<prompt> Human: Right now Im in my early 20s and I have recently started my first salaried job. I have about 15k in savings and Im on track to at least double my savings in the next year. My annual income is just under 40k. Im being told that I should go ahead and purchase a home, but Im not sure if I can truly afford it. In my area, a common 2bd2 bath would run around 150k. What do you guys think, am I jumping into this too soon?  <response>: Im being told that I should go ahead and purchase a homeBy whom? Where do you live? 40k in annual income really limits you to about 120k house and Id be a bit cautious and look for 100k range. 30k in savings would be great for 120k house but not for 150k technically its perfect but dont forget incidentals and emergency funds.Who is telling you to get a house because it depends on the type of pressure youre under. I wouldnt say you need to buy one right now but youre also missing a lot of info, such as: where you live how much you pay in rent how long you plan to stay in the areaLastly, why 2 bath? 1.5 bath should be fine for a starter home that has resale value. 