I'm self employed in my late 30s and over the past several years I have managed to save up 56k in cash to buy a house. I have no other assets or debts, no kids, and live simply.
I've been adding to this nestegg at a rate of about 1.5-2k/mo. I'm currently renting an apartment for 625/month but expect the rent to raise soon to 700+. The local housing prices have gone up considerably in the past few years.
I've found a rather nice house I'm thinking of buying for around $60k. A well-off family member is offering to give me $10k to help with this. After the house purchase and closing I'd only have about 3k left in my bank account, and an additional 8k in a difficult to access emergency fund I'd rather not touch.
My thoughts are that taxes/insurance/water on the house will be much less than my rent, allowing me to save up faster and put money into a retirement fund. Also the house has a rentable room so if I get into financial trouble I could get some extra income.
Is this a good idea or would it be a terrible mistake?
Submitted April 02, 2018 at 05:48AM by arandomusernamehaha https://ift.tt/2GMCu73
