would you buy or wait?

**kattails** · 08-01-2009, 08:48 AM

DH and I moved into a tiny singlewide trailer at the beginning of the year to be able to save more for a house. the original plan was to live here for 2 years and save, save, save, then buy a house in 2011. we would have the 20% down for a $65,000 house by summer 2010, it might not be our "dream" house but it would be ours nonetheless and I would get away from the house we are currently living in that I hate. my question is...would you stay for another 2 years or go ahead and buy next summer?

**Karen1** · 08-01-2009, 08:56 AM

you are itching to move forward! LOL---I know that feeling!

BUT if you can wait it out, more MONEY would be best, cause the minute you move into that new home, YOU are going to want to change things, maybe build a better porch, or fix this or that or buy this for the new home, new carpet?, new appliance? new paint, new towels to match the bathrooms...LOL

that type of thing

and it is best to have money to do all those things....so waiting a tad wouldn't hurt if you can do it.

but if financially you can handle moving faster and you really, really want to do it, then just go for it!!!

There is no right or wrong way to handle this---it is what you are comfortable with at the time.

**Grainlady** · 08-01-2009, 09:33 AM

We purchased and lived in a used 10'x50' moble home while hubby went through college, so I'm familiar with the less-than-ideal situation. New curtains and a bit of paint helped improve it.

I guess I've always had the philosphy "home" is where your stuff is; and I'd be inclined to suck-it-up until we were debt free and had an emergency fund, as well as the downpayment, before buying a home. But with some of the first-time buyer incentives being offered, and a slew of foreclosures, I might weigh the timing of purchase to include those variables as well.

As Dave Ramsey says, you want the home to be a blessing, not a curse, if you aren't financially ready to make the big step of home ownership.

**Debbie-cat** · 08-01-2009, 09:45 AM

When I was first married eons ago, we did the same thing. Had a small crappy apartment until we had enough for a down payment.

It worked.

I would say tough it out for another 2 years. It is not the building that makes a home, it is the love inside. If you wait and have a solid down payment, you will be able to find the right deal and have the money. You will be happier in the long run..trust me.

**craftypam** · 08-01-2009, 05:36 PM

I would say look and see what you can get for the price. Sit down with your finances and see if you can afford the prices you are seeing. I agree with foreclosures you might be able to find something you can afford. The houses here have been selling for over $100,000. The house across the street has been empty from foreclosure since December 2007. It was just listed for $49,900. When we moved into our first house a long time ago there were alot of things that we wanted to do; unless it is a necessity it can wait. If you can have that attitude you will do fine if you can afford the house. There is amortization program or you can get a book. You can look up exactly what the cost of the house and the interest rate and get the exact payment and then you need to find out what taxes and ins will be. We struggled when we bought our first house. Best thing we ever did. 13 years later we put half down on this house and now it is paid off.

**MommyBliss** · 08-01-2009, 09:13 PM

I would wait. Hubby and I are kind of in the same situation and we are going to wait for 3 years. Hold on there, in the end you will put yourselves financially ahead.

**frugalfranny** · 08-02-2009, 01:55 AM

On the limited info you gave I would ask........can you afford to move? What are some of the homes (that would 'work' for you) going for in your area? What can you get with the money you have now and the incentives that are currently being offered? Will a payment overload your budget?

The more money you can save the better it will be for the payments but who knows what home prices will do..........go up I hope, for my sake.

**Jeanna** · 08-02-2009, 10:11 PM

My question would be what kind of house could you buy for $65k? I know that different parts of the country the prices vary a lot. Around here you couldn't hardly buy a used single wide for that. So my advice is to wait if at all possible. Buying a house is a big decision and none are perfect but settling just to get moved faster may make you more unhappy than you all ready are.

**2ndGenGranola** · 08-03-2009, 08:20 AM

Wait until you have the 20% down. You won't have PMI then and your house payments are going to be so much cheaper.

We are in a "cookie cutter" neighborhood. Other people who have "our house" but not the 20% down are paying $400-500 more a month.

**dean** · 08-03-2009, 08:54 AM

Crunch the numbers. If you can afford it, do it. If not wait another 1-2-or 3 years. What ever it takes. Remember, the more you pay down, the less you will owe and the less interest you will pay. Think with your head, not your heart. As deb said, Its the love that makes the home, not the structure.

**FrugalMomof3** · 08-03-2009, 09:54 AM

I would say wait a little bit longer even if not 2 years because having the 20% down will surely help keep your payments down and avoid PMI.

Also, think about the money needed for this and that as far as fixing things, water heater, boiler, stove, fridge...etc... these are things as a homeowner that we have to purchase if they break, while as a renter the landlord must fix or replace. Just an FYI is all.

**Greebo** · 08-03-2009, 12:21 PM

I would only buy earlier than planned if the home was one you could be very happy with, and then only with 20% down.

No sense spending a bunch of closing cost money on a house you don't really like, after all. Don't buy something just cause you can.

**Telephus44** · 08-03-2009, 12:49 PM

If you can find a house you like and can I afford, I don't see why you have to wait to have the magic 20% down. We bought a house last year with 10% down, the payment with insurance, taxes, PMI, extra expenses, etc. runs about $200 more than we were paying, but my marraige is way better, my stress level is much better, and I can't just explain how every single day I am grateful for my house. The caveats are that it has to be a house you love (not just "anything else that's not this dump) and you have to be able to afford it.

Yes, we could be in a better position financially. But I don't see the point in saving a little $$ every month to be miserable.

**Greebo** · 08-03-2009, 03:02 PM

The 20% down isn't just to avoid PMI, it's a solid benchmark test of financial preparedness to buy a house. With 20% equity, the housing market has to suffer seriously for you to be trapped underwater in a house you owe more on than it can sell for (not a happy place, trust me, I'm at 105% m'self). If I recall, also with 20% down, one can often get better rates, so the long AND short term pictures are improved as a result (lower monthly payment, much lower overall interest paid out).

Most importantly, it's a benchmark of financial self-restraint. If you can save up 20% while renting, it's proof that you can prepare for a solid, stable financial future.

But of course, to each their own.

**mombottoo** · 08-03-2009, 03:36 PM

I guess it would depend on if I could find a house within that price range that made me feel like it was meant to be mine. If you end up settling just because you want to move I think you will regret it...at least I know I would.

So, when you get your 20% saved go looking at houses and maybe one will speak to you...if that doesn't happen then continue saving and looking....