Post # 1
I’m not usre which board this would go under, but i need to rant for a moment. The husband and i are originally from the East coast where it is very common for people our age (27) to already be married, own houses and be on their first child by now. Recently several close friends (who already own houses) have gotten pregnant and all i can think about is how i want to be doing the same thing. My husband and I both have extreme baby fever! However (and this is a HUGE however) we currently live in southern CA where everything seems to take place way later in life (and we have no family out here). The housing and daycare prices out here are absurd and we are planning on eventually moving back East. We plan to immediatley (as soon as we have steady jobs for a few months) buy a house, get a puppy and try for a baby. The problem is we are not actually moving back for a few years. I feel like even though we are trying to save as much money as humanly possible, we are at a stand-still. To try to get a handle on my extreme desire for all of these things i’m trying to plan out as much as i can so that we can be ready (especially financially) when the time finally does come for all of this. Here is what we are planning on:
1. Save enough for a 20% downpayment on a $250k-ish Home (so about $50k)
2. Save $5-10k for closing costs (although hoping we can either roll it into the mortgage or find a lower priced house, then the difference would go into regular savings).
3. Save about $8k for a 6 month emergency fund.
4. Save a few thousand for future hospital/delivery/Dr. bills when pregnant.
So i guess my question to all of you would be:
1. How much money did you (or do you plan to) have left over after buying your house to still feel comfortable?
2. How much money did you have saved up (or will save up) when you found out you were pregnant or before you start TTC?
We have a decent head start on these savings but we’re both 27 making about $70k combined. We’ve been trying our absolute hardest to save about $2000/month between the two if us. In theory if we save for at least a year and a half we should be somewhere close to those goals.
Post # 3
I am also from the East coast and live in CA. (about to move to FL though) so I kind of know what you mean. Although I find its ont an east vs west thing vs a friends from home vs friends from college thing when it comes to how early people are reaching different milestones in their life.
But, for where you are I think you are right to focus on saving as much as you can and moving as fast as you can. There is no right equation for the amount of money you need to have a baby, but having enough for emergencies/extras is always a great idea.
I am almost 10 weeks and we are buying a house within the next month when we move. We have enough for a 10%, closing costs and a large cash cushion. We are buying a house that we can afford on just his salary.
I do plan to work, but since I am pregnant now and moving I may not be able to keep my job and work remotely. This means I will be unemployed for a period of time. We didnt want to have to live of savings during this time. Plus, it means that when I do work I have more flexibility in finding a job and anything I make is savings/vacation/non-essential money.
You may want to consider looking at houses that are less expensive than you initially wanted so that you have some flexibility as well.
Post # 4
We wanted a house before TTC, and we have done that. We also budgeted for a dog, and with all that accounted for we are able to save somewhere around $500-700 every two weeks. We make about $70K combined like you guys do.
It would personally stress me out to want to buy and do so much at once like you guys. I would first save enough for a house and get that so you can gauge how much you will have left over before TTC and get a dog. A lot of money, we have already realised, gets pumped into a new house for home repairs. Are you making that a separate fund or is that part of the emergency fund? If it is part of the emergency fund, I suggest upping how much to save for that becuase you also have to include visits to the Dr. for yourself and your husband AND vet checks for the dog.
I’m not trying to put a damper on your thoughts or anything. Just trying to help you think of things you might have missed.
By the time we are ready to TTC, which should be later this fall, we will have saved up somewhere around 8-10K.
Hope I helped in some way. Good luck. Doing everything step by step is a lot of fun. Getting married, then house, then dog, then baby. Or at least that is our plan, and it is fun to work towards the next life event 🙂
Post # 5
@ThreeMeers: Congrats on being pregnant! and yeah for me all of my high school AND college freinds are from MA/NH and theyre blowing up my FB newsfeed with all their great news!
The $250k house is on the cheaper side of what we’re looking for, we’re actually saving for a $275k house and when its time to look we will look around $250k so we’re already building in that buffer. I’m also in the “make sure you can afford it on one income” camp. although i plan to continue working at least part time once we have kids. Right now we’re paying $1400/month for our 1 bedroom apartment in Los Angeles, so as long as we put 20% down on our east coast home the payments shouldnt be more then $1000-1200 (and this is including taxes & interest) so we’ll actually be saving money in that respect. This obviously doesnt include utilites/internet etc.
@Megz06: it stresses me out NOT to be doing any of this! haha i know what you mean though. We will obviously look for a house first then get a dog, then try for a baby but seeing as thats the plan, i will already be 30 by the time im pregnant with my first so i want to get a move on it since we want 2-3 kids. The doctors/vet bills would be a seperate fund than the emergency savings. so it would be $8k as a 6 month emergency fund (which we could pull from for home repairs, then replace that money as we can) then probably around $5k in regular savings for doctors/vet bills.