It may have taken some time, but I finally have my own tiny slice of middle
class pie in the form of a house. And not just a house, but land, and trees,
and a strip of asphalt as a driveway. This is the end result of a long,
frustrating, vexing, and stressful process that began all the way back in 2014. A process resulting in 50
private house tours and open houses, thousands of real estate listings, and
countless sleepless nights. After all that hard work I ended up paying more
than I thought I would. I estimated it would cost me
$260,000 (with interest after the down payment), but in actually it will cost
me $310,000 (+ interest). A difference of $50,000 + interest. I also
underestimated my yearly houses costs by about $3,000 (estimated $5,500 with an
actual more around $20,000). The good news is I got exactly what I wanted
(garage, close to work, decent square footage, gas heat, quiet neighbor hood)
with only one draw back (an above ground pool).
Some Thoughts on the Process
1. The time of no financial obligations is over. I now have a very large
obligation (a mortgage for 30 years) and monthly bills of various forms. While
I hope to pay the mortgage off as quick as I can, monthly bills and quarterly
property tax payments are going to be no fun and will reduce the aggressive
savings plan I have had up to this point.
2. Dangerous financial waters ahead. While I do have some cushion to an
unexpected income loss (read job loss) I will be exposed for a bit to this
possibility. This will lesson with each paycheck, but it will always be a
possibility until the mortgage is paid and my investments start generating
enough money to live off of. That will be some time. A quick review of what
can happen if you do not pay is enough to keep me saving for those bills
and mortgage payments.
3. There are a lot of hungry mouths to feed when buying a home. Everyone
wants a cut of the action. The bank will add on a bunch of fees so you can take
out a mortgage, your lawyer has a fee to look over the agreements, the home
inspector wants a few dollars for every square foot he or she inspects. It can
be a little frustrating to see your hard earned green backs flowing out just so
you can buy a house, but they are providing a service, so it was not all a
waste.
4. A sense of melancholy. I had thought I would be very happy buying a
house, but for a few weeks or so I have felt pretty melancholy about the whole
affair. It is nice living very close work to work, and my friends and family
are only a 30 minute drive away, but something about living alone with all the
responsibilities that comes with that seems to be getting me down. I also have
very quickly changed my relationship with my parents. I am less child and more
family relation now. With time I think I will feel better, but it will take
some adjustment.
5. Heightened cost awareness. I am now very aware that I have to pay for
everything: food, electricity, heat. As such I have become hyper aware of
limiting when I can these costs. This is good for my bottom line, but perhaps
being so serious about turning lights on or off is of little importance in the
long term.
Ultimately, I am glad this has all been taken care of, but after exerting so
much time and effort what do I do now?