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A FAANG engineer with a take home pay of $200k/yr should be able to save, let's say, $50k/yr. that still leaves $150k/yr, or $12,500/month to spend on housing, doordash, groceries, entertainment, and other savings. Which should be plenty, but maybe I'm not spending enough on Doordash. After 4 years, they'll have $200k saved up. Here's a million dollar, 1 bed condo, and its HOA is $600/month. I don't doubt that there are HOA's charging $3,000/mo, but that's not remotely normal. If you put $200k down, that's 20%, so you have a mortgage of $800k. At today's interest rates of 6.358% on a 30-fixed, that's $6,062+$600 HOA/month. Which is a lot higher than a couple years ago, but that's a whole other thing. Since they're no longer saving, their take home of $209k - $6700*12, leaves them $128k/yr, or $10,700/month to pay for food and entertainment and savings. Again, maybe I'm not spending enough on entertainment, but $10k month seems a lot to me, enough to survive on, at least. https://www.zillow.com/homedetails/400-Avila-St-APT-102-San-... Of course this is San Francisco, and housing goes for over-list-price, so here's an $800k condo. https://www.zillow.com/homedetails/417-Carl-St-San-Francisco... Both of these are in reasonable neighborhoods, though everyone's got an opinion about which neighborhood is the best. |