Home Buying
Here's a scenario we recently ran with Planwell. A 35 year old FAANG employee in San Francisco wants to buy a $2.5M home. Should they buy or rent?
Real Estate
Conducting a property investment analysis will help ensure you choose the right asset. Do a rigorous analysis of expected returns and cash flows and consider financing options and debt strategies.
Real Estate
The ratio of real estate to net worth depends on many factors such as age, location, existing assets and your risk appetite. A rule-of-thumb is to maintain 20% to 40% of your net worth in real estate.
Real Estate
When considering buying rental properties, calculate the net operating income, Return on Investment (ROI) and Internal Rate of Return (IRR). You should also compare the investment to the opportunity costs, such as stock returns.
Home Buying
House hacking is the act of generating income from your real estate property while living in it by renting out a part of the home you live in, or renting out units of a multi-family unit while living in one of them.
Home affordability
A person with a salary of $60,000 can be eligible for a home value between $180,000 and $262,000.
Home Buying
A person with a salary of $80,000 can be eligible for a home value between $233,000 and $340,000.
Home affordability
A person with a salary of $100,000 can be eligible for a home value between $288,000 and $420,000. The exact home value depends on your lifestyle, interest rates, credit scrore and down payment.
Home affordability
A person with a salary of $200,000 can be eligible for a home value between $550,000 and $800,000. However, it is important to understand your full financial situation before deciding how much house to buy.
Home affordability
While thinking about how much house you can afford, consider factors such as debt-to-income ratios, down payment, interest rates, property tax and your lifestyle and expenses.
Home Buying
Home affordability depends on Debt-to-Income ratios, down payment, budget, lifestyle and goals.