Quote:
Originally Posted by birdmanx1
My best recommendation is to go with at least 12 months of living expenses. The best advice I can give you is to live like a college student for the next 5 years after your graduation. In that timeframe your income will double and easily triple, you will get more out of your dollar (less charges, no children, no mortgage...) If you get used to leaving not just beneath but way beneath your means anything extra should easily go towards retirement, IRA/mutual funds accounts, stock brokerage accounts, emergency funds, and other investment activities. Automation is your friend.
Don't rush to buy a house for the sake of buying one; my personal rule for the mortgage is that it should be less than 28% of your biweekly paycheck and always count your income not that your spouse/GF/parents. Don't listen to real estate sales people, they have the worst financial ethic, (trust me I know a few and the kind of interests they are paying on their own home) Living way under your means gives you piece of mind and ensures you to save for what's more important long term all the while giving you rooms for personal trips all over the world  |
Outside of the Z, I live a pretty conservative lifestyle (spending wise) compared to most college kids and I don't see that changing really, it's just how I am. Obviously I'd have to find out where I will be working and what my salary will before I decide. If we were to get the same house we were aiming for last year (or at least similar price), the mortagage is only a few hundred more per month than what my parents are paying for rent. That's what really annoys them most and why they want to buy a house ASAP. They can afford one, but just couldn't get approved for the loan.