[quote=CA renter][quote=latenightsd]@CA Renter: I share your sentiment, but is that really true for the majority of educated, middle class folks buying home in recent years?[/quote]
Yes, unfortunately. From everything I’ve seen and heard, the vast majority of people — irrespective of their income levels and education — spend way more than they should and don’t put much money (if any!) toward savings other than retirement and perhaps some college savings. IMHO, that’s still not conservative enough, as other expenses always arise that will quickly chip away at any discretionary category (water heaters, new cars, new roof, etc.).[/quote]
Another way to protect yourself is to buy your house at a price level and area that rent out at a small profit if you ran into problems later.
This way, if you get transferred, have a career change, beomce ill or otherwise lose income, you can go rent a 1 Bedroom flat and rent out your house. Of course, you will still need a reasonable cash cushion. Just one more factor to consider.
