Keeping RSUs vs home buying
Hi, I have never bought a house before but want to buy as soon as I can. I will be moving to Virgina with Google, TC about $195K ($120K base with $55k RSUs per year for 4 years). With this base salary, I cannot afford a decent townhouse there. With the RSUs, should I start using them for house buying or just keep them and when my base gets to a point to afford a townhouse then only buy it? Need help to make a good financial decision. Thanks in advance.
When you compare rsu vs home , is home for investment ? May be home is good investment if the price is reasonable and if you can pay it off quickly with interests rates are so high lately Also home is good investment if you think 7 to 10 years , also liquidity is hard along with maintenance If this is a diversification then I would evaluate What my goals in next 7-10 years and pick stock, etfs , mfs which would fit my risk profile
Home would be for me to live in, not for investment. Then maybe after 5-7 years sell to buy a little bigger house based on family size and needs.
Definitely worth it to sell RSUs, buy a smaller house, and save on rent. Get a 5:1 or 7:1 ARM to match your expectations on when you would sell the house to upgrade. But, at that time, I'd think really hard about the trade-off of buying something bigger versus going for financial independence to retire early.
It be very unwise to rely on RSUs for bills. They could be worth way less when they vest and then you can’t pay your mortgage. Suggest to live within your means.
Where in Virginia ?
Northern VA office? The housing market is crazy these days. Homes are selling fast. You could find an OK townhome for about 450k I think -- and easier if single with no kids since you might not care about school districts.
I do have 2 kids, one of them will start school from next year thats why trying to find good school district.
Ashburn, Chantilly, South Riding - Redfin it my dude. Got 2 myself looking into relocating there.
If mortgage is too high vs rent, renting and investing your savings might be better return in 10 years.
What's a good investment?
stock market
I would advise you not to count on RSUs for paying bills.
Buy the 🏠, RSUs are only figurative shelter