Hola, i found MMM sometime last year, and have been reading and saving since. This is my first post and im hoping for some helpfull advice from you smart forumpeople :)
My numbers and situation:
Life situation: Married, both 30, with a 2yr old, and want more children in the future. M/HCOL area
Monthly numbers:
Income:
5,800 combined
Expenses:
Rent: 810
Daycare: 400
Groceries: 350
Transportation: 190
Cell phone: 60
Entertainment: 50
Clothing/equipment: 100
Travel: 100
Work related: 100
Gifts: 100
Misc: 60
Total: 2,320
Assets:
Savings: 12,800
Brokerage: 41,000
Total: 53,800
Liabilities:
Student loans: 34,000 @ 3%
Im not including retirement savings.
I feel the expenses are low, but sustainable. Anything obvious that sticks out?
We could both work more, OT/sidehustle and bring in more money, but the focus for now is healthy work/life balance,.
The rent we pay now is way below market, lease is up in 6 months, and we will be moving, transportation could be cut to zero if we find something close to work and ditch the car, rent will go up though.
NYT-calc is not really helpfull, its 50-50.
Houses range from super-low end 200,000 (small and requires work, car commute) - 800,000+.
Newish 2-3br apartments is around 350,000 in walkable nabourhoods, rents for 1,200-1,500 if you can find one, not a lot available for rent in the area.
We have thought about buying a duplex, and rent out one part to my mother in-law, but not sure I want to deal with all that brings. And a duplex is not cheap, so i dont even know how/if we could finance something like that, cost is probably 400,000+ and a decent amount of work.
I cant see myself renting for 10 years, 5 years maybe, but the plan was always to buy a house, im not sure on the timing though, our options are also limited in this market.
3-4-500,000 for a house/apartment in my town is absolutely crazy, but so is 1,400/month in rent.
Specific questions:
What would you be comfortable paying for housing?
What would you do in our shoes?