How Much Home Can You Afford? (Dave Ramsey vs The Money Guy Show)

How Much Home Can You Afford? (Dave Ramsey vs The Money Guy Show)

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[DrProfSlugger]

My biggest issue with Dave is that he comes off as if assumes that the younger generations are stupid and want more than they can afford. While that can be true at times, it's not the case a majority of the time. We need to stop buying avocado toast I guess.

I always appreciate watching you guys because you're not talking down to people.

I'd also like to ask for the name of the study regarding workers with longer commutes. I couldn't find it but I'll admit that I didn't look too long.

[BrandonMinguez]

Back in 2019, I couldn't afford the nice area close to my work, so I bought in the next city over that was more affordable (and a 20 minute commute). Easily one of the best financial decisions I've ever made.

[MrBlake]

Dave is just so tone deaf on buying homes anymore. He still clings so hard to his 15 year fixed rate, no more than 25% of your take home pay rules. In my market that gets me an absolutely GUTTED, crack house that is literally 100+ years old and needs serious updating to basic things like electrical and plumbing. And that's on me being active duty mil, and my wife working about 30 hours/week. With a family of 5 that doesn't cut it man. Not in Montana. But if I bump to 30%, on a 30 year fixed, I can stretch to a much nicer, newer (like 1950s to 1970s newer) 4 or 5 bedroom. So disappointed Dave has refused to change with the times.

[spencerbrady]

Yeah those small homes still exist but they are literally the SAME homes from back then - just 60 years older with roof leaks, bad plumbing, and antique electrical systems. These homes used to be on the outskirts of town but now (at least in Houston) the city has exploded over the decades so these homes are now comparatively in the inner-city.

[stephenriggs]

Houses are oversized. You can't blame the consumer, when that's all the market is offering them. ... Dave would have you rent the houses he's buying, while he cautions you to wait.

[brianjames]

My wife and I make 238k combined and we’re struggling to find a home in our desired city for less than 750k. We’d have to live an hour and a half from our target workplaces. It’s nuts out there.

[jordanfoslett]

Lol the Average house in my area in Ontario Canada sells for like 600 grand. You ain’t finding nothing here anywhere close for under 300 grand. I get what Dave means but you will never be able to afford a house following a 15 year mortgage on 25% of your income living here. Here in Canada everywhere is really expensive.

[matthewsawczyn]

Me watching this knowing dang well I can't afford a house for another ten years 😅🙈

[randomstuff]

Dave lives in the 70s and hasn’t looked at current data inn20 years

[brooksorlando]

Dave just comes off like a dbag to me..that's why I've opted to listen to other financial channels over him

[jduzen]

Trying to equate a garage door opener to a dog wash is what makes him a 🤡

[Denileism]

Yea I don’t know how anyone in their 20s buys homes. My gf and I are both engineers and are barely able to afford the average homes in the area. People of Dave’s generation literally bought average homes with minimum wage single income salaries. That’s impossible nowadays.

[Drivingbangers]

Man I can’t wait to buy a house…they’re 140-200k around here I make 51k gross. I’m Single, 30k saved up living at home right now. I hope to next summer. Thanks for listening to my diary lol

[Twister-V]

I would honestly prefer to rent until I'm 50 than have a commute that's more than 20 minutes. Especially considering most cities in america have terrible public transit. As much as i enjoy cars and driving, driving to work/school in traffic is the most depressing things you experience in life seriously

[dustinjohnson]

When my mortgage was 35% of my gross income, buying a daily soda at the gas station was reckless spending. Buying a car or investing was out of the question. Now it is just below 20%, I can save for retirement, drive a nice car, and have freedom for those nice extras.

[loganblevins]

Dave is so tone deaf. Just because a Garage door opener was a luxury decades ago doesn’t mean it correlates to current time pricing.

[jacobpierce]

I'm hesitant to diss Dave because I love him and his advice works for all people. However, in a clip he explains how he made his first million after bankruptcy. His income was $100k for a while then $60k (great money for the early 90s). Assuming he worked his butt off, he's still out of touch. I don't like using this argument though; a principle that works still works no matter who espouses it

[getinthespace]

We are saving up 2x a down payment. 30-40% for a $500k house.
Instead of buying that house, I'm buying land and building a house myself.
$20k-40k for a few acres. $15k each for well and septic. I'll do all the land prep myself, clearing, stump removal, build my own driveway. Bury electrical from the house to the road. $160-180k in materials for a house that would cost over $500k to buy.

[northabbot]

Surprised you didn’t mention safety as a consideration in home buying. I’m renting on the edge of a really bad area. A sizable part of my income goes toward security systems and locks

[Azel]

Great vid guys. I know you guys said the house payment should be 25% of gross pay. Does this change if I have the cash to buy the house, but choose to invest the cash instead of paying off mortgage?