[USER]

Age: 28
Income: $90k/year
Retirement Accounts (Roth IRA, 401k): $52k (also have a pension account with $18k)
Cash Savings: $42k
Monthly Expenses: $1,200
Living Situation: Living with family
Status: Single

I’ve been saving money for a down payment on a house and was planning to buy a $300k home after saving $70k.

However, I’m not sure if it’s worth it right now.

I also have a goal of retiring early, so I’m wondering if I should focus more on contributing to my retirement accounts instead of saving for a house.

I’m feeling a bit confused about what my next financial priority should be and would appreciate some advice on whether to keep saving for a home or put more toward retirement.

Any feedback is welcome.

Thanks!

[Lee]

Ive learned never “save” for a house. Get a house as soon as you possibly can. It goes up in value faster than you can save most likely. Its chasing a phantom.

The longer you wait, the more you will just pay.

You can refinance and pay down faster down the line.

[Lacy]

If I lived with family and pay no rent, I would not have bought a house. I have a bit of buyers remorse.

I bought a house 2 years ago and have gained no equity.

My home dropped in value just a few months after I bought it because rates went up.

It’s now almost back to what I paid for. Most of my payments so far goes toward interest.

Buying this house has definitely stunned my path to FIRE a bit.

It helps that I rent one of my rooms out, but oherwise it’s really a liability.

[Molly]

Location matters and your plans for staying long term, as well as projected growth in the area.

If jobs are plentiful and new houses are not being planned in the area, home prices will go up and you might be better off buying sooner.

If jobs and community growth is stagnant, stay the course .

[Damian]

You’re in an amazing spot at 28—solid income, low expenses, and already well on your way with retirement savings. Let’s dive into this.

Here’s what I’d consider if I were in your shoes:
1. Retirement vs. House – Both are important, but the key question is: What’s your bigger priority right now?

If retiring early is a top goal, you should focus on putting more into retirement accounts.

The earlier you start investing, the more time compound growth has to work in your favor.

You’ve already got a good amount saved for retirement, but boosting that will help get you closer to financial independence faster.

2. Housing Market – The housing market is unpredictable, and you’ve already saved a solid amount for a down payment.

You don’t have to rush into buying a house just because it feels like the next step.

Consider how long you plan to live in the area and if the market is favorable.

Buying a home is a big decision, and if the numbers or timing don’t feel right, it’s okay to delay and keep saving.

3. Middle Ground? – You could aim for balance: continue saving for the house while also increasing your retirement contributions.

Since your monthly expenses are low, you have the flexibility to do both.

Maybe instead of putting all your extra cash toward a house, you could split it between the house fund and maxing out your Roth IRA or 401k contributions.

4. Stay Flexible – You’re living with family, which is keeping your costs super low. You’re in a prime position to build wealth quickly.

Whether you go for the house or ramp up retirement contributions, remember that your living situation gives you flexibility to adjust as the market or your goals shift.

If retiring early is your dream, I’d lean towards investing more into retirement.

But if homeownership is calling your name, you can absolutely save for a house while staying on track for early retirement.

Either way, you’re doing great—just stay intentional with your money, and you’ll reach your goals. Keep up the great work!

[Noa]

You have no housing cost… Fully fund 401k and roth IRA to reach coastFI. A home is a huge expense.

[Author]

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