How to Save for a House

[@declanjohn8517]

I set myself a goal of buying a place (a condo worked best for me as a single person) by age 40 and I beat it by 4 years, buying at 36. I never worked a high-paying job but for two years I worked two jobs and saved every penny I didn't need for rent/to live and it was enough to squeak the 20% down payment. I think it was probably the best decision I've ever made for myself...these days I physically cannot work 60-80 hours a week any more. Home prices have risen so much, so quickly that my mortgage is, not kidding, about half of what I'd pay to rent a place like this, now. If I started saving now or even a few years ago, I don't think I'd ever have enough to enter the current housing market.

[@alancontreras1362]

Declan John trying to get my shit together and do something similar.

[@robocop581]

I admire people like you as I see all the hard work and discipline. Kudos

[@The_Woof_Pack]

I think a good tip is each time you don't spend money and you do it yourself, that you put the money you would have spent saved away or invest it. I think a lot of people try to cut back but they don't put that money away and end up spending it elsewhere without realizing it.

[@SuperFadango]

can you make a video on setting up a cloud security cameras?

[@KacyDaGameNerd]

That's fantastic advice. I bought my house in 2012 when the market was at its lowest point in over a decade. It was built in 2007 (during the peak of the housing market). So I got it for 50% the 2007 original price. This year, I sold that same house and it more than doubled in price. Timing played a major factor. I highly doubt I will have a similar opportunity in that short of a time frame.

[@SoFreshBlaze]

Kacy DaGameNerd Crazy see you here. Is that the house in your videos?

[@sblijheid]

Forget the savings account. You have to pay taxes on the 1% interest a year. Put that money in treasury account, buy t-bills. It pays 1.27% a month. Compounded over a year you make a lot of money and the interest is tax free. You can pull out the money when you need it. If you save a bit longer in a treasuries account, you can have more money coming in to pay toward your mortgage.

[@kirakjear9812]

Bought a house at 22. We had a wedding social, which is basically a fundraising party for people getting married (it is a Manitoba thing). We made enough money for our down payment. Had that house for 5 years, then sold it for double for what we bought it for. Best investment we have made 👍🏻

[@BeatTheBush]

Sometimes it works out very very well. There are instances where it doesn't work out for those impatient.

[@sile1727]

What is the bush and why are we beating it?

[@Pr0misedland]

The beating takes place around the bush

[@darkflamingopontificates186]

lol pros and cons of toxic audience

[@GreatValueBleach]

Bush is a vagina, and we are beating it like we beat the meat

[@TheAwesonymous]

Clorox Bleach your not very subtle aren't you?

[@Francefire]

League of legends related I think

[@vincetaylor3948]

That's great you made this video as I am looking for a home next year.you and Dave Ramsey are the best

[@crippledgenius]

I cut my Internet to minimum, cell phone to minimum, my wife cuts my hair we try to limit going out, we buy things we need in bulk when on sale, I use to drink coffee everyday but except 2x a month well go out its possible folks but discipline is a must

[@annahayes596]

What I like most about your videos is that you dont beat around the bush. You get to the point. Half of the time when I go to listen to a video from another person they take too long explaining who they are or whatever and I just switch to another video, Your videos i listen all the way through because you get right to the point of what you want to say. Thank you!

[@patandbrandi]

So true I also hate. Long intros. Beat the Bush is the new dave Ramsey

[@chera7594]

Hi! What can you say about houses that are 200+ days on the listing and still no buyers? I saw it in Vegas through Zillow. I wonder why because it looks decent inside/outside and not in foreclosure.

[@sandiehleda3890]

I'm 22, I'm in school, still with parents but watching this has given me insight on what I need. These talks aren't really talked about a lot and in detail. Specially with how different things are compared to the time period of my parents, when it comes to purachsing a home.

[@BeatTheBush]

No one will stop you from spending every penny you have. Yup.

[@vernefits1953]

I cut my hair too. When things are broken at my place I check Google or youtube for repairs. It has saved me money and time.

[@slovokia]

$300K in the bay area is enough to buy an outhouse.

[@nickslayter5835]

In a bad neighborhood too XD

[@se7enzee444]

$300k can only buy you a garage in SF. lol

[@darylallen2485]

With or without hand sanitizer?

[@leonidas14775]

More like half a million after taxes.

[@pnoyguitar]

Sacramento area.

[@pumpkinpot672]

Could you make a video about budgeting/saving for various income brackets? 30-50k, 50-80k, 80-100k, 100k+

[@BeatTheBush]

It doesn't matter really which income bracket you are. It matters more about the standard of living you've grown accustomed to. I live like I earn 30k a year. HA HA HA.

[@TypeRk8]

I'm already in the process of saving for a house I'm 19👌🏻

[@MISJPEREZ]

Do the Oprah way, No More Starbucks, Dont order any NEW movies, stay in and eat.

[@TypeRk8]

Janina Perez I am actually so fortune in life that I can live how I want & still save 50% plus of my income. I could go to the extreme & save 85% that way but it would be depressing. My budget is just fine.👌🏻

[@CoastCam]

Daniel Arias in other words, you live at home with mommy and daddy lol

[@TypeRk8]

KZbin Commenter well yes I do. Exactly why I'm watching this video. That's BUSH !

[@Honeynutification]

If it makes you feel any better, I am 24 and still living with my parents until I am done with uni. Nothing wrong with staying at home and guess what, I have zero loans and a whole bunch saved. You do you Daniel, have an amazing 2018!

[@bairfreedom]

I cut out cable, netflix, audible, and I also stopped going out at work. I stopped buying stuff at convenient stores too. This alone saved me alot so far. I am now able to put back money and I have a savings account with an actual balance !! Woooooo!!!Yeaaaa!! Lol

[@BeatTheBush]

You did some pretty drastic moves there. Good going! With some practice you would not notice a difference because there are plenty of things to do that those you mentioned.

[@kaydencolleain1366]

I brought my first house last year at 19, I had no credit rating as I never use credit. Having those bank statements showing a history of saving well over half my income was more than enough I think as long as you save enough to cover a mortgage consistently they will be alot more agreeable

[@BeatTheBush]

Wow! Nice! That's the ultimate criteria, they just want to know you have a high chance of paying. No credit though, I wonder what that did to your interest rate.

[@spiraldiaries1273]

Thanks bro,, always love your tips on managing finances...

[@Myraisins1]

FHA loan 3.5% with closing costs and reserves can get most into a home. My home was one of the best things I ever did, giving me financial freedom. Looking into investment property for 2018.

[@Erick-mz5sv]

what i like about your commentaries is your not a sellout. unlike some other youtubers, who somewhat changed to a salesman.

[@BeatTheBush]

Thank you!

[@CentsibleLivingWithMoneyMom]

I live in an area where the homes are really inexpensive. You can buy a home on my neighborhood for about 140 grand. I would love a new house , but I paid off this home off. great advice.

[@BeatTheBush]

That's a plus! You can buy several? =D

[@ND001X]

Centsible Living With Money Mom What area? City, state?

[@CentsibleLivingWithMoneyMom]

I live in Dallas, TX

[@CentsibleLivingWithMoneyMom]

I am originally from MN, but I live in Texas now. People in Dallas are very open and friendly.

[@CentsibleLivingWithMoneyMom]

Dallas, TX

[@jim2292]

How important is it to avoid PMI?

[@broccolifan6971]

I did found the logic in your saving philosophy. At first it sounded like just being cheap to the bone but I did find few golden words in your message. Thanks!

[@janefromthecountry1820]

Excellent video! Thanks for sharing on this subject!☆☆☆☆ We save by not having cable services and have a 17 year old SUV and a 7 year Corolla. We pay cash for everything, too! No credit cards.

[@SomervilleBob]

Live like a hermit for a few years to come up with the down payment- bag lunch, thrift shop clothes, no pets, minimal going out to restaurants. I had a thermometer style wall chart in my apartment and every quarter, I'd evaluate my money and make a new line toward my goal.

[@BeatTheBush]

Well.. you don't have to live like a hermit. You can just as well socialize greatly, you just have to be creative in what you do. As long as you do not do it in excess, it's fine even to eat out to me.

[@mriphone1000]

I'd like to go back a generation, the dollar bought alot more than today.

[@brianortiz2200]

True

[@jobellecollie7139]

Ive always paid cash for homes. My first home was not as expensive, but sold at a small profit, then I just kept doing this until I had enough for my dream home.

[@BeatTheBush]

=D Like a starter.. then jump to a dream home. But then these days you might have to do that a few times.

[@LockheartAesthetic]

Jobelle Collie how are you allowed to buy in cash? I thought that they had to check the bank and see where you got the money? I want to buy a house soon but I don't know how

[@aquatrax123]

what worked for me when saving for a house was to take my paycheck and put the entire amount in my checking account and then every other paycheck after that when I still had money in my checking account went to savings. This made me really think twice before spending money. I was able to last several weeks or more on one check while all other paychecks where being saved.

[@BeatTheBush]

That's one way to save indeed. =D

[@ngiapjune9238]

This is why I watch your videos and learn from you. Keep up the good work.

[@BeatTheBush]

=D Thanks for your support!

[@luciouswong1848]

Great analysis. I love the way you explain every single scenario!!!

[@HorizonPictures]

Hi; new sub here! I appreciate how thorough and concise you relay information. Keep up the solid work man!

[@BeatTheBush]

Thanks! =D

[@LAStreetPreacher]

If a person spends $200 a month eating out (and many people do) that amounts to about $12000-$15,000 in 5 years when you consider a 15% return on your money which is attainable in the right investments. That's a lot of money that could be used to buy a house or pay cash for a car. Financing a car and house are one reason why these material things are so expensive. Credit creates more demand which drives up the price of everything. Paying cash forces you to save and requires discipline. Defer gratification and watch prices in general drop but people are impatient and impulsive. They swallow too much advertisements enticing them to buy, buy, buy and do buy NOW! No, wait and save.

[@kohort1]

Also there are pros and cons with condos...HOA fees might be high but you don't have to save for roofs and termites etc. A lot of old homes leak heat like crazy. Some small bungalows can see a 200-300$ pge bill. My place is 40-75$. No garbage or water bill. Don't need Comcast bc we get webpass. Just ancillary costs to think about when you buy.

[@BeatTheBush]

HOA fees can add up to the full price of the condo over a 30 year term. Crazy.

[@kohort1]

BeatTheBush true but my point was basically that you have to consider what you are paying for and compare what you don't have to pay for w a normal single family home pretending it's in the same location..or not. In my case, I have a pool and nice gym and front desk/security. Of course, I do without a nice little yard to call my own and no garage to store my stuff, car...I have to go up and down the elevator to pack my car for a trip. Etc. It's no, joke but still chalk it all up and figured that it's worth it being a few blocks from Bart, Amtrak. Anyhow it's hard to buy now with new tax rules and economy kinda going past the avg cycle period and impending interest rate increase.

[@thefrugallandlord2226]

Don't forget about costly retrofit assessments voted on by crooked board members and contractors.

[@kohort1]

the frugal landlord true dat. Knock on wood...our place is one of these newish cement midrises w 225 units but 15 years old...not so new as to not have rounds of maintenance issues. We'll see. The HOA accounting looks alright.

[@MJAli89]

Live with parents and save money.

[@BeatTheBush]

That works too if you can ignore the stigma.

[@ebonyschannel3279]

Beats Daily that’s hard if they busy charging you at the same time

[@irvingonzalez4947]

Some parents dont charge. I wouldnt charge my kids lol

[@ebonyschannel3279]

Irvin Gonzalez my parents charge me and everyone else who worked and live there at the same time. I understand why they do that because if my rent was $1,700 and my child make $18 a hour. I want money from them but at the same time I want them to grow up and move out. If you don’t charge your child They will never move out your place.

[@irvingonzalez4947]

Lol wow what's so bad about having your son or daughter live with you? But I lived with my parents but they didnt charge me but that rent was on 600 lol depends where too I guess. But they did made me pay other Bills so it kinda evened out I guess

[@rudybentancourt335]

Thank you BTB, quick question, if i may? I bought a home over a year and half ago, not a place where I'm going to retire in. How would you suggest saving for another home where I do want to retire in? There is little to no equity in this home because I did a VA loan. Will be debt free in a few months and will only the mortgage. I'm also behind the power curve on retirement.. Any suggestions? Or a video reference? Thanks again.. Hope your Christmas was great...

[@nickslayter5835]

Would the home work as a rental?

[@rudybentancourt335]

Nick Slayter it could but it's in a Oilfield town and would have to find responsible renters, not sure I want the hassle of being a landlord either…. But could also be a good investment if paid off early.. just not sure what to do.. Definitely not a retirement home for me though..

[@nickslayter5835]

rudy bentancourt I would recommend looking into property managers. That way if the numbers work out. You can build equity in the property, have a little cash flow, and have very little work. Unless you thinl you could fix it up a little and force some equity. That way you can at least break even

[@reptilianskin]

rudy bentancourt a friend of mine years ago bought a house close to work. He was single. He ended up renting out rooms to coworkers. Every bedroom was spoken for. And the den on the main floor also became a bedroom. He ended up cash flow positive on the property, essentially living in his home for free. His savings went toward principal repayment, and when he sold pulled a lot of equity out, and he moved to a new part of the country to marry and settle down and home prices were substantially less. In his culture, wife’s parents match the groom or the grooms parents downpayment. He was mortgage free within 2 years of moving in.

[@na2love103]

You right. I really appreciate for your time thank you soooo.... much. Keep doing the best videos.

[@duwaynewright6291]

Should you buy a house in 2019, make a vid on it.

[@melloyello7349]

Those student loans are tricky. I seriously recommend calculating the amount of interest you have paid on student loan monthly payments completed thus far then do side by side comparison with a projected pay off date. I paid my debt off in full but saw that over the 4 years of my paying they’d leeched almost 7 grand in interest. Had I continued my payment schedule they could have easily gotten another 7 grand over the coming years even with their “convenient payment plan”. Seriously be aware.

[@BeatTheBush]

The interest does add up over time. You think it is very little but it's constant over many years.

[@123lilypad]

Thanks for posting BTB! This kind of video is what I subscribed for haha. I have a large student loan burden and appreciate your input on that in regards to saving for a house. I do find that you give very conservative advice, which I appreciate as it makes me realize how frivolous my current spending is and how much room I have to save

[@BeatTheBush]

Conservative? I guess I model it after what I do. Yes it is conservative rather than more leverage.

[@emilamante]

Hi - what's your opinion on the bay area housing market, specifically, should I wait 2 or so years til I'm able to save 20% down payment (around 140 - 160k) in the east bay, or get into the market with as little as 3.5% now since prices are still on the rise?

[@FCT8306onTwoWheels]

4:09 hell yeah I paid off over $10,000 by using extra funds from a part time and left over from my full time to become debt free before last Christmas!! Yo you just have to start saving and get used to that, you'll want to save more and more faster and faster. Snowball effect, not impossible . And definitely live within or below your means, cut back on what you dont really need

[@bustdetector1738]

should i drive uber on the side to get some extra cash for my down payment? i would pretty much have no life because it would be on the weekends and when im not at my day job but might be worth it.

[@TheJanayWellsShow]

Go for it 💯

[@nicholaslam5880]

Seeing that real estate in the Bay Area is so expensive right now, buying a $1mil dollar home and renting it out is not ideal. I mean I have enough to cover the down payment but if I rent that out it's going to take like 20-30 years to pay off before I start seeing cash flow coming in which is too long....Would it be a better idea for me to put a down payment on like 4-5 houses in another state like Arizona or Las Vegas and just fly down there once a month to maintain it and collect the rent?

[@themedic3001]

Those peas in a pod are so cute XD

[@Viviancphotography]

I love love love your channel. My husband and I just got married few months ago and we are renting a place. We set a goal to buy a house in 3 years (before I turn 28). Your videos are really teaching us a lot how to make it happen!!

[@BeatTheBush]

That sounds great to me! After you get into this saving mode for the down payment... well you just keep on doing it to save for retirement instead, lol.

[@Brutus2834]

Thank you for making this video

[@susanastevens4963]

You discuss options where to put money but can you define each options n say what determines why you choose or reject it as a viable option?

[@BeatTheBush]

I never considered which one comes first as I usually just do all of it. There is an order that is most advantageous to least for investing in retirement accounts though.

[@HtS643KyS6555GxQ3edA]

If your mortgagor/lender orders an appraisal and the appraised price is lower than the sale price of the house, you would have to come up with the down payment plus the difference between the appraised price and the sale price of the house.

[@BeatTheBush]

Or you can skip the deal and not buy it too right?

[@HtS643KyS6555GxQ3edA]

BeatTheBush yes walking away is possible too.

[@larasingg]

How did you learn the skills to do house upkeeps?

[@BeatTheBush]

KZbin! Well actually... I didn't look it up except for fixing the washer brake assembly. I fixed my own water mains. Dug a hold, patched up the pipes, done.

[@joeldoxtator9804]

I have a hard time seeing a house as anything other than an expense hole that you will never dig out of. Most of us have hobbies and hobbies cost money. If you want to save for a house, saving for a house has to basically become your hobby. This is soul crushing and very similar to financial prison. The only way to avoid such circumstances is to have a job that pays 70k+ a year and those are few and far between. The sad fact is that the majority of us will never own houses unless the price comes down A LOT or wages start to catch up to inflation. Most people that buy a house right now are looking at maybe having paid off by the time they retire. Do you really want your whole life until you retire to be about saving and working ONLY?

[@BeatTheBush]

It does indeed help the more you make. Not joining in the property party means you can get left out of the rising prices. Think about it this way. In order to retire, you may need to own a home outright to minimize your costs. You cannot afford to have fixed income and have the rent prices rise on you.

[@joeldoxtator9804]

I don't know what housing prices are like in the US, but here in Canada we are already at historic highs. These sky high prices are entirely hinging on speculation, so to say that it will keep going up forever here is a fools game. To buy now in Canada is to guarantee that you will lose value by the time you are anywhere close to paying it off. Percent of income required to service mortgage debt has reached 75% for the general population. It is totally unsustainable. Something will give.

[@BeatTheBush]

Can you imagine using 75% to pay for your dwelling... omg.

[@stonecold9573]

Awesome video. If it's a seller's market, should we wait for the housing market to go down? If so, what are indicators to watch for to be able to predict when the market will go down again? Is Amazon is good place to sell unwanted things?

[@BeatTheBush]

Housing market usually lag a bit behind the economy. But the thing with predicting housing prices is that you cant. I might just keep on inching up for another 5 years for all I know. A heated market can get even more heated. I sell on Amazon and eBay. Amazon is a bit restrictive on what you can sell whereas eBay is like a garage sale, almost anything goes.

[@stonecold9573]

BeatTheBush Ahhh, I see. Thank you for your response!

[@davemojarra4734]

The real 'secret" is no wife, no kids.

[@emmatessier600]

A wife can improve your cashflow actually

[@antonbriggs5680]

Emma Tessier If she is frugal. I was fortunate to find a wife who earns more then she spends.

[@Lovemovement7]

or no husband and no kids..Tax times sucks though

[@mikeanderson3811]

also no hot gf and no fucks

[@emmatessier600]

Anton Briggs, not that I wouldn't applaud frugality, but wives could also simply earn more than the husband (which is the case in about 35 percent of marriages).

[@titiung]

$300k for an EXPENSIVE house? No wonder people are leaving California. You're lucky to get 2 bedroom, 1 bath with $300k

[@BeatTheBush]

That's the average home price in America. In California, a typical house goes for 600k to 1.2 Million

[@DangerClose805]

Yea to get OK house in Cali is like $700k 😑

[@hoodribs3848]

Good advice. I'm definitely saving this to my money folder.

[@kenshintakishi]

hi, great video! do you rely on any website or app to keep track of all the credit card rewards and points?

[@BeatTheBush]

I use a spreadsheet in Microsoft excel.

[@karlsie]

I signed up for Audible with your link. Doesn't it come with a book by you? I don't see it anywhere. Help? Thanks.

[@BeatTheBush]

I do not currently have an audio book. The sign up is for you to get a free audio book from any publisher. You might consider the Intelligent Investor or Millionaire next door.

[@karlsie]

Ohhh... Got it. Thanks.

[@JK-Visions]

I think one should save for a house when your still living with your parents. When on your own here living cost are really high and one can maybe save up to 400 euros perhaps. But with no internet and tv that would drive one insane lol. So 100.00/400 is 250 is still 20,8 years you have to save..

[@UrAvgInvestor]

I am saving up for house too. In 2020 is my goal!!!

[@BeatTheBush]

Nice! Going slow might not be a bad thing right now. It's pretty high.

[@wesam8444]

hahahaha knock knock punk , Corona virus is here , fuck your dreams

[@alirashidikouchi6825]

Nice one. Thanks BeatTheBush give us a tour of your house 😊 Why you never talk about Amex online saving?

[@irene2814]

can you do a video where you talk about your personal life a bit? Like do you have/want a girlfriend? Any plans for marriage? What is your family like? What do your parents think of your youtube channel?

[@fabiola925]

How do you make it without subscription internet?

[@a.d.b535]

$100 per hour? Who makes that kind of money?

[@angelorobain4932]

Engineers

[@gtcosmoredstars5795]

Thanks. I'm gonna go deeper, to seek advice about buying a condo or small home and land. For under a specific amount. Less than 150k less than 100k$$

[@Papeeshka]

You should take first time homebuyer class to learn about all the programs. You don’t need 20% to avoid PMI with a CRA loan!

[@BeatTheBush]

Here is one way to not pay 20%. kzbin.info/www/bejne/nZuVnoqKa56LbKc I just think you should, for your safety.

[@xlasvegan7x]

You’re the man Beat

[@JR-jz7mt]

Do you recommend buying a house now with current market conditions? Or wait?

[@BeatTheBush]

I think it's risky but I cannot make a firm recommendation because I cannot tell the future. For me though, I wouldn't buy.

[@Zachery_]

What about short term cds while saving the 20% down payment? At least you can get 1-2%, really doesn’t make much of a difference though. With the VA loan you don’t have to worry about PMI even if you put 0% down, but that doesn’t apply to a lot of people

[@thefrugallandlord2226]

If you're stupid enough to invest in CDs go right ahead!

[@Wangste002]

If you had student loans, why wouldn't you just rent and pay them off at the same time?

[@jakemarek5925]

Thanks man!

[@swaguilar_]

Where do you learn to plumb or to fix your car? SkillShare?? That's fascinating that you do that! I'd like to do that because I just clean the house when my parents work and they pay for services like oil change and what not so I'd like to help them out by decreasing how much they spend!! :D Awesome video! I'm glad I subscribed!!

[@ParentsVoice]

I’ve always had the “American Dream” of buying a house but the mortgage interest turns me off. Should I buy a house if living with siblings is pretty cheap. I contribute to thr household so if I left, their expenses would increase slightly. I would have more space and bragging rights but my expenses would increase also and I just don’t see why I need a whole house other than it being a place to showcase all of my belongings in an organized fashion. I always associated owning a home with having a partner so I think a house to myself would also make me feel lonely. If I saved/invested the money I would use to pay for a mortgage and built my net worth that way, would that be just as good as owning property?

[@BeatTheBush]

It depends o a lot of factors. You are now trying to guess if you put X dollars in today in either Home value or Stock market, which will come out ahead some years from now. During a boom cycle, like we have seen, and it being leveraged, a house can earn you a lot but it can also lose you a lot of equity if you buy at the wrong time. This becomes a guess right now since it's pretty hard to predict the future of either.

[@JJ-yu6og]

Thank you for all your videos!!!! Great content!!! 🎄🎄🎄🎄🎄Merry Christmas 🙏🙏🙏🙏🙏👍👍👍👍👍

[@BeatTheBush]

Merry Christmas! =D

[@nubetoob9292]

Should someone make sure they have their emergency fund saved before they buy a house? And if so, should that emergency fund include and estimate of your future mortgage expenses for 6 months - 1 year?

[@nubetoob9292]

My thinking is that you need a place to live either way, and the rent vs mortgage expense is usually comparable. So either way you’ll be spending this living expense money every month. The only upside with a rental is that if you’re month to month you can get out from under the expense, or run out your lease which should be a year or less. But not being able to pay your mortgage puts you in a tougher situation.

[@BeatTheBush]

Your burn rate increases as soon as you take on a huge mortgage. Hence your emergency fund must grow to accommodate. Should you take the risk and have your number of months you can survive without a job reduce momentarily until you save enough? That is up to how much risk you want to take. You job might feel secure enough but you really never know when it will involuntarily end.

[@jfos358]

How do you have no cellphone subscription?

[@TheRosswise]

I use Tracphone. I get a new phone every year with a full year of service for $50. You can get it off ebay.

[@cherrytung]

Nah I never pay to keep "bonds" with coworkers, maybe even friends. Quite fortunate to pay next to nothing every month in the food category.

[@BeatTheBush]

Keeping relationships usually costs money. Unless you go over to play board games and drink water.

[@Papeeshka]

Buying a shack in LA with a good school district is 1M 😭. I am trying so hard to save and took the first time homebuyer class and learned all about every program and I still am stuck in saving mode. It is so hard in LA.

[@BeatTheBush]

Yeah.. it's really crazy right now along the coasts. Crazy.

[@AirElegant]

Love this video!

[@lisafanucchi5939]

Funny! I’m a professional hairstylist and always look at your hair lolol You should support us-we need to eat too!!

[@JohnVito]

Lisa Fanucchi he cuts his own hair. I’m pretty certain that credit shifu cuts his own hair too. 😛

[@geofferypmeyers]

Putting 20% down on a house is important because if you don’t put 20% down you have to pay PMI, Private Mortgage Insurance, which will add hundreds to your monthly mortgage payment.

[@BeatTheBush]

PMI is wasted money that does not apply to the principle.

[@jajasmile5321]

Sarah Meyers What's 20% of 400K .

[@enochjohnson1841]

80k

[@babyblue8820]

Great video & very helpful, thanks!!

[@larabrongel2614]

Great advice BTB! How about a video on DIY home security?

[@Besttutorialworldyes]

get a dog lmao

[@WYLTK411]

Yes please!

[@gavinkalikapersaud7225]

no cell phone. then how do you get by with communication?

[@BeatTheBush]

I have one that runs on LTE data only. So it's a fake phone but people can still call me over data. I can call out also. Go figure.

[@2legit2Kwit]

I bought a house when I was 28. It was 140k house. I put 40k down. Buy below your means and don't buy in Silicon Valley. My house is worth 300k now and it's paid off. I live on the west coast near the ocean 60 miles north of Seattle. Best decision I EVER made.

[@BeatTheBush]

Wow... must be peaceful over there. How is your ability to buy fresh food... fresh seafood? Specialty food or fruits etc?

[@2legit2Kwit]

BeatTheBush hey BTB, love your videos. The seafood is great in the Pacific Northwest. Lobster, clams and salmon are regional favorites. Thank you for the great information. Love your channel!

[@Naturenerd1000]

Yeah 3-10 dollars a day on eating fast food everyday at work really adds up. Trying to make a sack lunch from now on. Keep thinking wow I could have hundreds of more dollars right now if I just didn't eat out when I'm tired from work all the time.

[@BeatTheBush]

Exactly. And eating fast food will kill you. It's actually costing you $30-100 a meal by the time you factor in health care costs to repair your body later on.

[@santoor02]

I think this is an important video that needs more viewership definitely. Everyone needs to follow this

[@BeatTheBush]

Thanks! =D

[@santoor02]

Btw I live in the Bay area as well and I think housing here is just a scam to milk the tech guys. I'm sure in the coming years it will get hugely impacted by the anti H 1b stance and tax reforms. Good luck to folks who bought at the peak. I'm cashing out !!

[@shamiranandani6751]

cool sweater!!!!!where is it from?

[@BeatTheBush]

INC I think. International Concepts form Macy's It's like 6 years old.

[@Itouchlove]

I love your videos they help me out so much to reach my goals. you have helped my family so much to aim to reach my goals

[@BeatTheBush]

I'm glad you get benefits out of them! That's what they are for. Free for the taking. =D

[@Lifeissorich.]

Saving the money in a taxable account might be good as well if you have 5+ years until the down payment

[@belenc.2924]

Do you think storing money in a money market a good idea?

[@BeatTheBush]

As opposed to an online savings? What rate you getting? 3/2018 top is 1.55% at Discover.

[@belenc.2924]

BeatTheBush That rate is better than my credit union. Thanks

[@BeatTheBush]

ops, i meant Synchrony is 1.55%, Discover is 1.5%

[@BLANSTAR21]

Everyone talks about the "20%". I think saving for 20%is good. However, I wouldnt put it all towards the house... I would put 10% or so and keep the remainder for home expenses or extra stuff.

[@BeatTheBush]

Then you spend more in PMI which is less money paid into your principle. If don't have enough money to pay 20%, you might have to if the bank lets you.

[@BLANSTAR21]

That's true.. but I'm sure the bank would allow that because I've made good choices for myself. I guess what I'm trying to say is that everyone's situation is different.

[@eduardobilbao5526]

have you always been wired this good at saving and always maintaining a long term perspective in mind?

[@BeatTheBush]

Careful honing from correcting mistakes in the past. I made my fair share of mistakes.

[@gregorywood6336]

I've been waiting for this one!!!

[@BeatTheBush]

=D

[@simpletongeek]

Or just go cheap and live off grid in a tiny house. Land:10K. House 5K. Done! :) Some people live in a boat. If you don't want the stigma of a live a board, just borrow address from friend/family members as you "resident". ;) Best if you live in coastal area, though, instead of in the middle of a desert!

[@BeatTheBush]

That would be interesting. Is there internet in the tiny house?

[@simpletongeek]

BeatTheBush Sure. Depends on where you live, but you can always have Internet with your phone. Not a question of access, but of bandwidth.

[@minjungkim9756]

Hello, Beat the Bush. My husband and I love your channel. Thank you for the information. Can you please tell me how come you don't have the cell phone plan? I would like to have the free plan as well. Please help me. Thank you again.

[@BeatTheBush]

I typically use this: kzbin.info/www/bejne/jWimfIWBnr-raqs But I also jump to other plans that gives me free or very low cost service.

[@sleeplesssongbird7625]

My problem is I live in an area where work is hard to keep due to many of the stores and businesses only being able to provide a specific set amount of hours and wages for those hours, even if they may be incredibly short-handed or in need of a more-open means of paying their employees. Due to this limited amount of time I can work at both of my jobs, I've had to basically "grind" and pay as much as I can on my immediate student loans and bills. After my scholarship ended, I'm afraid a lot of my own "nest egg" went towards paying as much of those bills off as they could at one point when I had a burn out and had to request time off from my second job. I was able to take out a loan to go back to nursing school, so hopefully after I graduate and make it to working at a hospital or clinic in my area I could begin saving again. :) I would love very much to have a place of my own and I'm all-for any sort of tips and knowledge I could gain from this sort of video, thank you so much for your time in making this.

[@BeatTheBush]

What country do you work in? Low wages is a very real point for affording a home. Sometimes, you can save all you want for 10 years and still have very little saved because your burn rate is so close to your income. If you already lowered your burn rate as creatively as you can, then it's time to also look into making more money via longer term methods. These include more education or doing things on the side that could blossom into bigger things.

[@sleeplesssongbird7625]

@@BeatTheBush I live in Alaska. I did go to college and am returning to school for a CNA license as well. Unfortunately while this is exciting for me on the one hand, because it is a way to learn a trade that I already have some experience in, it's also something that is going to be stressful for me as I cannot work at the main job I relied on to pay my loans during the time I am taking this class, and I will have to sign up for unemployment during the next few months while I'm studying, (and that makes me a tad nervous- since there's no way of knowing yet if that will keep my head afloat yet or not with bills.) I really do appreciate the work you put into your videos and hope there is some knowledge from the information in your videos that will help me continue to keep moving forward, I look forward to watching more of your channel and thank you for responding!

[@Alex-mz2nb]

$300k house? Where do you live? in Brooklyn you cannot buy one bedroom apartment for $300k :)

[@BeatTheBush]

Median home price in the US is $200k. So you really have to look at where you live, prices vary by 5x for the same house depending on location.

[@MrRba122]

In Texas for 300k you can buy an awesome house

[@dankadybong7948]

Alex . he lives in san francisco. the house bubble city. $300k is cheap there.

[@andrewlopez3745]

in texas 300k would get me a mini mansion

[@MRC673]

All you lucky Americans talking about a 200k house as if it's cheap! I'm so jealous. Heres an example: www.realestate.com.au/property-house-nsw-south+penrith-127335598 This is a no-name suburb on the far outskirts of Sydney with nothing special industry wise in the area. Yet it's 600k+. You can only imagine how much higher the prices are the closer you move to the Central Business District. I feel like I will never own a house in this country unless prices half or more! But if that happens, a lot of people will lose everything. I'm just glad I've got a car that's paid off and I don't have any debt and I have a decent job which I can save some money with. I'm very lucky for my situation and age.

[@supergirlkeke]

do you suggest paying more then 20% for a down payment ?

[@BeatTheBush]

Only up to where you still have 1+ year of emergency savings. You need enough to keep comfortable.

[@philiproth3676]

When you turned your head to the side, it became obvious that you cut your own hair

[@ygbodybuilder3023]

Lmao

[@adamgarrett7665]

One other very important factor to consider is down payment assistance. I combined down payment assistance (a program where the minimum time it took was 6 months), with most closing costs paid by the seller, with boosting my credit to over 760, with a conventional renovation mortgage loan to get an incredible deal. Especially with increasing interest rates, it can be good in many cases to put less than 20% down, especially if you get a good enough deal where you can get your PMI canceled after a 2 year seasoning period like I'm planning on doing & in the process of since I have >20% equity already even though the total down payment was only 5% since it was such a good deal.

[@BeatTheBush]

Sounds... complicated.

[@adamgarrett7665]

@@BeatTheBush I do tend toward that direction for savings at times if there is a way to stack savings.

[@adamgarrett7665]

I'm also a real estate agent, so a complex stacking is more natural.

[@BeatTheBush]

I see. I typically enjoy simplicity but if you are okay with that, I'm glad it works for you. =D

[@adamgarrett7665]

@@BeatTheBush Another thing that I wasn't eligible to use but a lot of first time home buyers are (& current owners in some cases) that is often stackable is a mortgage credit certificate. For the down payment assistance that I used, I couldn't do that and an MCC, but many DPA programs allow an MCC to be stacked. While many states have it and the programs vary, in VA, it's a 20% tax credit every year for all the interest that you pay for the life of the loan as long as you live in the house.