My dh found out that most likely we will be in this area for the next 10 years, which is huge for us. Being military, we are used to moving. So dh has his heart set on us getting a house. Me, I live here in the real world and I have been musing how to make this work. Maybe you can point out something I've missed.
We live in jumbo loan country here. The starting point for houses or even townhouses is 1/2 million. Even now, even after the housing bust. I read an article in the WSJ this morning, talking about how no banks want to give jumbo loans (greater than $417,000). So that puts us coming up with not only 25% down, but possibly having to put down enough money to bring the price from 1/2 million to $417, 000. Yikes! If I had that kind of cash, it's long gone in the stock market.
See, the people here can't afford to go much lower in their home prices. They bought when things were 3/4 of a million dollars. Do you see the catch 22? It's sad that in the height of the craziness, we were smart enough to stay out of real estate market and rent. And now that we want to buy, we would have to come up with hundreds of thousands of dollars in a down payment, even with dh's proof of employment. What a mess. I hate to break dh's heart, but I unless he wants to drive an hour to work and an hour back, I think we are going to have to stay put. I've worked hard to clean up this rental, and I'm happy with it for now. I just feel bad I can't give him what he wants. He's a good guy who doesn't want much, and he deserves much. Funny, seems like the American dream is becoming, well, a pipe dream.