Welcome to this week’s edition of the Carnival of the Vanities. As a summary of each piece, I’m listing each author’s reason for submitting the post to the carnival (for those that submitted one) and/or a bit of the post

other benefits may include: getting your feet wet in the purchase/selling process, tax breaks, home ownership credits, home ownership priviledges with vendors, addition to your asset column, rental income, still have cash for savings/retirement accounts.

Hoping for a year or so afterward, if we can afford it.

“Would you consider a plan b. saving 40k in 2.5 year , purchasing a 40k starter fixer upper house, that you rent out, fix up, rent out (your location and circustances would dictate the best course) hold for 2.5 years and either sell or take out the equity and to use as part of the down payment.”

There aren’t any 40k starter fixer upper houses around here, unfortunately. You can’t get any single family homes under $350k. You can get a 2 bedroom condo, but we didn’t feel that that would offer enough space to be worth it in the long run. Ultimately I think the solution is to leave the area, but there are other things to take into consideration other than housing prices.

I ask only because this will be a major event your life (financial, emotional, spritual, physical etc). Start from there and plan back to today.

Would you consider a plan b. saving 40k in 2.5 year , purchasing a 40k starter fixer upper house, that you rent out, fix up, rent out (your location and circustances would dictate the best course) hold for 2.5 years and either sell or take out the equity and to use as part of the down payment.

400k is a starter home. We want 3 bedrooms because we plan to have kids in this house. That’s just the situation here, unless you want to live an area where you will be continually robbed and vandalized.

“Also: 5 years to reserve 80K, assuming no changes in income, currently gives you 1334 a month disposable, hope you are putting that into some kind of liquid investment vehicle to hold in the while.”

It’s in high-interest savings.

“Do you mean that a 10% reduction in cash flow is a 10% reduction in spending money or a 10% reduction in savings or a 10% reduction in retirement investment?”

I actually meant it’s a 10% reduction in income, but outgo will be lower for necessities. That’ll cause an increase in retirement savings.

Also: 5 years to reserve 80K, assuming no changes in income, currently gives you 1334 a month disposable, hope you are putting that into some kind of liquid investment vehicle to hold in the while.

Do you mean that a 10% reduction in cash flow is a 10% reduction in spending money or a 10% reduction in savings or a 10% reduction in retirement investment?

If spending reduction then thats good thing. If savings or retirement reduction that can be part of your plan. Consider looking at the market value + equity as part of your retirement protfolio?

The $80k is for a starter home. It will get us a piece of trash.

plan b move – only need $40,000, again the time questions + would the move increase or decrease your cash flow?

have you a plan c? less expensive starter home (a bad market is good for buyers, a buddy of mine purchased a fixxer upper in buffalo for only $36K, put down $3K has lived in it for 2 years and will be putting on the market in February – completely paid off ).

There are no real right answers for planning, there are only right moves in the direction of your goal. By the way that is the first thing you need to start a plan.

options can include: flipping property in 3 years for profits, buying out partners at a later date.

also as a note: from my experience, judt like leding money, never rent to friends.

Also, I know my language was extreme — but I agree with what anonymous poster said. While the “all knowing” calculator said not buy, I don’t think I’ll want two other roommates in 15 years. =)