It s been shown to be a level of debt that most borrowers can comfortably repay. You can afford a house up to 288 940 based on your income a house at this price should fit comfortably within your budget.
You and your co borrower s annual income down payment and location which is a primary factor in determining your interest rate and property tax.
How much house can i buy. If you buy a 200 000 house your private mortgage insurance will cost roughly 2 000 annually or 14 000 over the course of seven years. To determine how much house you can afford most financial advisers agree that people should spend no more than 28 percent of their gross monthly income on housing expenses and no more than 36. When determining what home price you can afford a guideline that s useful to follow is the 36 rule.
The total house value should be a maximum of 3 to 5 times your total household income depending on how much debt you currently have. How much you can afford to spend on a home depends on several factors including these primary factors. If you are completely debt free congratulations you can consider houses that are up to 5 times your total household income.
How much house can i afford. Your total monthly debt payments student loans credit card car note and more as well as your projected mortgage homeowners insurance and property taxes should never add up to more than 36 of your gross income i e. In general you should budget 1 to 3 percent of your budget on house repairs and maintenance.
It is always advised to expect the unexpected with homeownership. Quickly find the maximum home price within your price range. However if you are considering a.
That home payment assumes a 30 year mortgage at current rates and includes 1 property tax and 0 4 for. See how much your monthly payment could be and find homes that fit your budget. It is important to not completely raid your savings when you buy a new house.
Find out how much house you can afford with our home affordability calculator. To easily determine how much house you can afford use our home affordability calculator. To calculate how much house you can afford we ve made the assumption that with at least a 20 down payment you might be best served with a conventional loan.