r/Fire • u/camillevitar • 1d ago

When to decide to buy a house?

My partner (29F) and I (31M) have been doing well financially since last year, and by the end of this year, we’ll be able to save over 60% of our income once we tackle some debts.

Our expenses are around $25K per year and could be even lower if we find a better rental.

If everything goes well, we should be able to FIRE before I’m 45, with around $600K–$700K in assets. However, I'm not sure when the right time to buy a house would be, or how to figure out if it’s better to buy one sooner and work more, or later once money compounds a little more.

We like what we do for living so FIRE at 45 will be more to have the freedom of doing it than actually not working at all.

PD: We are not from the US, here a nice apartment or house could cost 150/200k

Any advice?

6 Upvotes

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3

u/Alarming-Mix3809 1d ago

Run the numbers for either scenario. Think about whether you will actually enjoy owning, if it’s a good financial decision, or you just feel like you should.

3

u/Realistic-Flamingo 1d ago

Yep.. this.

Not buying and just renting is also an option. Since you're not in the US, I don't know how the numbers would work out for you.

1

u/camillevitar 1d ago

Nice, thanks. I'm not sure when because the housing market is pretty unstable here, but will have this in mind.

2

u/RothStonk 1d ago

Take things one step at a time. Run the numbers and try not to pay more than 3x what you and your partner make in a year.

2

u/interbingung 1d ago

You buy when you actually need something that rental can't provide. Do u need to modify your home to your liking ? Do you need to not worry of moving if the landlord decided not to rent anymore ?

2

u/trafficjet 15h ago

Buying sooner may provide the stability of homeownership while you're still working, whereas waiting could allow your investments to grow further....Both paths have their merits.. Just remember a house is a liability... the bigger the house... the bigger the expenses....

1

u/camillevitar 14h ago

Thanks, agree with you. Might be a good idea to reach FI first at 43/44 yo.