Your budget is key. Can you adjust your spending to cover a $5k mortgage? Being pre-approved doesn’t mean it’s affordable. Think about the lifestyle sacrifices you’re willing to make.
Consider how the home will hold value. Is it in a desirable area? Even if the payment is high, could you rent it if needed?
Single income of $14k pretax, plus my boyfriend’s $5.5k. My mortgage is $1550, and he contributes a third.
Monthly income: $14k net. Mortgage: $3500.
Our income is $300k a year (~$20k take-home), and we pay $3700 a month. We don’t escrow; we use tax returns for property taxes.
If your income is $12k pre-tax, a home price of around 3 times your income is typical advice. Don’t forget PMI if you’re putting down less than 20%.
Annual income: $370k, mortgage payment: $6,700.
Our mortgage is $2800 on a $480k home at 2.5%. Income is around $350k. Escrow keeps increasing due to taxes.
Household income is $250k with a $3k mortgage.
Income: $7k per month pre-tax. Mortgage is $1100 with taxes included, plus about $90 monthly for insurance.
Our mortgage will be around $5500 a month with taxes and insurance included. Household income is $250k. Gonna miss the low COVID rates but happy with the move.