How do people in Bay Area save for a house?

Intuit
~rando~

Go to company page Intuit

~rando~
Dec 17, 2021 41 Comments

23yo. TC $350k, NW $200k ($75k savings, $75k taxable, $50k retirement).

I know I am better off than most my age, but it still seems impossible to purchase property in the Bay. I have no interest in living far from everything (I’m single, no white picket fence for me yet).

If I were to purchase something it looks like monthly expenses would be $7k+ between mortgage, property tax, HOA, insurance, etc.

I feel I already have too much cash in savings, but if I were to buy property I would need much more. Do I keep renting for the next 10 years and saving cash? Feels like that money is better spent in the market.

Curious of your thoughts.

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 TOP 41 Comments
  • Nutanix
    yJmR52

    Go to company page Nutanix

    yJmR52
    You’re 23yo. Your TC is 350k. You tell us.
    Dec 17, 2021 0
  • Intuit pays 350k for new grad?
    Dec 17, 2021 7
  • Amazon
    nonymously

    Go to company page Amazon

    nonymously
    You’re never going to feel comfortable buying in the Bay Area, just a reality of life. Too much demand for too little space.

    If you want to make it work with some stress involved you can buy a duplex or triplex and rent the other two units out, contributing to the high living cost of the Bay Area but helping yourself lower costs (re: lower is still really high).

    Last point: you can move to any city a tier lower (Atlanta, Austin, Miami, the million others that are not NYC or west coast based) and hopefully keep your intuit pay with an internal transfer, and buy yourself a terrific house. Many before you actually end up doing it this way. Live on cheap rent, grind it out for a few years, build trust in your company, and transfer location to build a life elsewhere.

    For now, just work on building that nest egg and invest in appreciating assets. Good job and good luck!
    Dec 17, 2021 4
    • Intel
      naughty_BK

      Go to company page Intel

      naughty_BK
      @amazon have you bought a house in Bay Area or have you tried for one
      Dec 17, 2021
    • Amazon
      nonymously

      Go to company page Amazon

      nonymously
      I did not buy because i could not afford. And by could not afford I mean I could not justify the price to myself even if I had an insane TC. Went house shopping with the wife and homes were getting snatched up within hours at more than 200K above ask. I would not buy an asset that would make me cringe every time I looked at it.
      Dec 17, 2021
  • This just comes off as a brag thread. “Woe is me… btw did you know I make 350k at 23 years old?”
    Dec 17, 2021 1
    • Intuit
      ~rando~

      Go to company page Intuit

      ~rando~
      OP
      No, it’s a genuine question that got a few genuine answers. I am moving to the Bay from LCoL area and am wondering how people make it work. Thanks for your response
      Dec 17, 2021
  • By working at companies that have tc where they can make 250k+ TC. Saving doesn’t matter if you’re only making 150k. Or if married couple and make combined 300-500k min you can make it work
    Dec 17, 2021 1