Lawyer folks: when did you buy a house? (or when do you plan to?) Forum

[AaronCarter]

tag

[Yugihoe]

tag. I want to buy a house, but NYC sucks. Looks like a lot of DC home buyers ITT.

[Anonymous User]

When I bought a house: 5 years out of law school, 1BR condo
Salary? Fed (currently GS-14)
Student loan debt? graduated almost quarter-mill in debt
Market/location? DC
Other factors (spouse, inheritance, etc)? Parents helped with half of down payment
Purchase price? Same as student loan debt :-/

[Anonymous User]

Bought a house in law school (so works and saved for a few years pre-school)
Salary: HH income about 50k/year
No debt and a full scholarship
Market: Chicagoland

Saved up enough to put half-down. Bought a really cheap house in an up-and-coming neighborhood (lots of stock out there...) will have about 150k in equity to use as a down payment once I start biglaw.

[smokeylarue]

Key to buying a house according to this thread: don't work in SF, LA, or NYC and when you do buy, have your parents help out.

[Anonymous User]

When I bought a house: 8 years out of law school (closing in two weeks!)
Price: ~900k
Salary? In-house, similar to junior biglaw salaries
Student loan debt? Zero (my spouse has some)
Market/location? Boston
Other factors (spouse, inheritance, etc)? We could have bought much sooner, but didn't want to be tied down. Instead, we spent most of our money traveling. Now we're going to be house poor -_-

[Anonymous User]

Since we're talking about houses, I'm gonna ask this here. Anyone can recommend any particular areas in Brooklyn worth looking at when house-hunting? I work in downtown Manhattan, spouse works in Brooklyn, so we need trains to be within walking distance. Looking for a safe area that would allow for a bearable commute lol Looking for something 2-3 family to rent out one of the apartments to help with mortgage. Income about 200k for both of us. Able to put down about 300-350k. Any advice is appreciated!

[Anonymous User]

Key to buying a house according to this thread: don't work in SF, LA, or NYC and when you do buy, have your parents help out.

LA is not even close to comparable to SF or NYC.

3 years from law school.
Cravath Scale
No debt
LA market
650k 2br condo close to Staples center.

edit: i shouldnt say LA "is not even close" because its a somewhat relative comparison. But I'd venture that it goes SF > NYC > SV > DC > > > LA

[SmokeytheBear]

Key to buying a house according to this thread: don't work in SF, LA, or NYC and when you do buy, have your parents help out.

edit: i shouldnt say LA "is not even close" because its a somewhat relative comparison. But I'd venture that it goes SF > NYC > SV > DC > > > LA

That's not right at all. LA is far more expensive on par than DC. The issue with comparing LA to anything else is that it is more expansive and has more micro-markets than its peer cities. Be that as it may, it's still more expensive than DC and likely on par with SV.

[FascinatedWanderer]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

[SmokeytheBear]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

According to the data, that is correct. Median home prices in the San Jose-Santa Clara area are around $1m, while in Los Angeles County they are around $570,000. But my point is that Los Angeles County includes many, many vast swaths of territory that people who work in the legal industry won't live due to how massive Los Angeles County is -- no one working downtown or in Century City is going to be living in Castaic, Gorman, Lancaster/Palmdale, etc -- whereas the Palo Alto-Santa Clara market is much more compact. If we compact the area in Los Angeles County where people can live, prices would likely be closer to the same.

[FascinatedWanderer]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

According to the data, that is correct. Median home prices in the San Jose-Santa Clara area are around $1m, while in Los Angeles County they are around $570,000. But my point is that Los Angeles County includes many, many vast swaths of territory that people who work in the legal industry won't live due to how massive Los Angeles County is -- no one working downtown or in Century City is going to be living in Castaic, Gorman, Lancaster/Palmdale, etc -- whereas the Palo Alto-Santa Clara market is much more compact. If we compact the area in Los Angeles County where people can live, prices would likely be closer to the same.

Is that the case though? There are plenty of 2-bedroom luxury condos in the DTLA area that sell for 650-700K. Those would be selling for 1.25M+ in SF or NYC. What gets you a nice, livable apartment in DTLA (where assuredly many associates would live because of how many firms are in downtown) gets you an oversized closet in NYC/SF.

[SmokeytheBear]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

According to the data, that is correct. Median home prices in the San Jose-Santa Clara area are around $1m, while in Los Angeles County they are around $570,000. But my point is that Los Angeles County includes many, many vast swaths of territory that people who work in the legal industry won't live due to how massive Los Angeles County is -- no one working downtown or in Century City is going to be living in Castaic, Gorman, Lancaster/Palmdale, etc -- whereas the Palo Alto-Santa Clara market is much more compact. If we compact the area in Los Angeles County where people can live, prices would likely be closer to the same.

Is that the case though? There are plenty of 2-bedroom luxury condos in the DTLA area that sell for 650-700K. Those would be selling for 1.25M+ in SF or NYC. What gets you a nice, livable apartment in DTLA (where assuredly many associates would live because of how many firms are in downtown) gets you an oversized closet in NYC/SF.

I never said LA was as expensive as NYC/SF. I agree those two are more expensive.

[toast and bananas]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

This is a $1.5 MILLION home in Palo Alto lollllll

[SFSpartan]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

This is a $1.5 MILLION home in Palo Alto lollllll

While I agree that the Bay Area market is grossly overpriced, this is a pretty extreme example, given that $1.5M also buys pretty nice 2-3 bedroom places right next door in Menlo Park.

[anon3030]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

According to the data, that is correct. Median home prices in the San Jose-Santa Clara area are around $1m, while in Los Angeles County they are around $570,000. But my point is that Los Angeles County includes many, many vast swaths of territory that people who work in the legal industry won't live due to how massive Los Angeles County is -- no one working downtown or in Century City is going to be living in Castaic, Gorman, Lancaster/Palmdale, etc -- whereas the Palo Alto-Santa Clara market is much more compact. If we compact the area in Los Angeles County where people can live, prices would likely be closer to the same.

I disagree. Lots of nice places in Palms and Mar Vista area for $1M (15 minute commute to Century City and about 45 minutes to downtown), where that seems almost impossible to find in SV without commuting at least an hour. I bought a decent westside house in 2014 for $800k 3 miles from beach and 15 minutes from century city. Similar places in SF or SV would be $1.2-1.5M. Huge difference.

[SmokeytheBear]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

According to the data, that is correct. Median home prices in the San Jose-Santa Clara area are around $1m, while in Los Angeles County they are around $570,000. But my point is that Los Angeles County includes many, many vast swaths of territory that people who work in the legal industry won't live due to how massive Los Angeles County is -- no one working downtown or in Century City is going to be living in Castaic, Gorman, Lancaster/Palmdale, etc -- whereas the Palo Alto-Santa Clara market is much more compact. If we compact the area in Los Angeles County where people can live, prices would likely be closer to the same.

I disagree. Lots of nice places in Palms and Mar Vista area for $1M (15 minute commute to Century City and about 45 minutes to downtown), where that seems almost impossible to find in SV without commuting at least an hour. I bought a decent westside house in 2014 for $800k 3 miles from beach and 15 minutes from century city. Similar places in SF or SV would be $1.2-1.5M. Huge difference.

Good for you for buying in 2014, but NEWSFLASH amgio, the market has changed in the last 3 years. Maybe you've missed the hojillion news articles about the housing crisis in LA?

Go to Zillow, search for Palms and Mar Vista, narrow the search to houses (since that is what you're talking about), and show me more than a couple stragglers that are under $1.2m.

Also, as someone who has dabbled in the westside market over the last two years, nothing is going for asking, so that figure is likely at least 10%-20% below reality.

The point is that NYC and SF are by far more expensive than anything else, with SV and LA following not too far behind.

[ATXBiglaw]

Bought a house just under 2 years out from law school
Salary? Cravath scale at the time of purchase (since moved to a boutique)
Student loan debt? $40,000 - paid off under a year from graduation
Market/location? TX
Other factors (spouse, inheritance, etc)? Spouse made $65,000; interest rate was low 3s; only put 10% down
Purchase price? $460,000

Also got married & bought my now-wife a new car within a year of purchase. Was strapped AF for cash for a while, but built the nest egg back up using my bonus from last year.

[run26.2]

Above is the way to do it re the down payment. When I bought my house a while ago, a couple of banks were giving associates financing up to 1MM with only 10% down. I know some of the private banks will give loans to partners at 5% down. I'm not sure these types of deals are going to be around forever.

[devilblue]

.

[FascinatedWanderer]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

According to the data, that is correct. Median home prices in the San Jose-Santa Clara area are around $1m, while in Los Angeles County they are around $570,000. But my point is that Los Angeles County includes many, many vast swaths of territory that people who work in the legal industry won't live due to how massive Los Angeles County is -- no one working downtown or in Century City is going to be living in Castaic, Gorman, Lancaster/Palmdale, etc -- whereas the Palo Alto-Santa Clara market is much more compact. If we compact the area in Los Angeles County where people can live, prices would likely be closer to the same.

I disagree. Lots of nice places in Palms and Mar Vista area for $1M (15 minute commute to Century City and about 45 minutes to downtown), where that seems almost impossible to find in SV without commuting at least an hour. I bought a decent westside house in 2014 for $800k 3 miles from beach and 15 minutes from century city. Similar places in SF or SV would be $1.2-1.5M. Huge difference.

Good for you for buying in 2014, but NEWSFLASH amgio, the market has changed in the last 3 years. Maybe you've missed the hojillion news articles about the housing crisis in LA?

Go to Zillow, search for Palms and Mar Vista, narrow the search to houses (since that is what you're talking about), and show me more than a couple stragglers that are under $1.2m.

Also, as someone who has dabbled in the westside market over the last two years, nothing is going for asking, so that figure is likely at least 10%-20% below reality.

The point is that NYC and SF are by far more expensive than anything else, with SV and LA following not too far behind.

Please reconcile.

[Anonymous User]

Above is the way to do it re the down payment. When I bought my house a while ago, a couple of banks were giving associates financing up to 1MM with only 10% down. I know some of the private banks will give loans to partners at 5% down. I'm not sure these types of deals are going to be around forever.

Pmi sucks though. Could consider an 80/10/10 when rates are lower like now. But yeah down payments are definitely the hard part for a lot of people.

*I'm anon from earlier with investment properties

[dabigchina]

The point is that NYC and SF are by far more expensive than anything else, with SV and LA following not too far behind.

SV is just as fucked up as SF. The only saving grace is (mostly) good public schools.

[dabigchina]

That's not true at all. Homes in Palo Alto are far, far, far more expensive than all but the priciest parts of LA. In general, NYC/SF are in a league of their own. LA might be third, but it's not even remotely as expensive as those two markets.

This is a $1.5 MILLION home in Palo Alto lollllll

On the plus side, there's a Philz within walking distance of that place. The neighborhood is actually really nice, so I would actually consider dropping 1.5 and another 2-300k on renovations to make it livable (if I were a tech bro with VC money).

I've made peace with the fact that I will probably never buy a home in the bay area. Just comes with the territory.

[Anonymous User]

House #1: Law school
Salary? n/a
Student loan debt? n/a
Market/location? next to T14 law school
Other factors (spouse, inheritance, etc)? Spouse made ~30k
Purchase price? 150k

House #2: Upon starting biglaw job, early 2010s
Salary? 160k
Student loan debt? 150k
Market/location? DC
Other factors (spouse, inheritance, etc)? Spouse, but now staying at home
Purchase price? 420k


House #3: Year 6-7 of biglaw
Salary? 280k
Student loan debt? 0
Market/location? DC
Other factors (spouse, inheritance, etc)? Spouse, but now staying at home
Purchase price? 850k