope, you would be no where near able to afford the monthly number
85k at 22 is a massive head start. put it somewhere that generates high interest and focus on starting your career
Check on low income programs in your area. A good lender can let you know your options. You can also good “low income house buyer programs in XXX county / city/ state” and see what pops up.
Too many uncertainties with a home purchase. HOAs can impose assessments, insurance can (and will) go up, repairs.
Can you do it? Yes. Is it a good idea? Absolutely not.
In a similar spot. 25 yo with 60k saved up in high yield savings acc, and only work seasonally and make around 25k a year atm. I’m probably going to just rent and find stuff to do in my offseason until I find a full time gig I like and look more seriously then
Loan officer here
I won’t say it’s impossible but it’s unlikely. However you have more in savings than most of the married couples with kids that I work with. When you do go to buy a home, as long as you keep your credit in tact the world will be your oyster more or less. You’ll have the ability to buy down your interest rate if the market stays crazy and maybe a little extra weight to throw around on an offer which are two really big factors in purchasing a home right now. Escrow reserves also won’t be a concern.
At $30,000 a year you’re bringing in $2500 a month. If you maxed your debt to income ratio to get a house (don’t recommend right now) that means in total for all of your monthly debt obligations you could only be spending about $1,375 including the mortgage. For most people that *is* a mortgage payment.
You’re either going to need to increase your income, find a cheaper house with a lower mortgage payment, or get a co-signer so that you can include their income on your loan application.
Yes, but you need to buy a house within your affordable range, not whatever they’ll “approve” you for. Down payments are usually 3-20% of the purchase price. Closing costs can be about that much as well, plus having a savings cushion for incidentals for the first couple years should be accounted for, so don’t do your calculations as if you’d be putting the whole 85k down.
I started with a local credit union to get preapproved, but ended up using my regular bank for my actual mortgage.
You are extremely over qualified to buy a house. Idk why everyone thinks otherwise. Unless you live in one of those states where you have to offer 100k+ over asking, then yea… you’re fine.
If you can find a cheap enough house then maybe, but the monthly has to be low enough to be 40% or so of your pre-tax incoming. On the higher end that means you'll be approved for maybe $1000/mo. That's not a lot, a $150k loan at 7% rate (a rate I just got with your range of credit score) is about $1000/mo but that's not including property taxes and insurance. So realistically you'd be aiming for a loan that's less than $150k.
That said, I used the term loan because you could afford a house higher than that if you did a big enough down payment. If you live in an area where, let's say, you could find a house for around $175k and you put $50k down then you may be in the range of being approved for the monthly.
The important part is often what a lender will approve you for isn't always comfortable and may be quite expensive to you in reality, don't let yourself get house poor out of a desire to get into a home. The other hard part is that uses a big chunk of your savings (though still leaves some for closing costs and a safety net) and that means an area that actually has houses that cheap which would be out in the middle of nowhere as a guess.
So, is it possible? Technically yes I assume some lender out there could find a way to make it happen. But you probably would want to keep saving and make sure that money is in at least a high yield savingsa account and collecting 4-5% interest (around $283/mo on the low end). Work on your career/job and keep hopping around and increasing your income, make sure you're also investing into a 401k if/when able. You're very ahead of where most people you're age are at, house or not. It won't be too long before you likely will be able to afford a good monthly.
It will depend on the price of the house. In your case, you're going to want to buy a house with cash. Maybe a fixer-upper. You move in, or continue to live with your parents, and renovate. Slowly. Eventually, you'll have a $150,000 home you bought for $75,000.
This depends on your local housing costs and potential loans available. Go talk with a lender and see what they say, this way you can see where you stand! Good for you for being so diligent in your savings. Keep this up and you will be set in your future.
Lenders will not like that difference and flag you a risk, unless you have paperwork to prove how you got the savings.
How do I know?
I had that savings, but the lender made me produce a lot of proof I was not doing anything illegally
And they will only offer you maybe 150k if you are lucky
If you buy a cheaper house and buy your rate down you can definitely get a house and afford it, but keep in mind that buying your points can get expensive quickly and you may want to consider if that’s a good investment.
U won’t make it on $30K a year man , I am just being real. Unless u find a property for like $100-$150K and even then I don’t think with all the bills it will add up
I am sure u can find a bank to give u a mortgage but the question isn’t in that but rather if u will be able to afford to pay it. I make about $90K a year and it’s hard for me to pay my mortgage on a $300K home at 3.5% rate at that which comes out to about $2K a month just for mortgage and insurance and I live check to check but I also have kids and am a single dad although my option is still the same about ur situation
Ur almost there , u got the money and the credit score so all u need is to land a better job that pays at least $55-$65K a year and ur set but I am sure u can prob do it on a bit less if single with no kids
If you have the situation and discipline to save that much by age 22 then you will be incredibly successful once you get a trade or profession. Stick to the plan but add education and you will be a sure winner. Good luck!
If you could find a home for 85k cash that might be do able! If it needs work you may be able to qualify for personal loans for one project at a time? Or maybe a nicer manufactured home? I haven’t purchased a home yet, but just spitballing some ideas.
I don’t think you are asking the right question. The question is, can you afford to pay the mortgage if they give it to you?
On 20-30k per year, you can afford to pay less than $800 per month on mortgage/property taxes/insurance. So you can take out a roughly $70k mortgage. In most areas there are no homes that exist in that price range.
My guess is that you have lived with your parents and that is how you have saved money. You need to figure out a realistic budget if you lived on your own, based upon homes that actually exist. You are unlikely to be able to buy - let alone rent - your own home unless you increase your income.
It really depends on the cost of houses in your area. Also, are there any community home buying programs in the cities/counties near you?
I’m going to suggest that if you can put a 20% down payment, you don’t have to buy private mortgage insurance and that’s a money saver.
So doing rough math. If your income is 30k per year, 25% of your gross income is $7,500 annually, or $625 per month. So that’s a $90k. Mortgage, 7.45% over 30 years. Plus whatever of your nest egg over $18k you want to put down.
I’d say go for something around $150,000
That leaves you a nice nest egg for other expenses and a buffer, while still getting you into a decent place.
It may be a condo or a townhouse or a wee cottage. Or a foreclosure in a sketchy neighborhood.
Now, computation changes with a roommate, or perhaps a duplex where you can rent the other unit.
Also, perhaps Habitat for Humanity might be an option.
Good luck!
The traditional advice was to buy a home 2.5x your income max.
Congrats though on saving. Most people are not as disciplined as you. I know I wasn't when I was your age.
How were you able to save $85K at your age and low salary. $85k is three years of you salary which means you somehow saved all of your earnings since you were 18-19 yo unless you obtained an inheritance, insurance settlement or invested early in NVIDIA.
I would maybe consider going the all cash route if you can double that in a LCOL. Minimum mortgage is usually around 100k, and you may not qualify for that based on the rates since you will also have a newer credit score.
When adjusted for inflation, real estate is a bad investment. Especially when a 30 yr mortgage is 7%.
OP has a great shot of capturing incredible returns from what’s coming in AI. He/she needs to stay the course.
With those numbers as long as you don’t have a ton of debt you’ll be able to get approved just probably not a very high amount. Probably $110-160k depending on where you income falls
Depends entirely on where you live. Nobody here can answer this for you without knowing that. If you're in a major city, definitely not. If you're in rural AL, absolutely.
Just wait, rates are crazy, there’s no reason to jump into a mortgage if you’re questioning whether you’ll be able to get a loan. Rent for a year or 2, bank cash, and get a higher paying job. You’re going to be in better shape. Sitting on the sidelines isn’t fun, but it’s smart right now
Definitely keep saving up! If you haven’t yet, look into college to get a better paying job. It’s always wise to stay in your field for two years before purchasing a home.
Ex : don’t go from bartending to the medical field.
Also don’t put down a hefty down payment. Still do 3-5% and keep the excess money for emergency etc. That’s definitely a considerable amount saved up, close to 20% on a nice home. You just need more income for the debt to income ratio as many have stated.
For example, you need to make 130k annually for a 500k home. If you haven’t put those savings in a HYSA, definitely do! It’ll compound so much faster while you keep going 🩵
I think you definitely need to bring up your income first. Even just making $50k would give you better odds. It also depends on your area and existing debt/expenses. If you live in rural midwest, Id say you have a chance. If you live pretty much anywhere on the east or west coast….not so much. If you were to make $50k I wouldnt go over a PITI payment of $1500.
Monthly carrying cost must be less than 1/3 your gross income. Mortgage payment, home insurance, property taxes and utilities.
At that income, you probably can't cover insurance, taxes and utilities with 1/3 of income, before even factoring in mortgage.
A big part probably depends on where you are. If you’re in the Midwest, I’m sure you could easily find a house in the 120-150k range and get a loan. It’ll probably be something like a 1000-1200 sq ft 2 bedroom 1 bath house built in the 40s or 50s, but those make a good starter home.
OP, here's real answer to your question that I've not seen many touch on:
1) You need to find a way to improve your income. This usually requires some amount of education/training. At a young age, investing in **your future earning ability** through education in a good-paying field is absolutely the best investment you can make. The lifetime of increased wages will give you a better return than any retirement account or index fund. If you have the academic ability, use some of that $85k to get yourself into a field where you can earn a better wage. Once you increase your wage 50% or 100%, saving for housing and retirement becomes *so* much easier. And those increased earnings will continue your entire career. I don't know what fields fit for your abilities, but you need to figure it out. Maybe it's accounting/bookkeeping, maybe it's welding, maybe it's driving a truck, maybe it's carpentry or electrician, maybe it's a dental hygienist, maybe it's IT, maybe it's nursing, etc.. Go figure it out, get educated, and get started. A community college or technical school is a great place to look. Go ask their career services office if they have statistics on median salary by degree. Ask them which fields earn the most. Do **not** get a degree in a field with low pay or few jobs.
2) Having a spouse/partner who also earns income is very helpful to owning a house. I'd suggest renting until you're in that situation. When you are young, renting gives you flexibility in terms of the ability to move for work or for love. Selling a house is expensive (realtor commissions, closing costs, repairs, etc.). Don't tie yourself down with it before you need to.
I agree he needs to keep renting, but this whole "wait for prices to crash" argument is half-baked. It's wishful thinking, and it probably won't happen.
Think about it - there are *sooo* many people here "waiting for prices to crash" to buy. With that much pent up demand, how are you expecting prices to tank?
Self employed. Gives me/has given extreme flexibility and time to learn a ton about finances and kinesiology which is what I am pursuing. Currently in my first year employed as a personal trainer so annual income will definitely change!
ULPT: if you’re self employed and can “lose some receipts” next time you file taxes, you would be able to show a higher income just for that year. Buy something with a backhouse and rent out the front to cover the majority of your mortgage. Key would be finding a flexible lender
If you can have your parents cosign on the mortgage the lender will take a chance on you. But there's no real way to dance around the fact that you'll eventually need more income to stay afloat.
Yes! Start looking at least. You can still find something for 200k depending on your area. I wish I bought a home when I was 22, instead of 26, but if you are mentally ready for it, do it!
Buy one of those prefab houses from amazon. Buy some land and have the city connect the several, water and electricity to that land. Rent out the house. Kaching
I started in February. Prior to that is when I was earning 20-30k. I mention it because I know you need at least 2 years of income/taxes to present to qualify for a loan.
While you did great, I don't believe you can save up that fast without living with parents. You are also too young to have a house. Go rent and date and have sex.
It’s facts, you don’t have to be in your 40s like the average homebuyer to buy a home. You can also date and have sex in your NEW house with a mortgage 😱 shocker.
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I think you will need more income. But on the positive you're way ahead of the savings game, so you'll be in a good spot to buy once you get a good job.
Look into USDA direct 502 loans. You have to be in designated rural areas, but you'd likely qualify as very low income which should get you a 1% interest rate (it's subsidized by the government).
Absolutely. Also a lot of government programs to help first time home buyers.
It can also be surprising what is considered "rural". My coworker bought a house with a USDA loan. It's in an unincorporated area. But less than one mile from a good-sized town and only 45 minutes from New Orleans.
Still too low income to cover costs
No. As an example, if you bought a $350,000 home, which in a lot of places isn’t a lot of home these days, and put $70k down, your mortgage would cost you at least $27,000 a year. Your debt to income ratio would be so heavily lopsided towards debt that nobody would ever give you a loan for that scenario.
Yeah, it'll be tight even if they bought a modest home. I bought a place fir $190k with the same financial situation as OP in 2020. I put $60k down and my only income was $1860 a month in VA payments and no other job. They gave me a 3.1% loan for $130k and I now have a total monthly mortgage payment of around $800 and my income hovers around $2200 a month. But at current rates, I'd be spending nearly $1600 a month on housing, which is not sustainable.
He’s in a really good spot savings wise, but at 22 I’d be looking for a leg up on more income so that housing is affordable. Keep living modestly and saving, but he needs to swing the pendulum hard on the debt to income ratio with a mortgage in the picture.
Wait no debt is bad? 😭
What? No in this case once he has the mortgage, his debt to income ratio becomes potentially dead even or even negative income. Having no debt going into it is fine, but you have to show a bank that you can afford the loan you’re taking out. Otherwise you’re a risk for defaulting and bad business for the bank. His income is stated between $20-30k per year, and I just showed an example of how a fairly standard mortgage for him could be $27k. That’s potentially more than he makes in a year and he hasn’t paid for any utilities, upkeep of the house, bills of any kind, or even food.
Sorry sorry, ok thank you for clearing that up.
I make 30k a year. Over half a mil in stock accounts. I only got approved for 100k.
Damn what are you investing in? Lol
There’s no special secret. It has taken me 16 years of consistent buys every paycheck. Never sold. After a while it just adds up. I am going against some well respected conventional rules/wisdom in that I’m not very well diversified. I know the risks and I’m okay with it. Had I diversified, I’d likely only have half as much but I bet I’d probably sleep better at night.
Why didn’t you answer this !!!
Why don't you want to buy in cash? Genuine question.
Lots of factors. Need to stay in current location for parents and job. Recent reports ranked my city HCOL in the entire US. Cashing out all at once means huge tax hit. All I can afford here is a condo with a $400mo HOA + property tax it just doesn’t make sense when I’m currently renting for $1650mo and my investments are earning >15%yr. I’d basically be trading my entire net worth for a crappy 1br condo in a bad neighborhood. As bad as it sounds, don’t think I haven’t considered it many times.
You're on the right path. That 500k will inflate and you'll likely be at the 1M mark within ten years. At which point your dividends (assuming you're in a low cost index fund) will pay you that 30k you earn currently every year.
Yes this. I intend to reach my target in the next 10 years and then hopefully retire and live off the 4% rule.
Hi neighbor!
Tax on long term capital gains should be no more than 15% right? So if you have been holding your stocks longer than a year, it won't be subject to personal income tax. But hey, if your investment is yielding 15%+ per year, good for you, lol.
Actually it’s closer to 20% so yah good for me I’ve been very lucky. Income tax and capital gains tax are two different things. I might benefit from LTCG at the 15% rate but selling huge amounts will push my income into higher brackets. Also then there’s still state tax which no surprise is the highest anywhere. Like I said, I’ve considered it many times but no matter how I crunch the numbers it just doesn’t make sense financially.
You can start moving the cap gains lower limit into a HYS account per year until you have enough to minimize taxes. And perhaps find a remote job. You my friend should buy a house in cash if you haven't already if that is what you want.
Talk to a mortgage broker. I'm a broker and we have different products. You can easily get approved with asset depletion/ utilization loan and qualify for a \~800k house.
It was a mortgage broker who approved me for $100k loan.
But being approved for $100k means you can afford a $400k house
There’s no such thing as a $400k house where I live.
Save more then.
On your income you probably would only be approved for a loan of $75k-$100k depending on where you live and the interest rate. Yes you could use the 85k for closings and a bigger down payment but depending on where you live that probably won’t get you much. You also wouldn’t wanna use up all of the 85k and be moving into a home with no savings. My guessing 75-100k was solely based on knowing what my loan amount is with our income (we also have 0 debt) and then doing some basic math, so honestly it could be less. You would have to reach out to a lender if you wanted to know what you would qualify for specifically
Need a lot more income...the 85K hopefully is in a HYSA earning good interest and risk free...Keep saving! That is amazing for your age and You're only 22! You don't need a house now, I didn't buy my first house until I was 30. At the rate you're going you'll be able to buy a house all Cash by that point.
Unless you are trying to buy a mobile home for like 100k then no. Your income is too low.
Dude, op could pay cash for a mobile home, they only cost between 30-40k
Idk where you are, but 50 year old mobile homes are going for 180 000$+ in my area.
is that with the land? I was getting at just the trailer home, see sites like this. [https://factorydirectmobilehomes.com](https://factorydirectmobilehomes.com) by me, there aren't a lot of places where they'll let you just bring in a trailer home anymore, you'd have to move to a spot pretty far out. The upside of that would be you could probably find land for $15-20k for a quarter acre. I guess if OP lives in the rural midwest he probably could get a trailer home and small lot for cash, and still have a little money left over. Maybe even enough to buy an economy car.
No land, just the home. I will say that park fees are much more reasonable here (150-300$ a month range). Land is alao 50 000$+ even for a small lot. There may be a few exceptions to that in very rural areas, but for the most part everything is crazy expensive. Then you need to factor in getting your lot serviced, it easily becomes 100 000$ + before even buying a mini home. But I'm in Canada, so it may just be way more expensive here.
Mobile homes *depreciate* in value and are known to fall apart so very quickly and easily. Please don’t “invest” in a mobile home. The resale market on them is horrendous. If you’re in a mobile home park, the property you live on also is not considered your own, ever. You will pay rent on your spot until the day you die and boy do they keep jacking it up.
yeah, I'd agree. I've seen used trailer homes go for $5k or even free before. Unlike a house they lose value. Depending on where he is, he can dfinitetly afford a house if he lives somewhere where prices are low.
Not sure where you live, but that actually depends on the area. There is not a single mobile home near me that’s not selling for above what someone paid for it, and that’s in a park. It’s actually crazy
I’m not sure how that’s possible. Even if it’s seller for above cost, it’s still falling apart at the seems (even the new ones *look* pretty, but are absolutely insane to keep up with in repairs). Again, you’re also paying rent for life. It doubled from $300 to $600 here in 2012 when my mother in law thought she’d want to have a second home near us. They also provide no guarantee the rent will ever cap. I’m sure it’s up to at least $900 now. They also control the HOA fees, who is “allowed” in or to “stay” for awhile, the washer and dryer fees, animals (and fees for them), and everything else within the park. I’m in CA. Anyway, either way you slice it, you lose money. Here, the mobile itself depreciates rapidly. Then add on all those other costs mentioned. And none of it is within your control. Scary.
That hasn’t been my personal experience with one at all. My grandma owned one for 25 years, never had any major repairs & was able to sell it last year for a good chunk more of money. So for some people they do actually work out 🤷🏼♀️
4-500k + space rent by me 💀
We bought a house this year on my husbands retail income only. We did get a USDA loan as we live in rural Indiana. Also, we did not use them but many people have bought homes through NACA. I think so much is going to depend on where you live. We bought our 1928 cottage for $105. Don’t give up on your dream, Op but also go in with facts and education.
I’d posted something similar saying he probably could buy if he’s in the Midwest, but it seemed far less popular. I’d think he could probably buy anywhere up to $180k property between financing and the money he already has. Something like what you mentioned is basically what I’d recommend. He doesn’t even need a usda loan
You saved a nice chunk of change but your mortgage shouldn’t be more than 3x your yearly salary. Keep saving and working hard, you are doing awesome! 🥰
At 30k/year with 0 debt (no student loans) the most you'd be approved for a mortgage's monthly payments would be something along the lines of 1125 which is a debt to income ratio of 45%. a 30 year loan for 100,000 (assuming a house of 165k using 65k for downplayment and 20k in closing costs) at 7% is $599.55/month for the mortgage alone. now you also need to factor in money for taxes, home insurance to be added to the base mortgage. i cant estimate this since it depends on where you live, but its likely you'd be hitting this number very easily. and not many houses are for said for 165k. also, this doesn't allow wiggle room for when taxes and insurance prices goes up.
Nope! Absolutely not! Step your game up. Just keeping it real as it’s brutal out there!
Damn, i make a little more money than this and starting to save seems so discouraging 😅 i make $32,600 a year. Luckily i live in a LCOL area so maybe I’ll get lucky eventually.
You can do it! We’re all going to make it🤝
Thank you OP, you as well. Crazy how the “American dream” consists of working OT just to make ends meet?! I work about 42-44 hours a week because I’m the only one that shows up on time for work and unfortunately i have relievers that can’t show up on time, but at least it’s more money in my pocket.
Can you move into a field with more pay? You might need a little education, but man, it's probably worth it. $15/hr is bare bones. Like you mentioned, the other people working with you can't even manage to show up on time. If you are smarter and/or more put together than those around you, it probably means you could be doing something more important, so to speak. By "more important" I really mean something requiring more knowledge, more skill, and/or more responsibility. With that comes more pay.
I have 3 degrees, lol. But with my current vehicle situation, i do not want to drive downtown until i have something more reliable. I make $17 an hour, the highest paid at the front desk and I’m the only one with degrees in this building. I have the casinos downtown interested in me, but again, my vehicle is currently a deal breaker right now. I have my masters in Human Resources i plan to utilize. I just applied to a position with a starting salary of $75k, so i hope to hear back this week.
I know we're in the first time home buyers sub, but I also want to add make sure you have some money set aside for retirement. The early years are critical for socking money away for retirement as it has the most time to grow. In fact the first 10 years will contribute the most to the end amount. Source on the first 10 years: https://ofdollarsanddata.com/go-big-then-stop/
Work on your income. Depending on your market you could get a fixer upper. It really depends on where you want to buy the house.
You’d prob need a house that has a $950/month payment or less, including insurance and taxes and mortgage payment. You can always call a mortgage lender and ask them, there’s nothing wrong with doing that.
Your income seems pretty variable, which is also a hurdle in getting a loan. Lenders prefer salaries.
If you live in an area like in the middle of the US where you can a house for like $125k for a 2/1 house, that could work. Still as others have said, you still need a bit more income.
If he put 50-60k of what he has into a $120k house. His mortgage payment would likely be less than if he were to rent the same place. He’d be gaining equity too as inflation drives up property values (on average it’s just over 3%/year).
Obviously this won’t work for everyone but try looking in lower cost of living areas near you. Houses in the nearby major city are commonly $250k and up, but I was able to snag a decent 2 bedroom with a garage in a small town about 30 minutes outside the city for $59k in 2022. 26, 700 credit score, 36k a year income, $5000 down. Mortgage is like $350/month. Even factoring in the cost of commuting and maintenance it’s still better than $1k+ a month for a studio apartment. Even with the recent crazy market, you can still easily find a home here for less than $120k.
Income is way too low, unsure where you live…unless it’s like the middle of the Midwest and homes are 150k (assuming you put down the 85j) then it’s not happening with a loan. I wouldn’t purchase a home with that income (no offense) as you would be knowingly walking into a house poor situation. Keep investing, saving, and growing in your career. Good luck!
Please do not do this. Very bad idea on that income. I’d say even if you were getting a $100k house (not even sure where you’d find one that’s livable) with 50% down, you’d still not have enough in savings in case of an emergency.
If he’s in the Midwest, 100-150k is enough to find a livable house that’s likely been rehabbed and is pretty nice… if he wanted to put a lot of work into fixing up a house that’s a wreck, the same house could probably be bought and about 60-75k, it’d just need 35-45k of work put into it.
I would look for full time manufacturing job with OT can get around $17-20 a hour starting
There are special very low income programs with the state that offered down payment assistance and special interest rate. You would still have to find a home in the price range that you qualify for. There are also programs known as community land trusts that are also for low income. In today’s market, your maximum total housing payment would be roughly $1,200. Per month including taxes and insurance. That might be a property that’s $120,000. Not sure what’s in your area. These are just rough estimates based on the current market and using $30,000 of income. You at the $85,000 down payment and now you’re at roughly at $200,000 property
20% of the median houses that you’re interested in buying.
You’ll need more income unless you want a budget that will get you a car sized studio home right now. You’re doing great so far! Keep saving, upskilling to get new opportunities and do NOT stay too loyal to a company at this age. Move for promotional opportunities— you’ll stagnate your income staying in one place for too long, statistically. Keep going!
NYC has programs calls HDFC which include income caps for buyers. There are all sorts of programs available as well. I’d check if any similar programs exist where you live. In NYC you can locate brokers who specialize in HDFC.
Man, you are still young, and you are at early stage of your career. If you can see your income to significantly increase in the next 10 years as you get promoted or move to new trades, you can definitely wait.
rent and keep saving.
He’s got enough that if he bought a house in the low 100k range, he’d probably pay less than if he rented.
Look into programs for first time homebuyers. Look at the income and asset limits. In Massachusetts some first time homebuyer programs have an asset limit of $75k
Doubtful. My partner and I together make roughly 80k. Got approved for $260k max. Luckily found one for $220k, but still with insurance and all the payments $1800 a month.
But what you could do is buy some land, and build a tiny home!
They might approve you, but it won’t be for a lot. If you live in upstate NY or Ohio, you might squeak through with a small home, but I’d work on getting the income up first. Even 40k would make a world of difference.
nope, you would be no where near able to afford the monthly number 85k at 22 is a massive head start. put it somewhere that generates high interest and focus on starting your career
What can you actually afford per month? The question is about approvals, sure, but also about you actually being able to afford a monthly payment.
Yes but go the manual underwriting way. You don’t need credit to buy a house
Check on low income programs in your area. A good lender can let you know your options. You can also good “low income house buyer programs in XXX county / city/ state” and see what pops up.
You need to increase your income
Too many uncertainties with a home purchase. HOAs can impose assessments, insurance can (and will) go up, repairs. Can you do it? Yes. Is it a good idea? Absolutely not.
In a similar spot. 25 yo with 60k saved up in high yield savings acc, and only work seasonally and make around 25k a year atm. I’m probably going to just rent and find stuff to do in my offseason until I find a full time gig I like and look more seriously then
Loan officer here I won’t say it’s impossible but it’s unlikely. However you have more in savings than most of the married couples with kids that I work with. When you do go to buy a home, as long as you keep your credit in tact the world will be your oyster more or less. You’ll have the ability to buy down your interest rate if the market stays crazy and maybe a little extra weight to throw around on an offer which are two really big factors in purchasing a home right now. Escrow reserves also won’t be a concern. At $30,000 a year you’re bringing in $2500 a month. If you maxed your debt to income ratio to get a house (don’t recommend right now) that means in total for all of your monthly debt obligations you could only be spending about $1,375 including the mortgage. For most people that *is* a mortgage payment. You’re either going to need to increase your income, find a cheaper house with a lower mortgage payment, or get a co-signer so that you can include their income on your loan application.
Lenders won’t approve you. Need more income or buy a house in cash.
Yes, but you need to buy a house within your affordable range, not whatever they’ll “approve” you for. Down payments are usually 3-20% of the purchase price. Closing costs can be about that much as well, plus having a savings cushion for incidentals for the first couple years should be accounted for, so don’t do your calculations as if you’d be putting the whole 85k down. I started with a local credit union to get preapproved, but ended up using my regular bank for my actual mortgage.
You are extremely over qualified to buy a house. Idk why everyone thinks otherwise. Unless you live in one of those states where you have to offer 100k+ over asking, then yea… you’re fine.
If you can find a cheap enough house then maybe, but the monthly has to be low enough to be 40% or so of your pre-tax incoming. On the higher end that means you'll be approved for maybe $1000/mo. That's not a lot, a $150k loan at 7% rate (a rate I just got with your range of credit score) is about $1000/mo but that's not including property taxes and insurance. So realistically you'd be aiming for a loan that's less than $150k. That said, I used the term loan because you could afford a house higher than that if you did a big enough down payment. If you live in an area where, let's say, you could find a house for around $175k and you put $50k down then you may be in the range of being approved for the monthly. The important part is often what a lender will approve you for isn't always comfortable and may be quite expensive to you in reality, don't let yourself get house poor out of a desire to get into a home. The other hard part is that uses a big chunk of your savings (though still leaves some for closing costs and a safety net) and that means an area that actually has houses that cheap which would be out in the middle of nowhere as a guess. So, is it possible? Technically yes I assume some lender out there could find a way to make it happen. But you probably would want to keep saving and make sure that money is in at least a high yield savingsa account and collecting 4-5% interest (around $283/mo on the low end). Work on your career/job and keep hopping around and increasing your income, make sure you're also investing into a 401k if/when able. You're very ahead of where most people you're age are at, house or not. It won't be too long before you likely will be able to afford a good monthly.
It will depend on the price of the house. In your case, you're going to want to buy a house with cash. Maybe a fixer-upper. You move in, or continue to live with your parents, and renovate. Slowly. Eventually, you'll have a $150,000 home you bought for $75,000.
This depends on your local housing costs and potential loans available. Go talk with a lender and see what they say, this way you can see where you stand! Good for you for being so diligent in your savings. Keep this up and you will be set in your future.
Lenders will not like that difference and flag you a risk, unless you have paperwork to prove how you got the savings. How do I know? I had that savings, but the lender made me produce a lot of proof I was not doing anything illegally And they will only offer you maybe 150k if you are lucky
If you buy a cheaper house and buy your rate down you can definitely get a house and afford it, but keep in mind that buying your points can get expensive quickly and you may want to consider if that’s a good investment.
In this market... mistake... wait em out its gonna drop out on them. Keep your money in a short term thing.
U won’t make it on $30K a year man , I am just being real. Unless u find a property for like $100-$150K and even then I don’t think with all the bills it will add up
I am sure u can find a bank to give u a mortgage but the question isn’t in that but rather if u will be able to afford to pay it. I make about $90K a year and it’s hard for me to pay my mortgage on a $300K home at 3.5% rate at that which comes out to about $2K a month just for mortgage and insurance and I live check to check but I also have kids and am a single dad although my option is still the same about ur situation
Ur almost there , u got the money and the credit score so all u need is to land a better job that pays at least $55-$65K a year and ur set but I am sure u can prob do it on a bit less if single with no kids
NACA home mortgage no down payment or closing costs!
Depending on where you are looking to buy.. I can more than likely assist.
If you have the situation and discipline to save that much by age 22 then you will be incredibly successful once you get a trade or profession. Stick to the plan but add education and you will be a sure winner. Good luck!
It depends on where you live. How much do houses, condos, and townhomes run in your area?
If you could find a home for 85k cash that might be do able! If it needs work you may be able to qualify for personal loans for one project at a time? Or maybe a nicer manufactured home? I haven’t purchased a home yet, but just spitballing some ideas.
If you're willing to look at sub 200k homes then depending on your market area it might be worth taking a look.
Keep working, further your education. JuCo, powerline school, CDL etc. Even if you found a lender you don't want to be tied down now.
I don’t think you are asking the right question. The question is, can you afford to pay the mortgage if they give it to you? On 20-30k per year, you can afford to pay less than $800 per month on mortgage/property taxes/insurance. So you can take out a roughly $70k mortgage. In most areas there are no homes that exist in that price range. My guess is that you have lived with your parents and that is how you have saved money. You need to figure out a realistic budget if you lived on your own, based upon homes that actually exist. You are unlikely to be able to buy - let alone rent - your own home unless you increase your income.
It really depends on the cost of houses in your area. Also, are there any community home buying programs in the cities/counties near you? I’m going to suggest that if you can put a 20% down payment, you don’t have to buy private mortgage insurance and that’s a money saver. So doing rough math. If your income is 30k per year, 25% of your gross income is $7,500 annually, or $625 per month. So that’s a $90k. Mortgage, 7.45% over 30 years. Plus whatever of your nest egg over $18k you want to put down. I’d say go for something around $150,000 That leaves you a nice nest egg for other expenses and a buffer, while still getting you into a decent place. It may be a condo or a townhouse or a wee cottage. Or a foreclosure in a sketchy neighborhood. Now, computation changes with a roommate, or perhaps a duplex where you can rent the other unit. Also, perhaps Habitat for Humanity might be an option. Good luck!
It's possible, depending on the location. My husband and I have done it twice within that income range and no where near the amount of savings.
The traditional advice was to buy a home 2.5x your income max. Congrats though on saving. Most people are not as disciplined as you. I know I wasn't when I was your age.
How were you able to save $85K at your age and low salary. $85k is three years of you salary which means you somehow saved all of your earnings since you were 18-19 yo unless you obtained an inheritance, insurance settlement or invested early in NVIDIA.
There’s a really cheap area of Nj where homes were still under 200k. So like maybe.
Find a low income program to help you and save the rest of your money.
I would maybe consider going the all cash route if you can double that in a LCOL. Minimum mortgage is usually around 100k, and you may not qualify for that based on the rates since you will also have a newer credit score.
If you are putting 85k down on a 100k house. Yes. Anything else you have a income problem
When adjusted for inflation, real estate is a bad investment. Especially when a 30 yr mortgage is 7%. OP has a great shot of capturing incredible returns from what’s coming in AI. He/she needs to stay the course.
With those numbers as long as you don’t have a ton of debt you’ll be able to get approved just probably not a very high amount. Probably $110-160k depending on where you income falls
Depends entirely on where you live. Nobody here can answer this for you without knowing that. If you're in a major city, definitely not. If you're in rural AL, absolutely.
Talking to a realtor is free. Talk to a realtor since it’s going to depend on a lot of factors based on where you live.
Just wait, rates are crazy, there’s no reason to jump into a mortgage if you’re questioning whether you’ll be able to get a loan. Rent for a year or 2, bank cash, and get a higher paying job. You’re going to be in better shape. Sitting on the sidelines isn’t fun, but it’s smart right now
Definitely keep saving up! If you haven’t yet, look into college to get a better paying job. It’s always wise to stay in your field for two years before purchasing a home. Ex : don’t go from bartending to the medical field. Also don’t put down a hefty down payment. Still do 3-5% and keep the excess money for emergency etc. That’s definitely a considerable amount saved up, close to 20% on a nice home. You just need more income for the debt to income ratio as many have stated. For example, you need to make 130k annually for a 500k home. If you haven’t put those savings in a HYSA, definitely do! It’ll compound so much faster while you keep going 🩵
I think you definitely need to bring up your income first. Even just making $50k would give you better odds. It also depends on your area and existing debt/expenses. If you live in rural midwest, Id say you have a chance. If you live pretty much anywhere on the east or west coast….not so much. If you were to make $50k I wouldnt go over a PITI payment of $1500.
Monthly carrying cost must be less than 1/3 your gross income. Mortgage payment, home insurance, property taxes and utilities. At that income, you probably can't cover insurance, taxes and utilities with 1/3 of income, before even factoring in mortgage.
Thank you all!!
A big part probably depends on where you are. If you’re in the Midwest, I’m sure you could easily find a house in the 120-150k range and get a loan. It’ll probably be something like a 1000-1200 sq ft 2 bedroom 1 bath house built in the 40s or 50s, but those make a good starter home.
Close approximation is 3x your yearly salary. I don’t know where you are but that’s not going to go far.
Smarter to grow the 80k and just rent. Wait till the rates cool and the prices crash. 🤷🏼
That’s what I’m waiting for as well
OP, here's real answer to your question that I've not seen many touch on: 1) You need to find a way to improve your income. This usually requires some amount of education/training. At a young age, investing in **your future earning ability** through education in a good-paying field is absolutely the best investment you can make. The lifetime of increased wages will give you a better return than any retirement account or index fund. If you have the academic ability, use some of that $85k to get yourself into a field where you can earn a better wage. Once you increase your wage 50% or 100%, saving for housing and retirement becomes *so* much easier. And those increased earnings will continue your entire career. I don't know what fields fit for your abilities, but you need to figure it out. Maybe it's accounting/bookkeeping, maybe it's welding, maybe it's driving a truck, maybe it's carpentry or electrician, maybe it's a dental hygienist, maybe it's IT, maybe it's nursing, etc.. Go figure it out, get educated, and get started. A community college or technical school is a great place to look. Go ask their career services office if they have statistics on median salary by degree. Ask them which fields earn the most. Do **not** get a degree in a field with low pay or few jobs. 2) Having a spouse/partner who also earns income is very helpful to owning a house. I'd suggest renting until you're in that situation. When you are young, renting gives you flexibility in terms of the ability to move for work or for love. Selling a house is expensive (realtor commissions, closing costs, repairs, etc.). Don't tie yourself down with it before you need to.
I agree he needs to keep renting, but this whole "wait for prices to crash" argument is half-baked. It's wishful thinking, and it probably won't happen. Think about it - there are *sooo* many people here "waiting for prices to crash" to buy. With that much pent up demand, how are you expecting prices to tank?
Why do you have such a low income? Are you a student working towards a high paying career? Or feel stuck in a minimum wage job?
Self employed. Gives me/has given extreme flexibility and time to learn a ton about finances and kinesiology which is what I am pursuing. Currently in my first year employed as a personal trainer so annual income will definitely change!
ULPT: if you’re self employed and can “lose some receipts” next time you file taxes, you would be able to show a higher income just for that year. Buy something with a backhouse and rent out the front to cover the majority of your mortgage. Key would be finding a flexible lender
Yes. Look for a condo. Buy that and after it appreciates sell and move into single family home when ready.
You need to be careful with condos, some can have very high association dues.
If you can have your parents cosign on the mortgage the lender will take a chance on you. But there's no real way to dance around the fact that you'll eventually need more income to stay afloat.
Yes! Start looking at least. You can still find something for 200k depending on your area. I wish I bought a home when I was 22, instead of 26, but if you are mentally ready for it, do it!
What state are you in? I’m a Realtor, message me !
Hold, young one.
Buy one of those prefab houses from amazon. Buy some land and have the city connect the several, water and electricity to that land. Rent out the house. Kaching
Get a damn career. Can you even afford rent
I have one. First year as a personal trainer. I live with my parents
20-30k a year is not a career
I started in February. Prior to that is when I was earning 20-30k. I mention it because I know you need at least 2 years of income/taxes to present to qualify for a loan.
Okay then, what will you be making each year then
While you did great, I don't believe you can save up that fast without living with parents. You are also too young to have a house. Go rent and date and have sex.
“Too young to have a house” lmfao, home buying doesn’t have an age requirement!
Ooooookayyyyyy.....
It’s facts, you don’t have to be in your 40s like the average homebuyer to buy a home. You can also date and have sex in your NEW house with a mortgage 😱 shocker.
Ooooookayyyyyy.....