Author Topic: Current Financial Situation HELP  (Read 2122 times)

auzzman

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Current Financial Situation HELP
« on: July 25, 2013, 06:27:05 PM »
Hello friends, I'm very new to this site, and so far haven't been able to pull myself away from it.

I'm a recent college grad with a great job in my field pulling 48k a year before taxes.
I currently have 2 student loans totaling 29k. Not too terrible, but not something I enjoy looking at either!

Other than standard living expenses, these student loans are my only expense, and I do everything in my power to live
a solid mustachian lifestyle. I grew up in the construction trade, plumbing specifically, but I consider myself able to do it all
when it comes to fixing/building (sometimes with a little help of course). I take advantage of my companies 401k matching,
and have about 2400 in savings, no credit card debt or car payment. I feel that home prices are going to continue to rise as they have been in my area (very near Mr. mustache), and I REALLY want to buy a house/condo/something. Fixer upper, duplex etc. My goal is to
own several rental properties, and I will save and live frugally until I have the cash to make that first property happen.

Question: should I focus more on eliminating my student debt before purchasing a home? Even if I feel that I could purchase
this home, rent a room to a buddy, and have the expenses be around the same if not less than I currently pay in rent?

Thank you for any responses!


SunshineGirl

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Re: Current Financial Situation HELP
« Reply #1 on: July 25, 2013, 06:31:48 PM »
Welcome!

What is the interest rate you pay on your loans? And how likely are you to stay in the city in which you currently live? 

2unwind

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Re: Current Financial Situation HELP
« Reply #2 on: July 25, 2013, 07:32:21 PM »
Save at least 20% and buy the fixer upper.   You young ones have no idea how rare it is to have record low interest rates and a bottom of the barrel housing market.   You'll be pleasantly surprised if you buy at this down market and ride it up over the next 10 years. 

auzzman

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Re: Current Financial Situation HELP
« Reply #3 on: July 25, 2013, 09:46:32 PM »
Welcome!

What is the interest rate you pay on your loans? And how likely are you to stay in the city in which you currently live?

The loans vary from 6.5% down to 2.5%, I plan on staying put for quite a while