It's time to have your own place. No more roommates. No more apartment rules. No more anything. It's your dungeon. And you get to do whatever you want with it.
Photo by Jason Briscoe
Before you buy your first house---follow this checklist first:
Recessions generally don’t last longer than 18 months. You should at least have 6 months of cash in a separate account—before house hunting.
Maintain your monthly house expenses, to no more than 20% of your gross monthly income. If you make $10,000 monthly—your housing expenses shouldn't exceed $2,000 a month.
Be able to do at least a 20% downpayment—with a 5% buffer. You can't afford your first home, if you don't have 30% of the cost. Work more. Save more. Only buy a house—once you have 25% as down payment—with buffer.
Major reason why there was a housing crisis in 2008-2010: too many Americans put down 3%, or less. Then they didn’t have cash left over to pay their mortgage—once they got their pay cut—or lost their jobs. Foreclosure. Bad credit. Life ruined for a decade.