To those who worked at one or more FANG companies. Was your TC (and maybe your spouses income) enough to help you afford a downpayment on a home in the Bay area? After making the downpayment did you have any savings for a rainy day and children's tuition. I have a job offer in the Bay area (TC: 200K) but I am not sure if it'll help me buy a house and afford having children if I settle down there even with a two person income of say 400K (before taxes).
I bought my house in 2005 for $850k when I was only making only $87k/year. 😆 boyfriends paid for dinner. It’s not possible to qualify for one like this anymore, but you can still afford one. Loan officers take into account bonuses etc
You can def save a down payment if you don’t have kids yet with 400k together
I am 32 and my boyfriend is 34. We want to get married and extend our family no more than 2 years from now. The other concern we have is we don't want to buy a run down shack with lead plumbing or a house that requires us to commute really far too work (both of or workplaces are in Sunnyvale). It seems even with those FANG stocks and bonuses it's difficult to save up for a home and current living expenses.
It’s crazy expensive here. I’m a sole breadwinner with 2 kids. tc350. I can save money but to afford for a house and start saving again is crazy. It’s either live far away and have horrible commute or don’t afford a house and just rent.
how far do the stocks and bonuses get a person? If you don't mind can you give an estimate of how much one can make by selling their stocks (after taxes) after say a 4 year vesting cycle with 250 RSUs from say Google.
What do you mean how much you can make? You’re granted $60K a year of stock. That is taxed as normal income. You then sell it immediately and put it in a savings account or bond fund if you’re saving for a down payment. If you’re wondering about the stock performance, no one can predict that.
You don’t get very far with 250. I’m not sure what the vesting cycle is like for google. I max out 401k, 10% espp and pay a 4.1k mortgage+property tax. Other than 401k and espp, I don’t get to save on my 180k base. You can probably scrap by with 140k+ base. And then I save most of my money from rsus. Most years I can save 80-100k per annum. Inclusive of 401k.
Don’t base what you can afford on stocks and bonuses, those can dry up in a downturn. Base what you can afford on the base conp only. It might not be enough.
Agreed. But bonuses and stock are a great way to get the money for a down payment for a home you can afford the monthly payments on.
Why are so many Bay Are folks hung up on having a single family freestanding house? Live in an apartment like most city dwellers do.
Because bay area apartments are known for their affordability...
Yuck
Or leave the bay area since it is a terrible city. You can live way better in much nicer cities
Fair mostly trying to say SF and Oakland are dumps. Other parts of bay area may be nicer.
It’s mostly a terrible place. Unfortunately, everyone decided years prior that living in super expensive apartments next to deranged homeless people is a much better use of space than expanding in the valley or east bay.
I am not going to take the offer. I think the wage disparity in the Bay area and high population are major contributors to inflation (as mentioned by an earlier post). I don't want to have a kid when I am 40 or bank on the price of stock. I also don't want to be competing for bonuses with fresh college grads when I am in my 40s and a working parent.
As a 40+ person who is having a hard time accepting that he has probably missed out on being a father, I second your desire to have kids sooner. Have them. Now, if need be. The clock is ticking. Saving money won't make up for being involuntarily childless and it will be your biggest life regret.
It won’t