Hello everyone,
My partner and I have been casually looking at houses for about a year and stumbled upon a new subdivision that is being built that we really liked. All brand new energy efficient homes, not too big, great location for our commutes, etc. The problem is staring the numbers in the face is kind of freaking us out. I was hoping to get a second pair of eyes on the financials and see if we're over-reacting.
Our numbers
- Partners income: $117k (not including bonuses, they made $130k total)
- My income: $92k (not including bonuses, I made $110k total)
- Combined gross income ~16,000/month
- We both currently max out 401k, rIRA, and I max out my HSA. They're on an FSA plan
- Liquid cash of $197k split between two brokerages, two savings accounts, and two checking accounts
- High 700's low 800's credit scores
- $778/month in debt (student loans)
- $300 car payment
- ~$2500 per month in total living expenses without rent(food/gas/purchases/etc)
- no other debt
- In total we net $9,600 after tax/investments and pay $3,578 in expenses
The house: There are options here as it's not just one house we could pick so these are a bit rough
- ~$450,000 price
- We'd like to do $50k down payment but can flex
- HOA: $125/month
- Property taxes ~2.78% on assessed value, ~$1040/month (this is a big part of what scares us)
- home insurance: $150/month (estimate)
- $15,000 in closing costs (estimate)
- In total we're looking at around $3,000 per month in total housing costs
We're both as stable in our jobs as you can be now a-days but we're pretty scared of being house broke. Currently we pay $2000 per month in rent/utilities so it would be $1000 more in housing expenses.
Thoughts? Are we over-reaching? Over reacting? I've read every mortgage/rule of 28 post I can find but am having a hard time shaking this feeling.
Appreciate the help.
Submitted January 17, 2019 at 07:55AM by HeinousJameis http://bit.ly/2DeZAAC
