I’m a 24-year-old in the U.S. dealing with insane housing prices. There’s a program here that could help me buy a home with financial aid, but I might lose my job soon and I really want to study abroad and live overseas. I just paid off my student loans, have no car payments, and make $55K a year.
My parents want me to get a loan for a house, rent it out, and make a profit. But that feels risky to me, especially since I plan to leave the country for good. They say it’s a good idea for taxes, but I’m not sure it’s worth the hassle and stress it could bring.
Should I go for the loan and buy a house, even though I don’t want to? I’m feeling pressured and lost, not sure what to do. Any advice on how to handle this situation?
Farewell,
House Hunt Hesitation
Response from THE MONEY MINDER:
Hello There,
While I understand the pressure you are under and the conflicting advice you are receiving from your parents, it’s important to prioritize your own financial well-being and future plans. It’s clear that you have thought things through and have a specific goal of studying abroad and eventually immigrating. Taking out a loan to buy a house that you do not intend to live in or manage long-term may not align with your current aspirations.
Given your situation, it would be prudent to focus on building up your savings to support your study abroad plans and potential move. With the uncertainty of your job status, it might be best to hold off on committing to financial obligations that could become burdensome in case of unforeseen circumstances. Additionally, investing in real estate and becoming a landlord is a significant commitment that requires time, effort, and financial resources, which may not be feasible or desirable for you at this point.
As a practical step, I would recommend continuing to save as much as possible, exploring alternative housing options such as renting or finding affordable shared accommodations, and seeking advice from a financial advisor or housing counselor to understand your options better. It’s essential to safeguard your financial stability and pursue your long-term goals without unnecessary financial strain.
Remember, your financial well-being and peace of mind should be the top priority as you navigate these decisions. Take the time to evaluate your options carefully and make choices that align with your values and future plans. Best of luck with your job situation and upcoming endeavors.
Farewell,
THE MONEY MINDER
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