Scenario: To buy or not to buy?

Brandon and Tracy are trying to decide whether and when to buy a home. Which choice do you think is best?


Brandon and Tracy both have demanding jobs and live in a beautiful $1,200 a month apartment. They’re considering buying their first home and have found two they like. Each costs $200,000; the monthly mortgage payment will be $1,298. The house they prefer needs a lot of repairs. To buy either, they’ll need most of their savings for the down payment and need to cut back on a number of things in order to pay the new monthly expenses. What should Brandon & Tracy do?
Keep working, saving, and enjoying their apartment until they can buy a house they really want.

The consequences of your choice

See the consequences of this choice for Brandon and Tracy and hear what the coach has to say.


Brandon and Tracy ”We’re enjoying our apartment, but we don’t feel like we’re getting anywhere financially. Our friends who own homes are starting to build home equity and have tax advantages, but all that we have to show for our $1,200 a month is a cancelled check. We wish we’d been more flexible about giving up a few things and bought a home sooner.”
Buy the house that’s in better condition.

The consequences of your choice

See the consequences of this choice for Brandon and Tracy and hear what the coach has to say.


Brandon and Tracy “For us, this was the right choice at the right time. Even though this isn’t our dream home, it’s great start to building home equity, getting tax advantages, and putting down roots. We’re managing our money carefully to pay all the new expenses and upkeep of the house. And we’re so glad we didn’t buy the other house! We liked it, but we wouldn’t have had the time or money to deal with all those repairs.”
Buy the house they prefer, even though it needs repairs.

The consequences of your choice

See the consequences of this choice for Brandon and Tracy and hear what the coach has to say.


Brandon and Tracy “We’re glad to be homeowners, but living through the remodeling is a hassle. We’re both so busy at work that we have to hire contractors for many of the repairs. That costs a lot, especially on top of all of our other new home expenses. On the other hand, we’re in the location we want and the house will look great when it’s done. Overall, we think our investment in this fixer-upper will be worthwhile.”
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Your first home may not be your dream home, but it can be a good first step. Consult your tax advisor regarding the deductibility of interest. Click the Next button to continue.
Getting started Homeownership: Benefits & Realities The costs of homeownership Your home as an investment Are you ready? Scenario: To buy or not to buy?