FANG employees affording a Bay area house

Microsoft Nygard
Jan 6 28 Comments

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).

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TOP 28 Comments
  • New b37
    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.
    Jan 6 5
    • Because bay area apartments are known for their affordability...
      Jan 6
    • New TYjc83
      Yuck
      Jan 6
    • New TYjc83
      You can save all your house money to pay for private schools in feces filled SF or you can just move somewhere with good balance like Seattle or Austin. If you choose to be in the Bay Area, you are stuck with the massive inflation, hype chain. It’s hilarious watching people I know were making 200k and living comfortably 10 years ago .. now can’t afford a condemned house in RWC. It’s not a good place to raise a family.. and if you look around.. no one can afford to have kids until their 40’s practically. Then you end up being an old parent with the risk of genetic problems for your child. Think there is a reason the Bay Area is filled with Autism? People are not living life..
      Jan 6
    • Microsoft Nygard
      OP
      @TYjc83 absolutely.
      Jan 6
    • Google 1234-/:;(
      Its not a good place for raising children. Too many suicides
      Jan 6
  • Apple 1234567133
    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.
    Jan 6 2
    • Microsoft Nygard
      OP
      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.
      Jan 6
    • Collective Health AliceP
      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.
      Jan 6
  • LinkedIn / Eng Brainbutt
    You can def save a down payment if you don’t have kids yet with 400k together
    Jan 6 0
  • Capital One EXwk33
    Or leave the bay area since it is a terrible city. You can live way better in much nicer cities
    Jan 6 3
    • Capital One EXwk33
      Fair mostly trying to say SF and Oakland are dumps. Other parts of bay area may be nicer.
      Jan 6
    • New TYjc83
      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.
      Jan 6
    • New TYjc83
      Throw a dart at the map of SF. Then, overlay the data from shitmaps. Guaranteed you land on shit
      Jan 6
  • eBay winzip32
    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.
    Jan 6 1
    • 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.
      Jan 6
  • Microsoft Nygard
    OP
    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.
    Jan 6 2
    • LinkedIn / Eng Brainbutt
      If you already have money saved up it’s possible otherwise not likely. You will need to look around Santa Clara or northern Sunnyvale to be close to work without paying top dollar
      Jan 6
    • Google 1234-/:;(
      If your max commute is about 40 mins you can try campbell
      Jan 6
  • Nvidia jammys
    It won’t
    Jan 6 0
  • Microsoft Nygard
    OP
    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.
    Jan 6 1
    • New b37
      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.
      Jan 6
  • Twitch pqkwkqk
    I bought a 4/2 sfh in east bay with similar TC and commute 30 mins to sf. Very doable unless you're trying to buy in south bay.
    Jan 7 0
  • Apple 1234567133
    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.
    Jan 6 0
  • New / Eng ☘️ guest
    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
    Jan 6 3
    • Dropbox klj
      How many boyfriends did you have
      Jan 6
    • Google 1234-/:;(
      Online dating is a wonderful thing for free meals and activities
      Jan 6
    • New / Eng ☘️ guest
      Well i was clear what my priorities were. My income was going towards my mortgage and I couldn’t afford to eat out. Either we cook at home or if he wants to eat out then he pays for dinner. That was our thing and it worked. No one was using anyone. Because I couldn’t afford to eat out at all, I ended up being really grateful when he took me out every week and he really liked that. It actually made our relationship much better since he felt like more of a provider and I was more motivated to reciprocate. I really made an effort to learn how to cook and made really darn good stuff

      I still had money to go on plenty of vacation even with a mortgage with this salary. Again, I prioritized vacation and mortgage over eating out. It’s easy to say housing is too expensive but if you really put some thoughts into it, it’ll be doable.

      I only had to manage 2 years of financial difficulty bc of my mortgage. After that I switched jobs and was able to get a higher salary. People make much higher salary nowadays so you just have to buy what you can afford. A 22 year old dummy me could find a way around this, you can too.

      If I sell my house now I can pretty much move anywhere and still have tons of cash to play with. that was my sacrifice for 2 years.
      Jan 7