{ "media_type": "text", "post_content": "Interested in your thoughts. My SO and I (both 33) are saving up to buy a house in a high COL area. We have about $350k saved in cash and about $140k in 401k/IRA. However we are still sitting on $187k in student loan debt (with about a 3.95% interest rate). I’m inclined to pay off the debt before buying a house but SO disagrees. Thoughts? We have a 2 bedroom condo now (about $325k left on mortgage). Combined income is $300k - $330k. Any advice is appreciated!", "post_id": "5ef122528fe8ba00287a411c", "reply_count": 30, "vote_count": 5, "bowl_id": "59064a3cb12379001006592c", "bowl_name": "Personal Investment Chatter" }

Interested in your thoughts. My SO and I (both 33) are saving up to buy a house in a high COL area. We have about $350k saved in cash and about $140k in 401k/IRA. However we are still sitting on $187k in student loan debt (with about a 3.95% interest rate). I’m inclined to pay off the debt before buying a house but SO disagrees. Thoughts? We have a 2 bedroom condo now (about $325k left on mortgage). Combined income is $300k - $330k. Any advice is appreciated!

like
Posting as :
works at
You are currently posting as works at
Highlighted IconHIGHLIGHTED

You have $350k cash and a great annual income and only need $200-250k to put down on your house. No need to wait IMO. You could pay off half your loans if it makes you feel better (and if you aren't going to invest it makes more sense to save 4% interest than hoarding cash earning 1%) but unless both of your jobs are at risk no need to be ultra conservative and pay them off fully. If your current living situation isn't adequate for your young family that might be more important than it being the best possible financial answer (which would arguably be not buying a new house or paying down debt but rather investing it all).

like

Thanks for your advice!

I would pay off the loans and then see if you can refinance your mortgage on your condo to reduce your monthly payment and start the savings clock again - or ask your bank how much liquidity they’d like to see if you want to keep your condo and purchase another place. Since rates are so low, I don’t think it’s the worst thing in the world to have a smaller down payment especially in a HCOL. Get rid of the student loan debt - they will follow you around forever!

like

Thanks for your advice!

Recent IconRecent

What market are you looking for a home? If the mortgage on the difference is less than the loan you should pay off the loan.

like

Bay Area

We have a toddler and the condo is getting a bit cramped...

like

At your combined income what’s your savings rate? How much are you trying to put down on a new house? Why so much of your net worth in cash? What’s your credit rating? Do you have kids? I think it’s possible you do both. Pay down some student loans and buy a new place. But lots of personal factors at play. Might be helpful to have some more info.

Such great advice, thank you so much!!

You need the cash

So you’d recommend not paying off the loans right away?

How much is the house going to be and how does the mortgage compare to your rent? You have to compare cash flow pre and post house imo.

We are hoping to find a house between $900k-$1M. We haven’t been seriously looking given our student loan debt and hoping the housing market gets better for buyers. We are hoping to get $2200-$2500 a month in rent for our condo - that’s about average for our area

like

Related Posts

Anybody from GE Healthcare digital experience team? How is the job security and work life balance?pls share your opinion and thoughts

like
like

Any opportunity for a MD with Healthcare and Life Sciences Management Consulting & industry experience within this MS vertical? Majority of experience in business development and alliance management within precision medicine and real world data analytics working directly with pharma companies. Look forward to hearing back.

like

Hello Fish, Give some feedback on LogicMonitor (SaaS product company), how is the work culture and employee benefits?

Hey y’all. Does RSMs 401k plan allow after tax contributions and in-service withdrawals? Anyone doing mega back door ira?

What is the future value proposition of the 401k Advisor in your opinion?

like

Fastest growing practice area within healthcare law?

like

So how are people supposed to retire when 20% of a port cna disappear in less than a month lol

like

Do you calculate 401k, HSA, and Roth IRA into net worth? I feel like if you do you need to account for taxes for 401k and IRA?

like

What are the benefits that ey gds has as compared to deloitte ? Like in deloitte we have smartphone policy, well being subsidy, internet bill reimbursement, hybrid home office setup etc etc.. what do we have in EY GDS ?

like

Folks anyone know what's the reimbursement for wfh setup in the firm?

like

Anyone know of companies in LA that offer tuition reimbursement?

like

About to retire and planing to downsize. My home is now worth ~4m and its outrageous to think that realtors would charge me 6% in fees ~$240k. Should I list by owner? Can I negotiate down realtor fees?

likefunny

What have been the benefits of taking a career break? I’m afraid I’ll be left behind if I do.

like

When did you retire/do you plan to retire? What did you make sure to have in place first? Any advice to the next generation?

like

PwC folks - where do I find my 401k account number? I joined a couple of months back and what to rollover my 401k from a previous employer. Couldn't locate on benefits express

like

Which Big4 is better in terms of benefits ? Considering the mobility, leaves, insurance and WLB. Who has the longest paternity leave ?

When submitting your taxes, do you share how much you pay for HOA? Is there a form to fill out or do we get any type of reimbursement for paying HOA?

like

How much is the internet reimbursement?

like

Hi, Does HSBC HDPI reimburse monthly internet expenses? What are all the perks and benefits HSBC HDPI offers?

like

Additional Posts

Is BigLaw for 1-2 years worth it to pay off some debt/save up some money?

like

Any horror stories when reneging a signed offer?

like

any CAMS (anti money laundering)cert holders? what was your study plan like?

like

I’m debating so much on whether to go to a small no growth public company in order to get industry experience and potentially come back under FDD/consulting. Its so difficult to decide as I’m afraid of pigeonholing myself

likehelpful

Give feedback! Get feedback! Join Book Review, the #1 bowl to get strangers' opinions on the fruit of your blood, sweat, and tears. Invite code: atpcu

like

I work at an agency doing mostly digital display advertising. I work really closely with a specific partner and realized working in that platform and doing that work is what I like to do best/find the most challenging in a good way. Is it considered bad practice to apply for a job with this partner when my company’s currently work at is working directly with them?

like

I like to eat dinner before 630pm (old soul). Anyone that works from home mostly have a good system to get dinner prepared and ready by 6ish while balancing EOD work tasks (assuming no major EOD meetings on a good day)?

like

I'm working on a pitch deck, for an event that I'm planning next year for my wine brand called OBA, but I'm struggling to come up with sponsorship ideas. I don't want to go the traditional route of creating tiers, because I feel like you should do most of the things in tiers regardless on how much they donated. Can anyone assist with coming up with some ideas? Also, does anyone know how to create a virtual swag bag? Thanks in advance.

like

Junior from previous organization hired as senior Consultant in D******* and here I am at Consultant level with milestone engraved with 2022. Time to leave uncle D.

like
like

Our day has come! Props to you, father fishies.

like

Currently interviewing with Infosys - 2 interviews down. Mainly marketing/digital background. Close to graduating with my MBA - looking to make the switch into consulting. Would be a senior consultant role. Any idea on the salary range? How much I can negotiate? Thanks!

likehelpful

Torn between being in a practice I hate and joining a competitor firm in another practice where I’m not sure if I’ll like or hate-any suggestions?

like

Can anyone recommend recruiters for NYC area?

like

Has anyone had success stories of working for a successful start up?

like

People that have transferred their work cell to personal, what plan did you convert to?

like

What makes a staff a poor performer?

like

Hi team I recently got approached by a HR from Mars for a role based out of Germany. However, it seemed that she wasn't aware that I am an international candidate applying for the role even though my location was specified clearly in the application process. Does anyone know if Mars recruits non eu candidates ? The role really fits my skillsets and it would be a pity if they do not go ahead with the process just because I am a non-eu candidate.

Looking to return to singapore from the us. Spent the last 10 years consulting in the us - 4 with ibm and 6 with slalom. Any tips on which firms to target or avoid, based on prospects and culture?

like

Anyone ever think about getting IQ tested? Serious question just to find out. Or is it too douche and/or highly unnecessary.

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
Download Fishbowl to see what others are saying
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the Fishbowl app

Get realtime notifications and see
what's happening in your industry
from the palm of your hand.

For account settings, visit Fishbowl on Desktop Browser or

General

Legal