how do you come up with a down payment?
GraySaturday
Posts: 2,878
I'm interesting in knowing how you came up with a large sum of money for your home down payment. That is, if you own a home, and put down a down payment.. haha.
My husband and I have been discussing how things have changed in society, and how people used to get a lot of help from their parents, and get big signing bonuses and such.
We're at a loss as to how to come up with 40-50k. Its not like a year of saving would get us there, or even 10 years.. haha.
How did you do it?
My husband and I have been discussing how things have changed in society, and how people used to get a lot of help from their parents, and get big signing bonuses and such.
We're at a loss as to how to come up with 40-50k. Its not like a year of saving would get us there, or even 10 years.. haha.
How did you do it?
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My friend suggested that I donate my eggs. That seems like bad karma to me.. Tempting at a 10k fee, but I don't think you should do that if you're only doing it for money.
You're selling your unborn children if you do that. Somehow that seems gross.
Yeah I rather rent at that point, for sure.
There is a reason that's it is almost 10K to have it done, it's probably not easy.
Because we didn't have enough for the full down payment ($35k) we would either have to pay PMI (private mortgage insurance), added to each payment, or take out a 2nd mortgage at a higher rate (8%). So we did the latter - it worked out better financially - the mortgage person will crunch those numbers if you ask them to.
Well seriously, I'm fine with renting. the only problem is it's getting harder to find high quality apartments.
everyone I know who owns a house (in urban areas) by or in their 30s has rich parents who took care of the down payment or there was some other extenuating circumstance with inheritance or something. I don't know anyone of our generation who can actually just afford a downpayment. I don't know where you live, but it seems the only place one can afford a house in like the south or rural areas of the midwest, etc.
how can people have a good $40, $50 thousand saved? Between student loans, rent, etc., even people who make a good salary can barely get by.
I should make a thread about that, to see if anyone has gone through it, on the donation side.
I'm scared I'd get attacked though...
oh I meant to comment on the egg thing as well. I've considered this...but then you'd actually have a kid...with your dna and everything...running around out there somewhere. to each his own but I don't think I could do it.
When I got married I had 50k and she around 25k
Right now we manage to save $800 a month between the 2 of us
The ONLY thing better than a glass of beer is tea with Miss McGill
A protuberance of flesh above the waistband of a tight pair of trousers
Donating your eggs is very good karma imo - you are helping people who are not able to have children. I actually did it 3 times when times were hard and my daughter was young. It is not easy though and is very hard on your body to have to pump all those hormones into it. But for me it was worth it, both financially and the reward of hoping you helped someone have a child.
dont take it as an attack. take the information that matters/means something to you, and make those decisions for yourself.
people on here attack for anything
I think it would be a good idea actually to see what you come up with
I live in Chicago. The places we are looking at are around 250k give or take. Its hard because we're not looking at big places, I mean these are 1 bedrooms!
Its depressing, I mean I just took out 16k for my first year of Grad school in September and thats not even going to cover it all. I just don't want to have crazy loans, so I am trying to use loans and my own money. But I feel like I will never get ahead. Catch 22, I need school to get a great job, and I need loans to go to school..
argh!
A lot of the more creative financing programs are drying up in this nutty market but if you can get a referral to a reliable loan officer (ask friends or co-workers who they have used for their mortgage loans), they will be able to tell you what you qualify for.
We got very lucky and Greg's parents helped us out with the down payment. However, we're in the process of building a savings account back up so that we can move to a bigger house in a few years, (because who knows how much value our house will gain or lose in this market) so I feel your pain on saving money. (We blew through our savings during tight times when hubby first started his new job and initially had to take a pay cut.)
My husband is basically working a lot of overtime and putting a big chunk of it into into savings. We're currently putting away about $125 + each week in an ING savings account. It's not easy. We have one car (with a very low payment) and he just recently got a cell phone after sharing mine for the past 3 years. We do without a LOT of things that I would love to have and it's been a big adjustment to do that...because I grew up totally spoiled.
I'm going to start working about 3 days a week pretty soon and I'm trying to think of a way to bring in some extra cash from home (like something I could make and sell on etsy, for example).
Finally taking my advice about stripping
The ONLY thing better than a glass of beer is tea with Miss McGill
A protuberance of flesh above the waistband of a tight pair of trousers
Either way it is an investment, either in yourself with a house, or your future that is uncertain. You can take out of your retirement for a home purchase without penalty. (Unless you do a hardship withdrawl & for that you get dinged at 20%, but it might be worth it.)
and you can buy with 5% down if you have good credit
well perhaps you just need to enjoy renting for a while longer. really a house is just a "thing." as long as you have shelter over your head, you're all good.
In the Boston Area, you're looking at $350-$400K for a very small condo (most likely with no parking, that's separate).
Its not easy, but since mortgages are a little harder to get these days, you'll need something. Renting is just pissing your money away.
Yeah, I'm contemplating going back to school in 09 to become a teacher and the thought of taking out loans to pay for it makes me queasy... I'm stressing myself out about saving money/planning our life/whether or not we'll have another kid/what kind of career am I going to have?/where do we want to live when Annabelle starts school?
It seems like everything I want to do takes money, which we don't have enough of....and will we ever???!!!! This is my one major complaint about having a kid about 3 or 4 years before we'd planned to. I was hoping to have this stuff figured out!
But, I digress. The point is, I feel you on the catch 22 thing.
Exactly!!
yeah but do you really want to do that?
and still 5% of $350K is $17,500!
Honestly, if the down payment is keeping you from purchasing a house, talk to the mortgage officer at whichever bank you go to and they will try to help you find ways around it. After all, as long as you can make your payments, they want your business.
dont forget another 10k in closing costs
instead of paying rent? yes.
I know. It takes time to save up for the down payment. Set the goal and work hard to get there. It will happen.
Yeah, I start at Cheerleaders next week.
Cut out one dinner out a week, a few less new pairs of shoes and drink Sam's cola instead of Pepsi and you'll be staring at that white picket fence in no time.
Well, you already have a fan it sounds like. LOL!