Buy small now, or rent for a few more years to afford more?

DH and I are stuck. Once he gets a full time job this year, we should have enough money where we could buy a 2br condo here in VA. However, if we wait another 2-3 years, we could afford a larger townhome (sadly, it's rare in Northern VA to find a normal sized house... it's either a townhome or a mcmansion). Part of me wants to try to but sooner and stop renting... but DH wants to just save the move, and wait until we can afford something nicer. The housing market it down now, so I kind of want to jump on that.

Any suggestions? Buy in 6 months, and then probably move again in like 3 or 4 years, or buy in 2-3 years, and probably be there for a while?

TIA

Re: Buy small now, or rent for a few more years to afford more?

Why don't you look now and see what is out there that you could afford.

And think of it this way - if you buy now and stop renting, you won't be throwing $$$ away each money you'll be gaining equity on your condo/town house to be able to afford more down the road when you want something bigger.

Re: Buy small now, or rent for a few more years to afford more?

Considering how low the prices of homes have dropped in NOVA (DH and I will be relocating there from MD)- I would recommend buying sooner than later.

How much are you saving per month in regards to rent vs. mortgage? With the equity you'll be making in a home rather than renting, you'll likely end up with more $$ to put towards your "dream house." NOVA, especially areas around Loudon county are growing VERY quickly- the equity you'd likely build by buying into this buyers market could be huge.

During our home search in NOVA, we found that some people are DESPERATE to sell their homes- you might be surprised at what you can afford.....

Re: Buy small now, or rent for a few more years to afford more?

We could probably afford much more in loudoun, but i work in springfield, DH in woodbridge, so we're trying to stay in the I-95 area, which is more expensive, but we really love the area.

I also want to look into buying sooner than later, but I'm having a difficult time convincing DH of the same...

ETA: Where in VA are you moving?

Message edited 3/3/2007 2:48:40 PM.

Re: Buy small now, or rent for a few more years to afford more?

Loudon county- preferable the Leesburg area, although it's more $$ than the immediate surrounding areas like Lovettsville.

We've put the relocation on hold for a year though- we have an opportunity to live rent free for a year in a house my parents own (near Annapolis), so we'll be able to save way more than we could have gotten from equity from our house in a year.

Considering you guys are renting now- you are THE most attractive type of buyer right now- it will give you alot of bargaining leverage since you don't have a house to sell......