Speed Racer
Dryer sheet aficionado
- Joined
- Apr 19, 2020
- Messages
- 49
Being early on my journey to FIRE, (24 years old), one of the things I've thought about that could possibly greatly affect my net worth down the road is whether or not I should be saving for a house. I had saved up close to $10k before I lost my job last year and unemployment allowed me to maintain that and even increase it a little. I decided, you know what, if I'm buying a house, it won't be until next year and even then I don't know if I'll want to buy. So I put that into a brokerage and added a little bit to my position. Very risky, but even today my account is a few percentage points higher than when I put the money in.
I figure by this time next year I can have around $40,000 saved and that is obviously a pretty huge amount for my time horizon. It has me thinking I should maybe keep putting that in the market and rent while I more slowly save up to buy a house in 4-5 years. Buying a house has gotten really expensive the past couple years as well even though I live in a relatively LCOL area.
I suppose I could put down less than 20%, but PMI is just throwing money into the fire imo. Then again you could make that argument for renting, too.
What do you guys think?
I figure by this time next year I can have around $40,000 saved and that is obviously a pretty huge amount for my time horizon. It has me thinking I should maybe keep putting that in the market and rent while I more slowly save up to buy a house in 4-5 years. Buying a house has gotten really expensive the past couple years as well even though I live in a relatively LCOL area.
I suppose I could put down less than 20%, but PMI is just throwing money into the fire imo. Then again you could make that argument for renting, too.
What do you guys think?