02-28-2006, 11:31 PM
Isn't it insane how much the bank will give you for a house. Divide your preapproval by 2/3 and that is what you can afford.
But it won't be easy.
When I bought my first house I was in deep dudu
I had overspent on purchases for the house.
I had lived with mom and dad and partied like it was 1999 and spent that way, although i could afford it living rent free at home, but I kept it up after I moved out and that spelt trouble.
If your parents are willing to help, that would be a great push in the right direction. I was very fortunate that my parents gave me the financial push in the right direction.
I personally think you need the minimum 5% down plus another 10k to cover move in expenses and minimal furniture. For most, you need to have access to atleast 25k. You can use your RRSP as a first time home buyer, but for someone in your field who doesn't work for a huge company with a great retirement package, your going to have to rely on your own RRSP portfolio very heavily in the future. Touching that money now means it stops growing and sets you back 3 times as many years as your repayment schedule.
A house/condo is a great idea, but just because your life has significantly changed doesn't mean you have to go leaping into a house.
Start planning for it by saving and put yourself on a strict budget to gain 25k in the shortest peiod of time possible.
And keep in mind that you are unemployed.
But it won't be easy.
When I bought my first house I was in deep dudu
I had overspent on purchases for the house.
I had lived with mom and dad and partied like it was 1999 and spent that way, although i could afford it living rent free at home, but I kept it up after I moved out and that spelt trouble.
If your parents are willing to help, that would be a great push in the right direction. I was very fortunate that my parents gave me the financial push in the right direction.
I personally think you need the minimum 5% down plus another 10k to cover move in expenses and minimal furniture. For most, you need to have access to atleast 25k. You can use your RRSP as a first time home buyer, but for someone in your field who doesn't work for a huge company with a great retirement package, your going to have to rely on your own RRSP portfolio very heavily in the future. Touching that money now means it stops growing and sets you back 3 times as many years as your repayment schedule.
A house/condo is a great idea, but just because your life has significantly changed doesn't mean you have to go leaping into a house.
Start planning for it by saving and put yourself on a strict budget to gain 25k in the shortest peiod of time possible.
And keep in mind that you are unemployed.
TEAM PITA Don't settle for a wannabe, only accept the real deal.
One day I will rule the world. For now, I have to settle for this place.
One day I will rule the world. For now, I have to settle for this place.