Early Saturday afternoon, I went to the bank and met a young man to discuss opening an RRSP. I told him that I wanted to start saving pronto for an early retirement and he mentioned first time housebuying. Since I’m hoping that we can buy a house in two years, I decided to also open this RRSP for that purpose.
Then he asked how much I wanted to put away each month into this account and I said $50.After shaking hands and leaving, I felt all grown up and proud of myself for finally creating this account.
Then I got home and looked at the real estate ads. $300, 000 seems to be the ‘magic’ number that many houses sell for nowadays! But there are some that hover up to the 400-600K range! 600K! How the hell can anyone afford that?! Now I’m not an idiot, I know houses aren’t cheap and I had told Mr. Banker that once Hubby starts working, I will be increasing my monthly contributions. But at those prices, I might as well start looking into organized crime!
After browsing the houses for sale online, I called my other investment specialists-my parents-and discussed the situation with my mom. She seemed confident that once I increase my monthly contributions, that we could still buy a house fairly soon. Then she took a stroll down memory lane and said that what she and my dad paid for the house where I spent the better half of my childhood in, was $50,000 dollars waaay back in the 80s!
So basically I have to save up to around what she paid for her entire mortgage just as a downpayment! Insane!
What about you readers? Do you rent or own? How did you scramble together the money for a downpayment or did you just forego that entirely?