<prompt> Human: Hi all,As a bit of a background, Ive been working for a few years. I have a decent chunk of savings built up around 12k, money being put into a company 401k, and some roth funds. I have no debt. I recently was promoted at my company and am getting a sizable pay increase 49k to 63kyr. With that, Ill be able to put away more money faster. It feels like Im throwing away money if I keep renting, and its a loss for a possible investment. I live in a big city Chicago and Im looking at possible condos. I was thinking of spending at most 200k for a 1 bedroom, or at most 300k for a 2 bed. Realistically I would be looking around 150k for 1 bed or 250k for 2 bed. The 2 bed I would get with the intention of renting out the extra bedroom to supplement some cost. Obviously I would try to be able to afford the 2nd bed without a roommate, and the roommate would be a bonus. I dont plan on starting a family or anything any time soon or ever so Im not worried about the extra bedroom for that.Current monthly expenses: Rent: 900 CarHome insurance: 50 Utilities: 100 Public Transit: 100 pretax Groceries: 150 Gym: 25 BarsRestaurants: 400 I know, I knowI plan on cutting down on that last expenditure this coming winter summertime in Chicago is short but expensive.I wasnt planning on buying until around when my lease is up in July at the earliest, which gives me some time to save with that extra salary and yearly bonuspotentially. Im aware of the upkeep costs and Im willing to put in some sweat equity and buy a place that needed some light remodeling. One thing Im concerned about is HOA fees. Most if not all places in the city have some sort of HOA fee associated with the unit. Would that replace a lot of the upkeep costs? Since I assume I wouldnt be responsible for upkeep costs on the building, but only the unit I own. Also a concern is property taxes. We just saw a pretty big property tax hike and Im worried about future big increases.tl;dr: Is it worth investing in a home or should I put my money elsewhere?  <response>: Is it worth investing in a home or should I put my money elsewhere?If you are looking at the home as an investment, then DONT DO IT. Houses are illiquid and have large transfer costs.Yes, there are exceptions which is how house flippers and developers make money. I dont think you are in that category. have a decent chunk of savings built up around 12k, money being put into a company 401k, and some roth funds.The 401k and roth are retirement funds, not savings. In my opinion you have only 12k saved, which is nowhere near enough for a down payment, let alone the collateral costs such as moving, insurance, and repairs. 