Re: Advice: how to live on $7.70/hour
Buying a 80k house isn't that hard. If you get a 30 year mortgage and assuming you get interest rates that are around 3-4% and put down a 20% down payment, your monthly payment is $270-$310. Add in taxes and insurance and it's less than the rent amount McDonalds budgeted for lol.
Say you get one of those FHA loans where all you are required to put down is 3% or so and the monthly payment for 30 years and 3.5%, the monthly payment is $382. 40 hours a week x $10 x 4 weeks = $1600 a month before taxes. Generally mortagers require your house payment to be no more than 33% of your income or so. So it's possible even then.
As for the prices, depends on location. Where I live you ain't buying a house for $80k though you could get an ok condo in a decent area. 1.5 hours up from me, my cousins bought a really nice 2 story house built a few years ago for $140k. Not bad. Minimum wage in an area like this is doable especially if there is more than one income.
With that said minimum wage sucks. But let us be honest, raise it by say $3 and $10 an hour or whatever it is still sucks. I made $6 off the books when I was 15 and made over $12 working at a bank when I was 19. So take that for what it's worth because I never had to live on minimum wage.
Last edited by ALBballer : 07-21-2013 at 12:28 AM.