I have an issue when you really do know what you are talking about and people don’t listen to you.
Ok my advice for my sister and I think it is sound advice especially since I have lived the last year, which was a very expensive last year and came out alive.
when someone has the chance to live rent free for at least a year, not have any bills…Why wouldn’t they take this time to say “hey I am going to live debt free and stock away every damn penny I can”
My advice for all you under 25 that want everything. GOOD LUCK….
It doesn’t work that way, everything takes work and I am one dedicated person, I work my ass off to get things done and it was still tough.
If I was 23 years old, with no rent, no utilities and no real bills. I would put everything but enough money for clothes and gas to get around away. Damn that would make my 1st year of home ownership much cheaper…
Also if i was going to buy a home by myself I would get a 2+ bedroom and get roommates. Why you ask? Because then i would have people helping me with my mortgage for the first couple years until it was a good time to refinance nd get a cheaper mortgage. Hell it is your home…Kick them out whenever you want but hell splitting a 1200 dollar mortgage is pretty sweet when you are building equity.
I also would keep whatever beater I was driving and stick with it. The people who retire early and live the good life are not the ones with a 300 dollar or more car payment.
Also I have had my readers write me for my opinion about whether or not they should buy now.
Both people just finished college and have never known what it is like to have all expenses on their plate. Here is a breakdown of what I have going out a month…I know personal but maybe it will help someone…
Mortgage – I pay 1/2 of a $1249.00 mortgage
This will be going up to $1420.00 (ouch) next summer when we need to pay our own condo fees, worked out having the condo fees paid the 1st year.
This amount cover the Mortgage, The PMI ( mortgage insurance because we did not put 20% down at closing, but it is now a tax credit), and our insurance.
Utilities-
Cell Phone – Total is 85.00 a month I average a 50.00 a month payment for 1/2 of the cell bill.
Gas- In the summer it is 8 dollars in the Winter it is about 125.00
Electricity – it reached 400.00 in August and it runs about 135.00 monthly when not blasting the AC.
We are lucky to have no water bill because that is included in the condo.
Other expenses….once it is your home you are responsible for anything and everything that occurs hence why a good savings is beneficial when buying a home. At least with a condo there is no lawn mower buying. 
***** Advice section. Part of a good condo search would be the ones that include you heat, electricity and so on in the condo fees. The condo fees will run about 400-500 a month if that is the case but when you figure that My electricity has gotten as high as 400 in one month it can be nice to always have the same payment.
So that was household expenses…
Personal
Car payment I have a monthly payment of $298.00
( without that I would have almost an additional 36o0 in my savings each year, I have thought long and hard that I could do without this payment and sell my car. I love it more than life but the cost is one thing to think about)
Insurance- I pay a lot for insurance $381.00 a month . Hopefully Neil and I can find a way for him to insure my car and I will insure his.
Credit Card payments- funny thing is when you buy a home and need new furniture, washer dryer and whatever else it seems to go on credit. at this moment I am able to pay my minimum around 60 a month.
Other- Gas for my car, food bill, ect……. it is amazing the amount of money i put out each month. my next two unemployment checks are spoken for already sighhhh wait next three. I have one check a month to pay the extras.
I need to make over 50k again and no more stress…..
So my advice…
Stay Debt free as much as possible. Have as much as possible in a reserve for expectant problems….and don’t rush so much debt when you are under 25…You have the rest of your life to be in over your head in debt.
WORD