Wondering what to do in my situation.
I am currently in last year of residency with contract signed moving to mid size city next July
Debts- 160k of Mine at 6.8% on the pslf program with wife having debt of 140k
Savings- right now not much- 5k, planned to have 10k for moving expenses new location start up etc etc by next year
Income - Next year income- contract stipulates guaranteed for 2 years at 255k. wife not working
costs - no kids planned, taxes will be about 67k or so, and ill pay 20k in student loans for both of us
So I know a lot of doctors move within first 2 years. Which is better- to buy a cheap home that I can potentially sell at a loss equal to the money spent on rent or just renting?
What would be a reasonable budget with our circumstances? We want to live in the city so we know things will be a bit more expensive. My wife says she does not want to live in an apt/home thats similar to our current 700/mo rental - think of your very standard run of the mill apt
Our targeted budget for rental was bw 1800-2500. Which potentially is doable to get what we want.
However, for properties that we can live in we were looking at about 300-450 for a home to purchase. W zero down it looks like we'd pay anywhere from 2500-4000 a month.
Eg, the home we are currently looking at is 399k and would put us at 3000/mo including an 400 HOA/mo fee w only 10k down.
So questions:
1. I'm trying to figure out - is it ok to spend that much since its an "investment" of sorts- such that even if we have to leave quick we could sell it at a loss and still come out better than renting at 2000-2500k a month where its all gone?
2. Is our rental range too high? This is going to be tough since we want a certain lifestyle- living downtown in safe area so we can walk everywhere (only 1 car), along with a better property
3. Does it ever make sense to buy a home if its cheap enough to sell quickly in 2 years? How do I calculate this amount?
anything else you can add!!
I've been mulling over this for at least 2 months now and can't figure it out.
I am currently in last year of residency with contract signed moving to mid size city next July
Debts- 160k of Mine at 6.8% on the pslf program with wife having debt of 140k
Savings- right now not much- 5k, planned to have 10k for moving expenses new location start up etc etc by next year
Income - Next year income- contract stipulates guaranteed for 2 years at 255k. wife not working
costs - no kids planned, taxes will be about 67k or so, and ill pay 20k in student loans for both of us
So I know a lot of doctors move within first 2 years. Which is better- to buy a cheap home that I can potentially sell at a loss equal to the money spent on rent or just renting?
What would be a reasonable budget with our circumstances? We want to live in the city so we know things will be a bit more expensive. My wife says she does not want to live in an apt/home thats similar to our current 700/mo rental - think of your very standard run of the mill apt
Our targeted budget for rental was bw 1800-2500. Which potentially is doable to get what we want.
However, for properties that we can live in we were looking at about 300-450 for a home to purchase. W zero down it looks like we'd pay anywhere from 2500-4000 a month.
Eg, the home we are currently looking at is 399k and would put us at 3000/mo including an 400 HOA/mo fee w only 10k down.
So questions:
1. I'm trying to figure out - is it ok to spend that much since its an "investment" of sorts- such that even if we have to leave quick we could sell it at a loss and still come out better than renting at 2000-2500k a month where its all gone?
2. Is our rental range too high? This is going to be tough since we want a certain lifestyle- living downtown in safe area so we can walk everywhere (only 1 car), along with a better property
3. Does it ever make sense to buy a home if its cheap enough to sell quickly in 2 years? How do I calculate this amount?
anything else you can add!!
I've been mulling over this for at least 2 months now and can't figure it out.
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