Personal Finance (Not Investing) • Buying an expensive house later in career

In your position, I would pay cash for the next home. Then I would save until I could retire with no more than a 3.5% annual withdrawal of my retirement funds for expenses to include taxes.

Even after paying cash for a million dollar home, the maintenance costs, including taxes and insurance, will be significant. And you ll have plenty of space for visiting children with their families but this space will go unused for most of the time. Assume your retirement date will be mid 60 s given your savings rate. If the kids go to expensive colleges and later graduate/ professional schools, how much of that you cover will be a factor.

We built a vacation home with cash when I was in my mid 50 s. My last child finished medical school when I was in my mid 60 s, about the time I retired. Both kids went to top 10 colleges expense wise as well as professional schools. Only a lifetime of heavy saving and fortunate earning provided for these expenses. And using the Bogle method for passive market investing and accumulation.

You ve done well to have the opportunities you have. Congratulations.

Statistics: Posted by bltn — Wed Nov 19, 2025 11:47 pm — Replies 6 — Views 830

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