Related Posts
More Posts
MBB nyc: kellogg, booth, tuck
Additional Posts in First Time Home Buyer
New to Fishbowl?
Download the Fishbowl app to
unlock all discussions on Fishbowl.
unlock all discussions on Fishbowl.
MBB nyc: kellogg, booth, tuck
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Download the Fishbowl app to unlock all discussions on Fishbowl.
Copy and paste embed code on your site

Scan your QR code to download
Fishbowl app on your mobile

So do you have 50k liquid cash? Your question is tough to decipher. Are you going to buy a 1mil house or do you have the option to get a cheaper one . What's the goal here ?
Lot of factors to discuss here.. Talk to a lender that can walk you through the numbers and such. Are you just throwing out $1m, or are you looking at one? Depending on where you’re looking to buy / how many units, you may not be able to get an FHA loan for that amount. Feel free to DM me w any questions.
How much do you spend/save per month? Budgeting could be 90% of your problem. I use mint.com to track my spending. I also avoid expensive cars and jewelry.
Agree with Mint. And it’s free. The trending option is very helpful once you have all your accounts/cards connected
How much are you willing and able to pay per month to cover principal, interest, tax, insurance and HOA? With just 5% down, you may pay up to $7k a month on your mortgage for PITIH. Can you afford to do that without stretching yourself pretty thin? Do you have enough emergency savings to cover a rainy day? Is your current job stable? The rule of thumb I have heard is to not spend more than 28% gross income monthly or 25% net income monthly (more aggressive) on PITIH. Have you considered purchasing a home that is maybe cheaper, i.e., in the $700k to $800k range instead. Still quite expensive but gives you some room to breath.
just to confirm - when you say you have enough for 5% down for a $1M home - are you considering closing costs as well? because your cash to close will likely be at least ~$75k.
another thing to note - and i’m not a real estate professional or in the mortgage industry - but I’m pretty sure this would definitely qualify as a “jumbo loan” which will introduce additional complications / factors to consider as well.
my recommendation would be to look at a lower price target, if you can. or take some more time to continue saving.
On income numbers like you’re mentioning, a house is a sensible use of that money. Typically the financing numbers will look better and better with a high money down payment. Up to you but many people will get a house as soon as their income level is high enough and they clear the minimum amount required for a down payment on the property they decide they want