u/Gravelbike720

Living in Quebec, Me (29) and my girlfriend (25) are looking to buy our first house. The one we want is at 650k, and here is our situation:

• We have a combined income of 176k that will grow to at least 186k in 2028.
• After paying for initial transaction fees we would be able to put 90k down and keep a 20k for emergencies.
• Monthly housing related expenses (taxes, electricity, mortgage,insurance) would be about 3800$ (26% of gross income).
• Our other expenses (Food,car paiements, dog, gas, insurance, etc) adds another 3k (conservative number)
• After these obligatory expenses, every month, we would still have between 2,5k to 3k left for things like more savings, clothing, activities,gift, eventually replacing phones, etc. )
• We need 2 cars, one Car is fully paid (2015 but low milage) and one is new 2024 (will be paid out in 2030 and accounted for in budget expenses).
• we have no debt other than the one car
• we are not planning for kids for about 5 years.
• We dont go out much and are not big spenders (but everything is expensive now).
• the house is old but has been well maintained and recenty renovated and there is no need for major rénovations in the coming years.

We think Its doable and makes sense but the 650k Price feels so high and scary for a first house. Are we reaching too far here?

We are also not sure if 2,5/3k left per month extra is sufficient for living well and saving for when we will have kids + potential house renos, vacations, clothing etc..

While the house is amazing we want to avoid being housepoor. But are we being too cautious?