Question regarding affordability. (San Diego, Carlsbad: mortgage, credit card, day care)

[derek10rr]

Hello my name is Derek, I have a CPA and have close to 8 years of experience at a CPA firm, and currently make 85k and my wife makes 42k as a medical transcriptionist with 5 years experience. We are currently living in Canada, but due to all the rain where we live and the high taxes we are both paying on our salaries, we are looking to relocate. I have received several job offers from accounting firms, usually at the same pay I am making now or more.

My question is this, between my wife and I, our annual combined income would be approximately $130,000.

Is this a sufficent annual income to buy a nice home in the SD area? I dont mind having a longer mortage years wise, to have a nice home. We have relatively no major bills or debt, our student loans are paid in full, and we only have two credit cards and no children. We would like to start a family within a few years but would want to get settled in our new community first.

I am just wondering roughly, how much is needed per annual income to afford a nicer home in the SD area?

Thanks for your time.

[NYSD1995]

Originally Posted by derek10rr

Hello my name is Derek, I have a CPA and have close to 8 years of experience at a CPA firm, and currently make 85k and my wife makes 42k as a medical transcriptionist with 5 years experience. We are currently living in Canada, but due to all the rain where we live and the high taxes we are both paying on our salaries, we are looking to relocate. I have received several job offers from accounting firms, usually at the same pay I am making now or more.

My question is this, between my wife and I, our annual combined income would be approximately $130,000.

Is this a sufficent annual income to buy a nice home in the SD area? I dont mind having a longer mortage years wise, to have a nice home. We have relatively no major bills or debt, our student loans are paid in full, and we only have two credit cards and no children. We would like to start a family within a few years but would want to get settled in our new community first.

I am just wondering roughly, how much is needed per annual income to afford a nicer home in the SD area?

Thanks for your time.

Depends on your lifestyle and definition of a "nice home". At the 130k mark you are looking in the 500k range and to be totally honest - you may be in for a shock with what 500k will buy.

[derek10rr]

Originally Posted by Sassberto

Depends on your lifestyle and definition of a "nice home". At the 130k mark you are looking in the 500k range and to be totally honest - you may be in for a shock with what 500k will buy.

thanks for the prompt reply. By nice home I mean a nice looking home, nothing too old and run down in a safe area, at least 2 bedrooms, two bathrooms, 1500 Square feet+, somewhat of a backyard as we have two beagles who need to excersize when they are not at doggie day care or on a walk.

I'm not sure what a home like this goes for in SD, I was just trying to gain an idea what our salary could obtain.

[brittZ]

My sister in law and her husband are in the 140K a year income catagory and they just bought a house in Carlsbad. Their house is 1700sq ft 4bedroom 2 bath on a decent size lot but with a cracked (and supposedly repaired) slab, and the rest of the house being in near shambles (25 years old and never remodled/renovated in anyway), and major landscaping/drainage renovation required. They got it for what was considered at the time a good deal of 590,000. They have no kids, one car payment, and a small amount of revolving debt. They were forced to ask his mother for help and she pays about a 1/3 of the mortgage every month and they still had to use creative financing to qualify. I think it is insane. There are other areas where you could do it cheaper, but they had to be in Carlsbad for whatever reason.

To better answer your question. Your income honestly wont get you to far in most areas of San Diego if you want a "nice home." You would borderline on house poor and if you added any other debt to your equation i.e. kids you would be living house poor. The good news is that with your experience and your CPA you can probably make more in your field. My wife is in accounting and is in the 65-75k range with a BS and 9 years experience.

[NYSD1995]

Originally Posted by derek10rr

thanks for the prompt reply. By nice home I mean a nice looking home, nothing too old and run down in a safe area, at least 2 bedrooms, two bathrooms, 1500 Square feet+, somewhat of a backyard as we have two beagles who need to excersize when they are not at doggie day care or on a walk.

I'm not sure what a home like this goes for in SD, I was just trying to gain an idea what our salary could obtain.

Run some numbers and take a look - a truly nice house in a nice area is going to cost you at least 550k if not 600k or more.