I want to get a house for $120k how long would it take to have enough money for the down payment if I save $50 every Friday I get paid?

[Anonymous]

[jamesgoldman]

Well let's start with how often do you get paid

Weekly, bi-weekly or monthly

So allowing a 10% down payment on $120,000 that is $12,000 plus any other fees required (here in the UK you get stamp duty which is 3% of the
purchase price paid upfront on top of the deposit)

So $50

Weekly would take 240 weeks equal to 60 months or 5 years

Bi-weekly would take 480 weeks equal to 120 months or a decade

Monthly would take 960 weeks equal to 240 months or 20 years

Add to those figures the inflation eroding your spending power and you might get there weekly but monthly you might as well shelve your home ownership plans unless you have a rich great aunt or win the lottery

Professional tip to avoid inflation is buy gold because house prices and gold generally remain quite well pegged between 150-300 ounces in the UK market but have historically been as low as 50 and at one point hit 700... your house would be about 60 ounces so the deposit would only be around 6 plus fees

[MTC29]

With a 10% down and adding on fees (points) and closing costs, you'd need about 25 years. Some lenders will allow 5% down (in a few cases even less) but you set yourself up for a much higher monthly payment.

Keep in mind that private mortgage insurance is required for borrowers with a down payment of less than 20% of the home's purchase price. On a $120K house that will add $75 per month to your mortgage.

Sit down and talk to a financial planner about how to INVEST (not save) your $50 per week. Tell them it is to purchase a home and they will devise an investment plan to speed up you getting a down payment. Good luck.

[andreasderjuengere]

Math: you need 2400 months. That's 200 years.
If any banker tells you that you should go for that house, then we all know why :)

But once you turn 200something, you will be a perfectly free person :D

[Guy13]

By the time you save that, using your method, you will be 20,000 short due to Dwelling Value increase. Save a 100.00 every Friday.

[Luggit]

About 4 years, 4 months. Normally it's roughly 10% they want down

[SnakeBoop]

Use a calculator and do it yourself?

[OddBeMe]

Some loans you can wrap the down payment into it.

[In_Trance]

You asked this already. Do math