Wife and I are looking at getting out of our 1100 sq foot house in the next year or two. We have a combined income of about $110,000 but she has student loans from PT school that are $1250 a month for the next 8 years. We both max out of 401k, have a 3 month emergency fund, and are paying down her car (doubled the payments to get it done in the next year.) At this rate, I don't see us being able to put down 20% on a nice home in our area ($275,000 or so) for another 4 years. It's crazy to think that we pay twice as much for her student loans as we do for our house.
Question is, although I'd like to put down the 20%, what are my other options? If I put down 10%, how much will I be paying on PMI? Once I hit 20%, will the PMI automatically fall off?
Before you say to suck it up and stay here, it's a 3 bedroom, 1 bathroom house and we are trying to make some babies right now. We can definitely stay here with 1 baby but I'm thinking 2 more years and I'll be ready to go.
This post was edited on 4/17 at 10:23 am