Housing is not an investment for most people. Recent housing market has been loopy, but usually housing trails market returns and barely beats inflation.

If your goal is to invest in RE the math is different than if you simply intend to own your home. If your goal is to simply increase NW with minimal effort then the market is a much better option.

Buying isn’t about age, it’s about need, income and finances.

Your down payment is already fine. Regarding need, you should be stable in the area, stable in your job, and anticipate owning this property at least 5 years. Regarding income, your monthly mortgage payment (including taxes, homeowners and HOA) should be under 28% of your gross (not net) monthly income.

If all that’s true, it doesn’t matter if you are 22 or 82.

You would be on the hook for the rent. If you also are looking for an apartment, you’ll most likely be denied.

The simplest way of putting it is that you will be financially responsible for everything your sister is responsible for but without the benefit of actually living there.

As someone else already said, if you ever have to sign documents attesting to your financial obligations/debts, this counts.

You say you aren't worried about your sister not paying. I mean it's not a problem until it's a problem.

Many people cosign for others every day. Some people have a smooth experience and others get screwed ponying up the money for someone else.

Do you know if that pro rule applies if I roll my entire traditional ira into my 401(k)? I believe it’s possible, but does it open up any more options?

This seems like something you should definitely pass on and maybe show some "tough love" by not co-signing. I would highly recommend to you to ask your sibling to move somewhere cheaper.

I have seen language to that effect on leases. That's why guarantors usually need 5-10x income instead of 3x income for apartments, they assume you have other financial obligations related to your own housing.

My parents have applied and trying to cosign but are currently getting the runaround, not sure if it will be a yes or no for them :/ suspect that it’s related to student loan debt for my sibling and I and other debt idk about

Being on the lease is a lot more than just being on hook for the rent. You are on the hook for the entire property.

Not trying to be dumb, is that something they include in applications now? No, not trying to lie or anything, just trying to thing of all of these things before putting my name on a lease :)

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If the rental management is worried about your sibling's income and they still won't allow them to rent after your parent's offer to co-sign, it may be two problems:

1. Too much in rent

2. Not enough income

Perhaps you could convince your sibling to move into somewhere cheaper or at least manageable? Co-signing is a scary game even with a good relationship. In fact, it usually can ruin a good relationship.

I did that, in hindsight I should have just gotten a townhome/sfh by saving for a bit longer.

>Worry is that in 4 mo I may be moving

Cosigning an apartment lease isn't quite the same as cosigning a mortgage, it won't be reported as debt on your credit report. However, if your future living situation requires you to fill out an application attesting to "having no other active leases", are you planning on lying on the application? As it's unlikely your income is enough to support two concurrent leases.

And to echo what everyone else is saying, no, your sibling will not be completely on the hook. BOTH of you are completely on the hook. If your sibling starts dating a sketchy character who then moves in and destroys the apartment, that's you paying for the repairs and being sued by management if you can't.

That is something I was worried about to, especially if I move in the next whatever mo

>and my sibling would be completely on the hook

That’s not how co-signing works. You both are 100% responsible for it. Meaning if sibling loses job or just doesn’t pay they come after you.

When op tries to get an apartment on his own, won't it look like he's already paying / on the hook for rent

• its like if YOU signed the lease

Definitely fair, I would push them to coordinate when they’ll send it each month. They have enough in savings to cover it comfortably, they just don’t look like it on paper

that I get, not as worried about that

If they don’t pay you owe the rent or your credit gets hit. Seems like it would be risky considering your parents have debt and sibling won’t make enough to comfortably cover rent.

> and my sibling would be completely on the hook for rent.

Well, if you do this, YOU'RE on the hook for it as well. If your sibling fails to pay, the landlord will be coming to you, and could sue you to recover the back rent.

The risk is that you are on the hook for the rent too.

It is a smart goal as long as the rest of your financial house is in order...primarily emergency fund and long-term investing for retirement. Both of those pots of money should be above and beyond condo savings.

In most cases, long term you will do better in the market than your return on a house / condo purchase. What this purchase does do is lock your housing costs in (somewhat) and get you to the point of owning your place. If you plan to only stay there a few years (under 5-7) it's not a great idea as the market could decline and you could end up selling at a loss. Buying and selling has a cost. If you do buy do your research well, either lean on someone local that really knows the area or use a buyer's agent that can tell you the best areas and where you would be best off buying. Real estate location matters and can affect the long term value greatly.