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If you do not want to me a home owner then you should not yeild to external pressures. There are many, many people in this country who do not own a home and never have. There is no shame in making that choice.
Your ratio target for low is excellent. I would never buy 2.5x of my salary or total income (including bonuses). There is a peace of mind that comes with that which is worth more than you can quantify. In your case, I would:
1. Get clarity on your values and risk tolerance. If you find yourself always running the numbers, it may be a sign to stay on the lower end.
2. Lower does not always mean inferior or compromising. I bought my first home in an unfinished subdivision, home was foreclosed and was basically new when I purchased FOR 30% less than what the previous owner paid. The basement was unfinished at the time, but I looked at the long term. Has been one of the best decisions I have made. While I could afford what is worth today and my income has almost doubled since, Inwouldnt buy at the price point today because of my values. Net, what I’m saying here here is, THERE IS ALWAYS WHAT YOU WANT THAT WILL WORK FOR YOU OUT THERE YOU JUST HAVE TO BE DILIGIENT AND OBSERVANT.
I would look for that diamond in the rough at your low end.
I am definitely that person who is always looking for the "unicorn of a deal" with *every*thing. Before making any major decision I have to be sure I am doing something that ticks off as many of my pros/wants/needs as absolutely possible otherwise I won't go through with it.
I think my risk tolerance is a tad bit low...it's extremely important *if* I lock myself into a mortgage that it is absolutely at the right price. If I had to throw out a max number, my mortgage plus HOA wouldn't be more than 20% of my take-home pay monthly honestly. That's ~$1000. Assuming a $200-something monthly HOA would mean a $700-something mortgage. On a 30 year we're talking a 140k-ISH mortgage...max.
Location: Formerly Pleasanton Ca, now in Marietta Ga
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Just to throw this out there.
Roommate will definitely help you with coats. If you can't stand that, I don't blame you. I would then look for a single family house with a walk out basement I could rent out.
I've looked at a few and ran the numbers and from the ones I looked at the renter can pretty much cover your mortgage, sometimes taxes and insurance too. The nice thing is being separated from them.
My situation is different, but I was renting a 1600 sq ft home.
I bought a 5000sq ft McMansion with a basement. I rented the basement out so my situation is my total housing cost dropped from 1975 per month renting to 1234 per mo and I live in a house much bigger and nicer.
If things get tight I can move into the basement which is 1200 sq ft and rent out the house part and pretty much live for free, actually make a few hundred.
There is a separate entrance so we never cross paths.
That could help,if you ever lost your job having a place to live for free or close to it.
Roommates are horrible! Buy a condo and live by yourself!!!
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