Advice on affording a "pretty" house? (Dallas: real estate, rent)

[artsyguy]

Hey

I plan on moving back to Dallas in a few years after graduation from grad school. I think my income will be rather low, possibly starting at $36,000 a year. Hopefully I will get more as I work up in the company.

So, one day I hope to live in a beautiful fancy house, probably in Dallas. Is the best bet for me to just live under my means for several years. Save up during those years? Then pay a huge down payment and then pay the mortgage off little by little by little? I am just guessing as to that is how it should be done.

I obviously won't have a family or kids to raise, so money goes towards me and living expenses.

[bricor]

That is exactly the way to do it. Or marry rich!

[KantLockeMeIn]

My advice would be to live debt free, determine a budget, and start saving for your down payment (aim for at least 20%). If you start good habits making 36k a year, when you double that the rest of your income will be like icing on the cake.

[Lakewooder]

Plus contributing early and often to a 401K will have you leaps and bounds ahead in the looong years to come.

Don't deny yourself completely. Hit a few hip/bohemian places, make friends and take some cheap trips. I traveled quite a bit when I was younger and I find that it makes me feel more worldly and confident rather than if I had waited until I was older and really could afford it better. Stay in the cheap places and hit the bar of the coolest hotel in town for a drink. And never miss a museum. I try to buy the collection books now, but you could just pickup a couple of postcard prints for a souvenir.

[texasdreamin]

If you're young, a few years of living lean is the best way to go. You will really be thankful you did it, later. "Missing out" for a few years is not going hurt you. The reward will be well worth it. I've done it and it has truly paid off. I thank my lucky stars everyday. Good luck to you.

[intence]

I think you're getting great advice here. Live below your means, build good credit, and save as much as possible (and invest wisely so you earn a return on those savings).

People nowadays seem to want to immediately satisfy their cravings for shiny cars, houses, and consumer goods. Get it now, and pay for it later. I'd suggest trying to do the opposite as much as possible. If you're able to keep car payments low (or have none at all) and low house payments (since you were able to lay down a sizeable downpayment), it will make things much easier in the long run.

[Worried'n'FRISCO]

36k..TWO WORDS..Sugar Daddy! ROFL, only teasing.

Dallas is more affordable housing wise than most other places. Get debt free and stay there--I would try to find a home that is underpriced and buy something small with equity already in it. Good luck!

[pmason2005]

My advise would be is rent first and be debt free as much as possible. If you find a good buy then invest in real estate and as long you dont have family, you can also rent the other rooms as I live in Cali right now and will move next yr to TX and lot of my friends did that here in 2000 and before the housing bubble burst they did make decent money as the rent you make covers good portion of mortgage.

good luck!!!