<prompt> Human: 27 year old male here. Salary is around 80kyr with bonusesfor the purpose of this discussion id like to assume those dont exist. Have around 15k in the bank, and bring home 5kmonth after taxes, insurance, and 401k. Im single, and have no plans on changing that anytime soon, and will be living alone. My lease is up and I am looking at buying. I hate apartment living, and feeling like I am throwing money away on rent. I will be in my current cityAustin for at least the next 7-10 years. The house I am looking at is just north of 250k. My estimated paymentmonth will be 2080including mortgage insurance, and all taxes. I also have a truck payment at 570, and insurance for that. So, I am assuming when I factor in internetutilities I will be over 3kmonth in bills. Is this a smart decision? I am concerned I wont be able to even afford furniture for my house, or ever be able to take a vacation. The real estate market here is insane. Many houses go for more than their asking price. I am in construction, and from looking at our numbers this year, and starting into next, the residential market is going up. This place is definitely a starter home for me, and although it is not my dream home, I would be very comfortable in it for the next few years. Can someone with an outside perspective give me some insight as to what Im getting myself into? My dad is really the only one I know to give me advice on this, and he is of the mindset that real estate is a safe investment, and historically appreciates in value. The house is new, so maintenancerepairs will be minimal. Just want to be prepared for this. FYI - my APR is locked at 4.35 30 year note. Edit: Thanks for all the help guys! Gonna take a step back and re-evaluate my position. Have a meeting tomorrow with my familys banker and am going to asses where I am, and my options. Thanks again!  <response>: The real estate market here is insane. Many houses go for more than their asking priceDoesnt this ring any alarm bells? This is what youd expect to see when housing is way overvalued and possibly due for a correction. 