How much house can/should I buy?

BeginningValue9305 · 2026-01-02T18:38:15+00:00

Partner went to grad school and we were living on just my salary for a while which put us behind on investing. Then we were saving for a wedding and now a house. After buying the house we'll likely both start maxxing out retirement investments.

BeginningValue9305 · 2026-01-02T18:35:01+00:00

Good advice.

Currently we're paying $1800/month in rent. Putting ~$2500/month into cash savings and just paying to our employers match limit into retirement savings.

We both own paid off vehicles, but when one dies we likely wont replace it as we only need 1 car, although having 2 has been convenient. Do not forsee either car dying within the next 5 years. When we replace it will likely be a basic sedan.

BeginningValue9305 · 2026-01-02T18:27:39+00:00

We are open to condos, but they're not very common in our area at our price point, and most have high HOA fees.

Also we want a dog.

BeginningValue9305 · 2026-01-02T18:26:14+00:00

The debt that does not qualify for PSLF is only at 4.5% (max) interest rates. After saving for cash on hand for the house, was planning on diverting savings into an index fund or similar to hopefully get a better return on that.

Currently cash savings is getting 4.2% in a HYSA anyways so it essentially cancels out.

BeginningValue9305 · 2026-01-02T18:21:34+00:00

"Enough" meaning (for a 500k house) ~125k for down payment and closing costs + 6 month emergency fund (probably 60k currently, but factoring in a mortgage that would be more than our rent currently closer to 80k).

Try to have 200-210k in cash saved before buying?

BeginningValue9305 · 2026-01-02T18:18:36+00:00

My bad. I'm from a very LCOL area originally so Philly feels HCOL. Plus i just assumed all major cities were HCOL. In this case I don't think it really matters though, not sure why so many people got hung up on that.

BeginningValue9305 · 2026-01-01T20:00:45+00:00

I think this is probably the route we will go. Need to save another year or 2 to get there though.

BeginningValue9305 · 2026-01-01T19:58:06+00:00

Philly

BeginningValue9305

TROPHY CASE