At some point in the near future, I would like to buy my first house. I currently make about $90k per year. My current rent is $1220 per month.
Hopefully I can properly convey the thoughts I'm having about housing prices here and when to buy. The area where I live and work has been seeing massive growth for the past couple of years. This means that housing prices have risen 10-12% in most areas around in just the past year alone. The average home price is around $330k, and due to the growth that average price isn't for a particularly great house.
With that rate of housing price increase, housing prices are increasing at least as fast as I can save for a down payment. If it continues increasing like it is, by the time I save the $60k or so I save for a down payment, the same house will cost about $60k more than it does right now.
Assuming it continues to increase as it has, am I really much better off saving a big down payment? It would seem like I'm going to wait a couple of years, be able to buy the same house, get the same size mortgage, but lose that $60k, and be those two years behind in home appreciation.
I should qualify for a VA loan (through my wife), if that makes much difference. I don't want to be reckless and buy a house too early, but the rising housing costs make me worry that I'll be worse off waiting than I am now.
Any advice on things I maybe haven't considered, or if I'm thinking about this wrong? Thanks.
Submitted March 21, 2018 at 07:13PM by FrankFrowns http://ift.tt/2GeP8M4
