Can I buy a house in ten years?
I plan on saving money for ten years and then buying a house. I want to at least save
$80,000. Put a good down payment on it. Im thinking about a house no more then $150,000.
- Raymond L.Lv 52 months ago
However 150,000$ for a house???obviously this place is nowhere near portland Oregon.
- 2 months ago
Yes, you can definitely save money from current earnings. But what if you opt for earning more and then improving the ratio of savings could help you in buying the house probably in 6 years.
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- Christin KLv 72 months ago
If you have $80K in ten years and want a house that costs around $150K that's a very good down payment, though I would not put that much down myself. You don't have to put down more than around 20-25% of the purchase price, and you will need to have cash money for the closing or any repairs you need to make, the inspections, and the fees. But in ten years, you have no idea whether or not you will be able to do this--so that does seem like a lot of planning right now.
So much can change in that time.
- garryLv 52 months ago
better of buying it now with a loan for the full amount , reason is interest is low now , in 10 years time the rate will have increase , would rather keep the $80,000 now and pay it off with the $150,000 , see a financial adviser first , could be better now as 10 years time houses have to get dearer ..its a hard choice but buying now could save you money .
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- SlumlordLv 72 months ago
Kinda obvious question but why don't you just save the 3.5% downpayment and get a house now with a FHA loan? Then you can spend the next 10 years paying down the mortgage and you also get any appreciation in the property and no rent payments either.
But in answer to your actual question, if you are able to save 80k in the next 10 years, then I assume you'll have to trouble qualifying for a loan to get a 150k house at that time.
- linkus86Lv 72 months ago
It is possible, but a really bad plan to wait any longer than necessary. Why? Because the price of real estate will likely rise faster than you can save. So that $150k house you have your eye on today will cost anywhere from $200k to $250k in 10 years. So I am willing to bet you have a plan on how to save that $80k, but not the additional 50-100k in the same time period. Thus the smarter approach would be to buy a less expensive house sooner, so that you could sell it and afford the more expensive house 10 years from now. When you own real estate you gain wealth simply by owning (most of the time). Of course this is all aside from wasting your money on rent too.
- Ron AkiaLv 72 months ago
You not only will be able to buy a house in ten years following your projected guideline, you should also be able to comfortably afford one in much less time with only 1/2 of your suggested down payment. I would purchase one as soon as I could afford it as you've left inflation out of your factor. That $150K house could cost you well over $200K in ten years.
- D.E.B.S.Lv 72 months ago
There are many factors when buying a house. Down payment is a big one. 50% loan to value is very good. Most people struggle to get 20% down.
You also need to prove your past trustworthiness (credit score) and that you have enough income to make payments. You're saving, on average, $650/mo to get to $80k. Assuming you pay rent now plus that $650 says that you have a decent income to support this now. Most people's pay increases over time which will be important as well since inflation, just not on houses, will eat into you current income.
10 years is a very long term goal for something like this. We don't know your entire situation, but in general there is no reason to wait 10 years if you're saving in a straight line. Even with $40k you'd have a 25% down payment on a $150k place which is typically plenty.
- Anonymous2 months ago
How many 75k houses are there where you live? Because today's 75k house is going to cost 150k in ten years.
Yes, you probably can buy a house with 80k saved up in ten years, but why would you want to wait that long?
- ?Lv 52 months ago
Pack a lunch for work, drink water. I can't believe how much money my co-workers spend on fast food & energy drinks every day. I was able to save $20k last year.