Personally, I would probably wait till she's done with the master's program so you make sure she can get a job in the area you want to live in and you will have her income to put onto the mortgage as well. That will make it a lot easier to qualify for homes that you want to live in longer most likely. Until then invest in retirement and build that downpayment as it sounds like you are a bit short to start buying soon. Waiting might also give the housing market time to stabilize a bit and mortgage rates to decrease. Who knows.