Kara
Appearances
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
What's going on? My husband and I are looking for a home to buy, but we were wondering if it's financially smarter for us to buy a starter home within the next year or just save up for five years and buy our dream forever home.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
So starter would be under $250,000, maybe a three-bedroom, two-bathroom.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
Because we already have two kids, a three-year-old and a one-year-old. Are you all renting right now? We are renting. Okay. So our dream home would be around $400,000. And I guess in five years from now with appreciation value, $480,000. So it might take us more like six years.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
Yeah, so I'm not sure, but I am sure that we would be in there. I mean, I'm not sure of anything, but I would hope that we would be in there.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
So I'm 21, and my husband is 23. Oh, sweet.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
So I want to make the right choice.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
We are. So we paid off $32,000 left of our debt last year, and then we're one month shy of saving up our six-month emergency fund.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
Well, if it's $250,000, hopefully $50,000. Okay. But I saw a lot of nice homes in the $230,000 range, too. Okay. How long would it take you to save up $50,000? So... So my husband, he makes $110,000 gross, so it's $90,000 net. And our yearly bills, just like rent and electricity and gas, are around $30,000.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
So that's rent, electric, and gas. Okay, I'm talking all in, groceries, insurance. Really, $38,000.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
Okay. Yeah. And is that smarter than waiting these, I'm guessing- That's what I would do.
The Ramsey Show
Make Decisions Based on Guidelines, Not Headlines
Yeah, I've never moved before, so I was worried about, I don't know how much that costs.