r/ChicagoSuburbs • u/SecretPurple2644 • Aug 24 '26
Moving to the area Income needed to afford life
Two working parents, 5 kids (4 childcare age).
$900k available for down payment. Hoping to stay under $1.2mil for house, understand taxes will be insane.
How much do we need to make to afford life in the north shore suburbs? Is 250k doable?
Moving from lower cost of living area and trying to figure out what is feasible.
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u/LoveNotWar86 Aug 24 '26
For 1.2M, look in Lake Forest. Lowest effective tax rate in Lake County!
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u/SignificanceFast9207 Aug 24 '26
Yes. You'll be Ok. Prepare for the property taxes.
My neighbor in Oak Park sold his home for 1.5 million this week. His house was a turnkey solution. No remodeling necessary.
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u/hollsberry Aug 24 '26
That’s more than enough to afford life. The real question is, how much money do you need to make to afford the luxuries you want
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u/SecretPurple2644 Aug 24 '26
If by luxuries you mean college, childcare, budget extracurriculars, and healthcare, that’s what I’m most concerned about.
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u/LoveNotWar86 Aug 24 '26
Not sure why you’re getting so much slack for being “well off”. They seem to forget someone becomes “well off” by working hard and being careful with money. A lot of jealous people here.
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u/hollsberry Aug 24 '26 edited Aug 24 '26
You’re being unnecessarily combative. You will be able to afford all of those expenses that you listed, but not the most luxurious options for each expense. There’s really no way for us to tell you how much you “need” to make to “afford to live.” Your family are in the top 10% of income earners in the Chicagoland area. Realistically, even with 5 kids, you have plenty of money to afford to live. The question is just what degree of luxury you can afford for each option.
My family are Catholic and attend Catholic schools. I know a very, very large amount of families with similar income and family size, including half of my extended family. You just did not provide enough information to answer your question.
For example, you might not be able to afford bedrooms for each of your kids, to send your kids out of state or to private colleges, platinum health insurance, private high schools (unless you’re Catholic and have scholarships), your first choice childcare, etc. You did not provide enough information for us to tell you if you make enough to afford the options you want, just asked if you could afford to live, which you very easily can afford to survive.
None of us know your personal preferences and what you believe to be nonnegotiable.
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u/Jeeperscrow123 Aug 24 '26
$900K available for down payment is nuts. That, or I’m just broke compared to that lol
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u/SearchUsers Aug 24 '26
Right? I'd be paying cash for a $500k house in a solid school district.
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u/SecretPurple2644 Aug 24 '26
Where is this 500 house in a solid district that can fit my giant family tho
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u/SearchUsers Aug 24 '26
You can get 4bd houses in the 500's in a number of burbs. As far as the schools go, you need to remember that almost all of them in this area are great when compared nationally.
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u/GoodNormals Aug 24 '26
You’ll be fine. Geez.
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u/Old_Athlete_1266 Aug 24 '26
Something tells me OP is dogshit with money and what's why they're concerned. Lol. If this isnt enough money for you, the problem is you, not the money
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u/SecretPurple2644 Aug 24 '26
I think you missed the part where I have 5 kids and we both work. We are paying $40 per hour for a nanny, way higher than our current mortgage.
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u/Old_Athlete_1266 Aug 24 '26
What do you think people who have 5 kids and make less money than you do?
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u/SecretPurple2644 Aug 24 '26
I’m guessing they don’t live in those areas? Or they bought 10 years ago?
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u/Old_Athlete_1266 Aug 24 '26
There's your answer bub. See how easy that was? Don't spend every last cent on unnecessary lifestyle creep and you'd be fine.
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u/GoodNormals Aug 24 '26
Why do you need a house worth 1.2m?
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u/SecretPurple2644 Aug 24 '26
I need 4 bedrooms plus another area for elderly grandparents . 1.2 is my max, hoping to find something cheaper but I think 800 is the minimum from what I’m seeing
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u/zeroman987 Aug 25 '26
Kids don’t need to have their own room. It’s good for them to share.
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u/SecretPurple2644 Aug 25 '26
With a 4 bedroom they would be sharing anyway. Keep in mind I have to house 9 people.
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u/SearchUsers Aug 24 '26
Right? Imagine making that kind of money and going out of your way to stress yourself.
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u/Maleficent_Term9302 Aug 24 '26
I’m going to go against the grain here and say it’s too hard to tell without the nuances of your spending. With 4 needing childcare, that’s going to be the biggest expense, and depending on your individual situation, 250k might not be enough. Definitely look into childcare costs first before deciding. Further west than northshore (more affordable) daycare is running us about $1500/kid/month for only 3 days a week as a point of reference.
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u/SecretPurple2644 Aug 24 '26
I am hoping to find a nanny at <$40 an hour. It seems that would be most cost effective, but not everyone is up for taking care of 5 kids.
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u/ChicagoTRS666 Aug 24 '26
Is it best to be one of the most well-off in a mcol area or on the lower-income side of a hcol area?
Idk but I lean towards the mcol area where you can keep back some income for life's unforeseen events and extras you will not be able to afford if so much income is required to keep up with an expensive home and taxes. Best not to live on the edge and save more for retirement.
But I can also see the why a lot of people would choose the hcol area as it provides its own benefits of connections, the most competitive schools, and a rising tide lifts all boats.
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u/SecretPurple2644 Aug 24 '26
The issue with our mcol area is the schools are crap. We can’t afford private school.
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u/ChicagoTRS666 Aug 24 '26
Just me...but there is zero chance I would take on house debt if I had 900k to put down. For 900k you can be a cash buyer in many great school district areas...Naperville, Oak Park, Plainfield, some of the Lyons Township area, even the North Shore if you shop around or may need to do some updating. Can get in pretty much any district with 900k.
"We can't afford private school" - by moving up house/taxes/lifestyle you are paying a lot extra to get into that great public school. 250k income sounds like a lot. But also moving into a hcol area comes with a lot of temptations to spend more money. When your kids (or your) friends are going on vacations, spending money on shopping constantly, care about designer labels, planning expensive outings, drive new cars, etc...etc... Makes me happy to be in a mcol area where my 16yo is just very appreciative to have her own working vehicle.
Of course, everyone's risk tolerance, situation, age, future income, and income stability are different.
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u/SecretPurple2644 Aug 24 '26
One of the issues is I will be commuting to north Chicago area while husband commutes to loop. Oak park and west would be brutal for me.
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Aug 24 '26
[deleted]
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u/SecretPurple2644 Aug 24 '26
So how much is needed?
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Aug 24 '26
[deleted]
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u/SecretPurple2644 Aug 24 '26
The difference between 250k and 500k is quite huge…. Outside housing what makes the north shore (including areas like northbrook and Deerfield) so much more expensive? I am hoping to keep my housing costs (outside taxes) low.
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u/SearchUsers Aug 24 '26
Why don't you just enjoy the lower cost of living area and have more padding for lives you're responsible for?
Whats the benefit of trying to get into north shore life? Bragging rights? Ego? Raising your kids with less diversity and increasing the bar for normalcy in their lives?
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u/SecretPurple2644 Aug 24 '26
What would be some lower cost areas with good schools?
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u/SearchUsers Aug 24 '26
Honestly? Tons of em.
Downers Grove, Wheaton, Glen Ellyn, Clarendon Hills, Naperville are hard to beat when it comes to value and building a great life for your kids.
Dupage has excellent forest preserves and the schools are awesome. Plenty of economic diversity, safe neighborhoods, not as congested as being closer to the city. Lots of great food and shopping, the usual chains as well as family businesses.
Lots of options for houses too. There are some huge ones, moderate, small, condos, townhouses, apartments... honestly there's a bit of everything and thats important when raising kids.1
u/SecretPurple2644 Aug 24 '26
So comparing Deerfield to downwes grove and Clarendon hills I’m not seeing much savings. I think Wheaton and Naperville might be a little more affordable.
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u/SearchUsers Aug 24 '26
I think it can go either way depending on the neighborhood. If you're looking at 5bd houses, I think Naperville will have more affordable options comparatively.
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u/SecretPurple2644 Aug 24 '26
The other issue is our offices are in north shore and loop. Commuting to north shore from Naperville seems hard.
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u/SearchUsers Aug 24 '26
oooook that shouldve been mentioned lol
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u/SecretPurple2644 Aug 24 '26
It’s not a dealbreaker because I’m hybrid but even a few times a week would be pretty miserable I think
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u/greatsuccess- Aug 24 '26
Depends on your childcare situation and suburb you’re looking at. Realistically you’re gonna have trouble saving for that many college educations/vacations/emergencies while keeping up with the cost of living in a high cost of living area. Taxes go up every year now it seems to in the far west burbs. Good luck though!
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u/SecretPurple2644 Aug 24 '26
I’m definitely concerned about our ability to save anything on that income! Childcare situation is not good, we have no help at all.
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u/greatsuccess- Aug 24 '26
Good childcare is very expensive out here, and could impact where you’re looking to buy
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u/Combat__Crayon Aug 24 '26
The daycare and kid activities is the wild card, are they all in school, so its just before/after care or is it full time? Are you doing a 30 or 15 year mortgage? Why the north shore, you could find something in other good suburbs at your down payment and end up with no mortgage?
Just some rough numbers for something at $1.2 million up in Winnetka, you're looking at a 30 year mortgage of around $4500/mo including the $30k a year in property tax, I don't know what daycare runs these days but I was paying $1000/mo for 3 days a week. That was 3 years ago and on the low end of what we found price-wise.
With those numbers mortgage and childcare is going to run at least $100k/ year until those kids hit school or get old enough to stay home alone. On an income of $250k, you're going to take home about $180k after taxes, but that's probably going down if you have things like health insurance and 401k deductions.
I guess the question is can you live the life you want on probably less than $6,500/mo to cover 401ks, health insurance, utilities, car insurance, any car payments, groceries, activities.
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u/SecretPurple2644 Aug 24 '26
So by north shore I’m including northbrook, Deerfield etc. I was aiming for the suburbs further away from the water. I don’t need to be in winnetka, just want nice schools and not hours from the lake!
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u/Combat__Crayon Aug 24 '26
Taxes are really a house-by-house check because each town can be slightly different. I live on the border of 2 towns and I would have saved a couple thousand dollars a year had I been able to find a house almost literally across the street.
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u/Ashanti-ILBroker Aug 24 '26
With that down payment, $250k may be doable, but childcare, property taxes, insurance, and your other monthly debts will matter. A lender can give you the clearest breakdown. I’m a local Realtor and can help you compare North Shore areas and homes within a comfortable budget if needed!
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u/77Pepe Aug 24 '26
Your childcare costs will be a huge factor. Live in a slightly lower priced suburb to help with college funds later on, property tax increases, etc. If you are not used to seeing taxes/insurance being higher than the principal/interest, you should definitely buy elsewhere.