For first time buyers, go for the cheapest house in the most expensive neighborhood you can afford. Your efforts to update improve and renovate will add to your net worth overtime. DIY when you can.
We have done it all. Rent 9 places, buy already built and redid into the current style (great bones) 3 houses, built with contractor (custom) 2 houses. The advantage to new custom build is you get exactly what you want. The old build is fun- but I’m just too old to live in the mess again 😂1600-2000. Sq feet is the perfect size for us!
My mortgage is currently 29% of my take home pay. Sadly when I bought my house my mortgage was under 25% of my take home pay. Homeowners insurance and property taxes have gone up that much faster than my salary has gone up!
29% isn't bad. It's a good thing you followed the guidelines initially though, or it could have gone from 35 to 39% and that would be much more difficult.
We live on a beautiful springfed river in Florida and we have three Airbnb nightmares next-door to us a constant revolving door every few days of strangers partying doing drugs and sometimes there’s 8 to 12 cars in the driveway
Ramsey solutions, please no more music in background, it is distracting. Best advise I can give is find a home with good structure you can use for cheap, renovate as you can, learn to do as much as you can yourself. I bought my home 3 years ago very cheap, put 50% of the selling price into immediate renovations with separate loans, paid those off and now can out those payments toward my mortgage and will have it paid off within 10 years of buying it, and it already has an estimated value of what I have put into it, without considering anything we have done inside or doing any curb appeal improvements, once that is considered and complete, it should be worth 50% more than I have put into it.
Rachel, this is a great video for first-time home buyers! Could you do another video for those first-time home buyers who bought in the 2% interest rate but now need to buy a different sized home. They have all this interest but have to double their mortgage rate for 1 more bedroom in their next house.
You live in a home you’re not investing in the home. What I did instead was to save as much money as you can while renting look at your neighborhood a lot of the areas it might make sense to buy an existing home in other areas where existing homes are overvalued it may make sense to build. My wife and I took about five years to try to find an existing home and it just never happened. Eventually we just found some property bought the property cash and built on that property. Every different area is gonna be different. This happened to work for us. We weren’t going to buy a half $1 million property in our old neighborhood to just put another hundred to $200,000 of work into the house. My own opinion on the matter is buy a forever home if you’re not gonna be in a location for more than 10 years or you think you’re gonna sell your property before then you’re better off renting and investing the money and other means. If this is gonna be your forever home, you should be considering what you want in that house not what you could update or change. If you can’t afford getting the house, you can’t afford getting the house so continue to save money until you can. I agree with that, but I don’t agree that a house is a investment unless you’re gonna go into actual real estate. Your primary home is your home.
My wife and I make 165k pre tax about 104k after taxes, benefits and 401k. We put 41% down on our first modest townhome in the northeast even with our income and big down payment our mortgage is still 30% on a 15 year. That doesn’t even count utilities and HOA monthly fees. 😭 I’m sorry 25% of your income on a 15 year is legit not possible unless you make New York money living in middle of nowhere small town/city America in a low cost of living state
I love the Ramsey teachings but 15 year fixed plus “no more than 25% of your income” rules out about 95% of people lol my wife and I bring home about 6k a month combined. Our 30 year fixed is 1300. So 2000+ for a 15 year fixed lol
It may have not been a bubble, but there are many areas where inventory levels are spiking and price cuts are happening. Giving this one answer fits all advice can be damaging. I know you have to parrot each other but this is probably a discussion your team should have.
Wife and I are 33 with about $800k in investments, excluding home equity and rainy day funds. I've always strived to stay on top of my finances, hoping that being disciplined in my 20s would allow me/us to have more breathing room in our 40s+ but it gets hectic, should we get a partner?
My wife and i (mid 30s) just did our net worth calculation and were astonished to find out that combined we're net worth millionaires, with ~450k in retirement/investments. Years of driving 20+ year old cars with multiple shades of paint (or as i called it, "custom" paint jobs) and knocking out $170k in student loans literally paid off. To people going through the struggle, take it step by (non trademark) baby step. You'll get through it. Its worth it.
I'm 39 with $997k in my 401k. I started working full time right out of high school. I'm still with the same company. I've been in their 401k plan since I was 18. I contribute 10% and get a 4.75% company match. My f/a, who isn't very traditional, taught me that compound interest is your best friend. The sooner you start, the better off you are. I didn't feel the need to mention the ROI on the brokerage account used under the guidance of Caroline but surely get a partner.
Caroline Suzan Olson is the licensed adviser I use. Just research the name. You'd find necessary details to work with a correspondence to set up an appointment.
I'm seeking a reliable guide on stock. Does Caroline Suzan Olson offer personalized recommendations? I'm overwhelmed by unsolicited talk from others and want to follow a proven expert.
Please make more videos on how to buy a home the wise way cuz im planning to buy a house in a couple of years from now and i dont want to buy a house that will get me a major headache
My 26 year old son is in the process of building his dream home. He bought the 6 acres in 2019 & has been saving his money ever since he graduated HS back in 2017. Who says the American Dream is dead?
These ideas of putting 20% down and doing a 15 yr mortgage payment no more the a quarter take home pay is ridiculous no one would be able to afford a home like that and it would drive rent prices up because everyone would be renting, is impractical, I wonder how many people actually buy homes the Ramsay way, is insane
If I was building a house and helping my wife decide on every little option.... eventually one of us would be dead and the other off to prison. I guess I would never build.....
House prices have gone up, not their value. (Inflation adjusted) You're house doesn't automatically gain value while it's fading and falling apart over time.
I just switched up my Roth IRA to 50% SCHD, 25% SCHX, 25% SCHG, and my Roth 401k is 70% vanguard S&P 500 index, 20% vanguard growth index, and 10% vanguard international index. Seeking best possible ways to grow $350k into $2m+ before retirement..
As a newbie investor, it’s essential for you to have a mentor to keep you accountable. Ruth Ann Tsakonas is my trade analyst, she has guided me to identify key market trends, pinpointed strategic entry points, and provided risk assessments, ensuring my trades decisions align with market dynamics for optimal returns.
how would you recommend i enter the crypto market? I am also looking at studying some traders and copying their strategy rather than investing myself and losing money emotionally. What's your take on this approach? and How can i reach her, if you don't mind me asking?
For first time buyers, go for the cheapest house in the most expensive neighborhood you can afford. Your efforts to update improve and renovate will add to your net worth overtime. DIY when you can.
You can change a house but not the land. Location location location.
We have done it all. Rent 9 places, buy already built and redid into the current style (great bones) 3 houses, built with contractor (custom) 2 houses. The advantage to new custom build is you get exactly what you want. The old build is fun- but I’m just too old to live in the mess again 😂1600-2000. Sq feet is the perfect size for us!
My mortgage is currently 29% of my take home pay. Sadly when I bought my house my mortgage was under 25% of my take home pay. Homeowners insurance and property taxes have gone up that much faster than my salary has gone up!
Don't worry that's not part of the CPI calculation....inflation is low
29% isn't bad. It's a good thing you followed the guidelines initially though, or it could have gone from 35 to 39% and that would be much more difficult.
Oh ya inflation is 2%@@MeltingRubberZ28
Imo the music is slightly to loud, but great video nonetheless
New or newer homes are built to updated building codes which in FL is safer during hurricanes and saves on home insurance.
Fact I’m in this situation. I have friends that pay $10,000 a year mine less than $3000. Makes a huge difference.
I have two payments left on my refrigerator box.
We live on a beautiful springfed river in Florida and we have three Airbnb nightmares next-door to us a constant revolving door every few days of strangers partying doing drugs and sometimes there’s 8 to 12 cars in the driveway
Ramsey solutions, please no more music in background, it is distracting. Best advise I can give is find a home with good structure you can use for cheap, renovate as you can, learn to do as much as you can yourself. I bought my home 3 years ago very cheap, put 50% of the selling price into immediate renovations with separate loans, paid those off and now can out those payments toward my mortgage and will have it paid off within 10 years of buying it, and it already has an estimated value of what I have put into it, without considering anything we have done inside or doing any curb appeal improvements, once that is considered and complete, it should be worth 50% more than I have put into it.
Rachel, this is a great video for first-time home buyers! Could you do another video for those first-time home buyers who bought in the 2% interest rate but now need to buy a different sized home. They have all this interest but have to double their mortgage rate for 1 more bedroom in their next house.
Yea it’s called be grateful for the 2%
Why would someone *need* to do that? Genuinely curious
25% of my take home pay? I make good money and 25% of my take home pay wouldn’t even get me a decent apartment.
Exactly
The one piece of advice I disagree with as well. Unless there’s a housing crash I don’t think this is feasible for most people.
Basically, on the low end of housing prices, you are looking at a take home pay of around $150k a year if you want to buy a house and only spend 25%.
You going to be tight on money if you do 35% or more
If 25% barely gets you an apartment, you live in the wrong area
Not buying a house but I just wanted to say how good that jean jacket looks on you!😍
The new build is better, and there are fewer headaches, with no repairs and a great location.
You live in a home you’re not investing in the home. What I did instead was to save as much money as you can while renting look at your neighborhood a lot of the areas it might make sense to buy an existing home in other areas where existing homes are overvalued it may make sense to build. My wife and I took about five years to try to find an existing home and it just never happened. Eventually we just found some property bought the property cash and built on that property. Every different area is gonna be different. This happened to work for us. We weren’t going to buy a half $1 million property in our old neighborhood to just put another hundred to $200,000 of work into the house. My own opinion on the matter is buy a forever home if you’re not gonna be in a location for more than 10 years or you think you’re gonna sell your property before then you’re better off renting and investing the money and other means. If this is gonna be your forever home, you should be considering what you want in that house not what you could update or change. If you can’t afford getting the house, you can’t afford getting the house so continue to save money until you can. I agree with that, but I don’t agree that a house is a investment unless you’re gonna go into actual real estate. Your primary home is your home.
My wife and I make 165k pre tax about 104k after taxes, benefits and 401k. We put 41% down on our first modest townhome in the northeast even with our income and big down payment our mortgage is still 30% on a 15 year. That doesn’t even count utilities and HOA monthly fees. 😭 I’m sorry 25% of your income on a 15 year is legit not possible unless you make New York money living in middle of nowhere small town/city America in a low cost of living state
401k contributions count as “take home” pay so do benefits
Enjoyed video Rachel !
I love the Ramsey teachings but 15 year fixed plus “no more than 25% of your income” rules out about 95% of people lol my wife and I bring home about 6k a month combined. Our 30 year fixed is 1300. So 2000+ for a 15 year fixed lol
My last home cost $135k and a 15 year was feasible. My new home $558k and I have over 40% down, 15 year isn’t even an option.
Does DeleteMe work in Australia as well?
It may have not been a bubble, but there are many areas where inventory levels are spiking and price cuts are happening. Giving this one answer fits all advice can be damaging. I know you have to parrot each other but this is probably a discussion your team should have.
Wife and I are 33 with about $800k in investments, excluding home equity and rainy day funds. I've always strived to stay on top of my finances, hoping that being disciplined in my 20s would allow me/us to have more breathing room in our 40s+ but it gets hectic, should we get a partner?
My wife and i (mid 30s) just did our net worth calculation and were astonished to find out that combined we're net worth millionaires, with ~450k in retirement/investments. Years of driving 20+ year old cars with multiple shades of paint (or as i called it, "custom" paint jobs) and knocking out $170k in student loans literally paid off. To people going through the struggle, take it step by (non trademark) baby step. You'll get through it. Its worth it.
I'm 39 with $997k in my 401k. I started working full time right out of high school. I'm still with the same company. I've been in their 401k plan since I was 18. I contribute 10% and get a 4.75% company match. My f/a, who isn't very traditional, taught me that compound interest is your best friend. The sooner you start, the better off you are. I didn't feel the need to mention the ROI on the brokerage account used under the guidance of Caroline but surely get a partner.
Who is this person you work with? Can I get her phone number?
Caroline Suzan Olson is the licensed adviser I use. Just research the name. You'd find necessary details to work with a correspondence to set up an appointment.
I'm seeking a reliable guide on stock. Does Caroline Suzan Olson offer personalized recommendations? I'm overwhelmed by unsolicited talk from others and want to follow a proven expert.
Has Ramsey solutions ever thought about hiring a military consultant for more wisdom in that area?
That’s the problem people building gigantic homes. I give up on buying a house
Built my home for 180k in 2017 now it is worth 340K.
Look at that HUGE garage.. looks like 1/2 of the home. That will become passe very soon
Additional room/ workshop/ playroom/ storage (get rid of storage center rental).
Thank you for the information 2024.
What do you mean there wasn't a bubble? People are dropping list prices by $100k from the peak! Be honest
Please make more videos on how to buy a home the wise way cuz im planning to buy a house in a couple of years from now and i dont want to buy a house that will get me a major headache
My 26 year old son is in the process of building his dream home. He bought the 6 acres in 2019 & has been saving his money ever since he graduated HS back in 2017. Who says the American Dream is dead?
Superfluous “Again” count: I lost count at 20!
Like your channel and contents, but do not like the background music. Am I alone in this view, fans?
If you’re going to build, the bank will accept (in most cases) your land as a down payment.
These ideas of putting 20% down and doing a 15 yr mortgage payment no more the a quarter take home pay is ridiculous no one would be able to afford a home like that and it would drive rent prices up because everyone would be renting, is impractical, I wonder how many people actually buy homes the Ramsay way, is insane
I have over 40% down and still can’t do it.
If I was building a house and helping my wife decide on every little option.... eventually one of us would be dead and the other off to prison.
I guess I would never build.....
You would have to make $12K a month to buy the average selling price of $420K to buy a home with 20% down….
Lots of new construction is mass built junk.
I will never be able to afford if I follow those Dave Ramsey rule.
She said 5% but she meant 25% lol cause aint no way. 5% will not get you anywhere near what she mentioned
House prices have gone up, not their value. (Inflation adjusted) You're house doesn't automatically gain value while it's fading and falling apart over time.
But how could you even be qualified with a lot of debt and no money for a house ?🤷♂️
They’d say you’re not ready to buy anyway.
All love, but she’s clearly reading off a teleprompter which is kinda distracting knowing she’s just reading imo
I just switched up my Roth IRA to 50% SCHD, 25% SCHX, 25% SCHG, and my Roth 401k is 70% vanguard S&P 500 index, 20% vanguard growth index, and 10% vanguard international index. Seeking best possible ways to grow $350k into $2m+ before retirement..
As a newbie investor, it’s essential for you to have a mentor to keep you accountable.
Ruth Ann Tsakonas is my trade analyst, she has guided me to identify key market trends, pinpointed strategic entry points, and provided risk assessments, ensuring my trades decisions align with market dynamics for optimal returns.
how would you recommend i enter the crypto market? I am also looking at studying some traders and copying their strategy rather than investing myself and losing money emotionally. What's your take on this approach? and How can i reach her, if you don't mind me asking?
look up her name on the web for her website.
I've just looked up her full name on my browser and found her webpage without sweat, very much appreciate this