I Bought a Home in NYC Before 30

I Bought a Home in NYC Before 30


I’m a photographer and I bought my own
apartment New York City before I turned 30. So asking for a friend, how much does that
cost? My apartment cost $375K. It took me 10 years to save up and I’m really happy
that I did. Did you have any student loans? Yes. I went to a 4-year public
college and paid that off in four years in 2014. How did you save? I hustled. I
started an entry-level job in a media agency and I looked at my paycheck and I
said there is no way I’m doing anything with this type of income. So I started
working on the side doing my passion photography. I spent nights and weekends
doing photo shoots and started to accumulate a savings. So now you’re ready
to buy an apartment but can you walk us through the steps? You first start with
the down payment. You have to have the down payment in liquid cash in your bank
account. Once you have the down payment you have to find a bank who’s gonna
front you the rest of the money to buy your apartment unless you have all that
cash sitting around which in my case I certainly didn’t. So you have to hire
yourself a realtor, a mortgage broker, a lawyer, and also in my circumstance a
contractor since the apartment that I bought needed a lot of work. Then what
happened next? The check that you write for your down
payment will probably be the check that is the scariest one of your entire life.
For my apartment I put down 10% and every person’s situation it’ll be
different though. Typically you put down 20% some people to put down 30% but I
was lucky enough to be able to put down less than 20% the only additional cost
that I had to incur is that when you put down below 20 the bank asks you to pay
what’s called PMI. It’s just insurance that makes basically guarantees that
you’re gonna be good every month to pay your mortgage back but that money is
contingent upon your credit score and then the good news is that once I hit 20
percent that will go away. And what kind of mortgage did you get? You can either
get a fixed mortgage rate or you can get one that fluctuates.
I got a 30-year mortgage some people get a 15 but I wanted a little more cushion
to repay my mortgage back. Do you have any plans to pay it down? Yes in fact
just this month I increased my repayment by $200. Instead of paying my apartment
off in 30 years I’m now looking at 24 years and in total I’ll save around 80
thousand dollars in interest. Are there any other fees that people don’t realize
when it comes to buying an apartment? Yes. A lot of people forget closing costs. All
those people that I said you had to hire back there they have to be paid. It’s all
a learning curve and you’re gonna be so proud of yourself at the end.
Every single time walk into my apartment I say the same phrase I say ‘you pulled
it off.’