Thursday, 29 August 2019

Millennial Homebuyer's Guide...................from Rico

Rent or buy?
 
First off, if you don't have at least 10% (20% is better) to put down on a home purchase you're NOT a home buyer.
- End of discussion. Go directly 'to Rent or Not to Rent, for that is the bare bodkin.'
 
RENT?
You can think about moving out of the parental unit's free basement and renting, providing:
- Rent does not exceed 30% of your gross income.
 
BUY?
Don't even think about it Sparky if:
- The total cost of the house exceeds 30% of your take home pay. [Don't forget: closing costs, taxes, perhaps PMI, utilities, plus furnishing the place].
- Your FICO is below 620.
- Your current payments exceed 43% of your gross income (this is called debt-to-income ratio).
- Any of the above = Keep Renting and/or HOPE that Mom & Dad don't throw your ass out for being a deadbeat or member of Antifa.
 
HOPE isn't much of a plan.
- Never was...



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