All, I've come upon the rent vs buy point of my life. A little background: * I'm in my early 30s and currently rent with my significant other and we each pay $1100 a month for a one bedroom ($2200) in total. * My minimum pay is around $125k a year but this year I made $170K and next year I'll probably make $150k due to how my commission/bonus structure works ($150K is quoted as my average in the range but clearly going off the minimum is always the safest). * I have no debt and my newer car I own outright. * I have over $200k saved in investments/liquid funds (clearly this doesn't include my retirement fund which I max out)
A few details on my significant other: * Makes around $80-$90k a year * Has around $15k of credit card debt and $15k of student loans * Has a small safety net, but that's about it. * Working hard to pay off the debt
I've been debating buying. We aren't married, so clearly I will be the one buying and my significant other will be paying me rent (already discussed and agreed upon a 50/50 split of expenses).
I live in a mid to expensive city where most places I would want are around $500k for a newer 3 bed condo. I want 3 beds as I need a spare bedroom and and office. On a $500k place I can expect around $10k of property taxes and most likely $400 a month HOA.
In the area I'm looking at I don't think I'd lose any money but like most cities it's a toss up if I would make any when I come to sell it in 5-8 years (what I'm looking to stay for). Commute is the same so I'm not overly worried about that.
First, can I afford it? Second, does it make sense to buy?
Thanks!
Submitted March 09, 2019 at 09:31AM by uppercases https://ift.tt/2EPx73W
