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Rising Star
I think 5x your salary will make you house poor. I’ve also read from other posts that new construction does not mean good quality, due to supplies and labor shortages, among other things.
Thx ☺️
I’m not sure if everyone responding understands housing and rent costs in NYC. You can afford this.
Yes. Way too much. Even with no debt. You’ll be ‘house poor’
Tyty!
Don’t get all this house poor crap - work out the monthlies and see how this rolls into your take home
If you have a comfortable buffer every month do it. You’re putting money into your own asset and not pissing it away on rent (which will probably be more than the mortgage in the first place - I’m in London though so might be different).
Rising Star
If you don't own in a fancy building full of amenities it can be much cheaper. I owned a condo apartment in a nice part of Brooklyn - no doorman, no gym, only common areas were a roof deck and basement bike storage. Common fees were something like $75/month. Most of that other stuff is a waste of money anyway.
Pro
Are you new to NYC or the job is new?
Either way, live in a way that you can enjoy what the city has to offer. House poor ain’t that. Esp if you’re working long hours, you need to be able to throw money at problems and more premium leisure
Both. Would you recommend renting first? Just don’t wanna miss out on the rate.
Probably better of renting for a bit and getting used to the new job and city. Plus a year from now you’ll have a better idea where you want to live.
What would be a reasonable amount for this kind of income?
I personally wouldn’t feel comfortable going over $800k but that’s somewhere without a HOA, so it would likely be even less for NYC.
Since you're new to NYC would highly recommend that you read up on it. Very different market than others (source: been living here for a few years after moving from the Midwest).
General rule of thumb is to take your annual comp and divide by 40. Apartment complexes use this to determine whether you can afford rent in their building (note that some use 50 instead). Would also suggest that you don't use your all-in and just use your base for this calculation since
Regardless of whether you choose to rent or buy, be prepared to drop a check and sign paperwork same day
If they're trying to determine if it's too much, they can compare piti vs rent. Not seeing how it's not relevant
How many bedrooms? If necessary, rent the other rooms until you think you can afford it on your own. This way someone else is helping pay the mortgage
I think this is totally fine, assuming you expect upward comp trajectory. On average you should net 9k or so per month on 210 - so a total housing cost of 4.5-5k is reasonable.
Ty! That’s exactly what I’m looking at.
I would definitely rent for a year. It’s a lot more expensive to live here than people realize. Also: your maintenance on a $1m unit is going to be nothing to sneeze at. So, make sure you’re including that in any calculations.
As a point of perspective: I’ve lived here for 17 years and make more than you and would absolutely not buy a $1m apartment.
Jhup
Just calculate your interest payments over 5 years and see what it is really costing you. Either way 20% down is great, new builds often need more money put in, driveway, garage, deck, pool etc. I'd be buying a nice 10yr old house for less if you can find it. Then you have for free money later