[EvoFire]

Originally Posted by JDMDreams

I actually just ran the math cuz I was curious how much $500k will cost at current rates. Here's what I got. $500k with 20% down so $400k mortgage amortized over 30y at 5.1% rate, so after stress test of 7.1% monthly payment is $2688.13 + $600 housing cost a month = $3288.13 /0.45% of income so you need to make $7306.95 a month x 12 months = $87683.46 gross annual. Not exactly high income for Vancouver and easily doable for a couple. Your real monthly payments are $2171.80 at 5.1% so you still have room for strata fees some property tax at $2500 a month.

You numbers are a bit off and trend towards the minimum. It's not impossible but it's hard to be at $600/m for other costs.
1 bed condos right off the bat is at $350/m strata fees, many are more.
$600 for insurance a year on the low side
$1500 for property and utility tax
hydro, internet would avg out to $100/m min

And like others said, it's hard to save 100k. If it's a couple, a 1bed becomes quite tight on space, and if you WFH it's even harder.

Originally Posted by PeanutButter

I guess I can look at my buddy.

$90,000 = Salary
$72,000 = Net after taxes
$6,000 = Net monthly income
$1,300 = Rent for a one bedroom basement suite right now (rent is low as he's been there for awhile)

5% down on a $500,000 principle residence is $25,000, so he would need to save $1,000 a month for 25 months and he would have the down payment. So pretty much, if he didn't have his car payment, he would have been there.

If he marries his gf, then his household income would go up by $50,000 (~what his gf makes a year)

Your friend's numbers don't add up. He should be paying more than 20% in taxes and deductions at 90k. My memory tells me it should be around 65k take home which is a little more than 5k a month. I was right at that income a few years ago. Nonetheless it's tough to save $1000 a month even at that income.

Originally Posted by supafamous

Wait, people making $90k net $72k? Really?

They don't. Well they shouldn't anyways.