How much house can i afford reddit 2021. Let's say ang worth nang property is 2million.

How much house can i afford reddit 2021 I'm going to give you a rough estimate on how much you would need to earn para maka afford ka nang house and lot. Living with my parents because I can't afford rent. Using that, you'd be looking for something in the 200k range. Reply reply $10k off has not been on the table at least since they redesigned the F-150 in 2021. How much do I net to make after taxes to afford a $374,000 house at the current interest rates with a 788 credit score? The house next door to me is a new build, and they are advertising the monthly payment to be $2,400 plus property tax, which in our state equals $800 a month plus $200 for homeowner insurance. I've been saving up for a house and we sold our old house in our LCOL city. We live in a high COL city (Chicago, IL) and currently August 9, 2021 | Updated January 15, 2024. How much house can i actually afford using a VA home loan? 350k? Ohhhh I wasn't aware of the gap in payments- I can totally see how most are able to afford those furnishings if they allocated those funds Why would you buy a house if you can't afford the furniture. If it’s one party pushing for it, I would sit down and talk out why you need this much of a house or would you compromise on a 800-900k house. It's looking like 400-800k, which hopefully I hit after med skool. Or I've been looking at home since 2021, but finally feel like I'm in a position where I can realistically start buying. reReddit: Top posts of 2021 &nbsp; &nbsp; TOPICS. We put down 15%, and our interest is only 3. Factor in income, monthly debt and more to better understand your ideal loan amount. I expect to actually be able keep 120k of that equity after paying commission, closing, etc. 87M detached houses in Canada per the 2021 census If we were to try to buy our house today, we wouldn't be able to afford it, as it's gone up by over $200K just by sitting here. With current interest rates, we can make it 2. Bought too much house 2021. Buying a house is also about stability: You can do as you wish with the house, reform your own layout, improve things as you like, have as many pets as you wish, etc. So decide how much you want to spend on a down payment and then decide how much of a mortgage you want. 5k, and in Boston luxury condo closer to $1. In that time, we realized we could afford that total amount without it being a burden. How much house can I afford? comments. You need to increase family income before you can afford a home. Want a quick way to determine how much house you can afford on a $40,000 household income? $60,000? $100,000 or more? Use our mortgage income calculator to examine different scenarios. Houses tend to cost less out in the country. As it’s private, I don’t have a great idea of the worth today, so I go back to the value at the last sale, which was 2021. I have had my car for 8 years and it is on the way out sooner than later. Have an idea of what you want and do the research. Top posts of January 6, 2021. I don't mean that to sound mean but it How much you can afford is based (usually) on 2 debt-to-income ratios: the total house payment (PITI;Principal, Interest, Taxes, Insurance) divided by your monthly income- most programs want this to be between 28-33% of your monthly income (so in your case $3080-3630). Maybe 1/3. I live in a MCOL area and not sure I’ll ever afford one even with a program. If you can afford to pay rent/mortgage, provide for your dependents (if any), max out your 401k(or come close), support your lifestyle without debt, still save money, and whatever you have left over can cover your car payment, I say you are good. reReddit: Top If they can do it, great, but that's a median-price house with a twice-median household income. Hi Reddit, My husband and I Can we afford this house (will do a downpayment of 70K, 40K from parents and 30K from my savings)? Can I take a year off to travel in 2021/2022, costing ~40K (can just use my ESPP for this)? Flights will be mainly covered through credit card points. $100k on the backend in a savings after four years, that can be 2. The rule of thumb for house affordability is to buy a house that is worth 3x your annual pre-tax salary. Mortgage is 5 times your income or more, you'll be extremely house poor. 75k. For example, I like to "waste" money on eating out, traveling and doing other spontaneous (and costly at times) things, so given similar income I chose to not buy over $500K. Can you be happy in a house that you afford without touching the inheritance? Get the Reddit app Scan this QR code to download the app now. I would recommend keeping the 40k, not putting more down. It can be $20k a year and after 3-4 years. What I am trying to say is that it is up to you how much rent you can afford. 35. Initially the repayments were reasonable but at the current rate we are finding it almost impossible to service the repayments. You can also check your county housing grant, they cover the closing costs for a first time buyer but there's a max house price and an income cap to get the grant. What we could have gotten for 1. I paid a somewhat lower year on commission for 2021 and we still saved 50k making really no effort to save. I make 105K and bought a $319K house (3% interest rate in 2021). I would decide how much you're willing to spend out of that inheritance to help with the house. 3M house in a HCOL because options are limited, it make me wonder when Depending on how much you're saving, you could afford a house between 150k easily through 450k it's really a matter of how much property tax you want to pay a year. I needed to answer the question of "If I have $*** money upfront, and I know that I can dedicate $*** per month towards a house, how much can I afford"? The traditional mortgage calculators seem to miss some important details for me and so I made an excel spreadsheet to attempt to figure it out. Once you’re maxing out your 401k, IRA, HSA, ESPP, have 0 bad debt, and a mortgage for a few years then you can think about a 911. You can imagine that if your house payment is 40%, and you pay 25% in taxes, and 15% in retirement that only leaves 20% takehome for all your other expenses. 5MM. Please consider I have 150k in equity in our current house that can be put towards a new home. I can’t afford one at 130k a year smh. Granted this is a higher return then you paid, but since the best house they can afford to keep the payment to $1,300/month would only be $231,150 for a 30 year loan. Age: 28 Salary: $87,000 base plus yearly bonus but let's say just $87k. 5% of down payment and I think closing costs can be 3-5%. For reference I bring home $85k + some extra that I did not include and purchased a house at $235k. 2021. Scenario 2: you can afford way more than you need. r/personalfinance. I've heard of other rules like either 28% of gross or 50% of net on a 30-year Buying a home is a major commitment - and expense. Have you tried using Pag-IBIG Fund Housing Loan Affordability Calculator. SIMILAR My current income is about 185k/year. I make just over 100k annually after taxes. Top posts of December 20, 2021. You can't save much, you can't travel much, big car repairs are harder, saving for kids college (and braces!) is is tough. 5K per month. You can afford it, if everything else is lined up. I make just a hair too much to qualify for these "affordable housing programs" ffxc offers (ironically the people who do qualify can't afford the homes for sale under the program either). Front air struts, engine mounts, trans mounts, control arm on the left side, thermostat, blower motor, swapped defective command unit & more lol. I’d ask are they paycheck to paycheck or Am I buying too much house than I can afford? Housing (I suppose). I'm in the process of buying my first home with a VA loan. Household Income: ~$30k+/month gross I’m commission based, so my salary can swing significantly. The mortgage will be far more than that. But, in my area, that 300k bought me a 2500 sq ft house two years ago which is Our family is really struggling with understanding buying a house in this environment. We bought in 2021 for $1. By not buying a Benz at 21 my dude lol. So where I wanted to live was the highest taxes so I could only afford x amount in the house. 65, paid 5% down. Any and all feedback is appreciated. Good luck with your $800k house. I wouldn't go any higher than $300k on an $80k income. This excludes rent. 401k 45k. You can afford this car 2021. 5-3. We make similar and just bought a house. Maybe 1/4. Where I live, taxes are widely different among different areas. . It is not a great time to buy right now as we are in a transitional period waiting for shorter term mortgage rates to drop down and high prices from 2021-2022 remain sticky. reReddit: Top posts of January 19, 2021. We found out how much house we can realistically afford on a monthly basis, and that helped us cap how much we plan to spend overall. All my work is scattered across Fairfax County. I get your frustration, but that's the current situation for most people between 24-35. I will give you my financial background and I'd like to know if I can afford something in a range. Or check it out in the app stores I bought my first house in 2021 when I was 24, loans, there's better options). As I have been saying here through 2021, with 500k houses comes 500k upkeep and cost to own, I've found a house I'm really interested in but can't currently afford the 10% deposit. Why are you wanting to buy a house at the moment? 2021. Or How can people afford to buy a house in the Bay area? Question Genuine Question, I know money helps, Just above $500k Summer 2021 Reply reply More replies More replies. Looking at our take home budget (13-14k/mo), $3500/mo monthly house payment was what we wanted to spend. $10,000 is a good emergency fund but it's worth taking a look at your expenses and deciding how many months you want your emergency fund to cover in case of job loss. Whereas if I went to a different town, I could of gotten a house for $100k more. Based on these two key information we can help identify the best amount of house you can afford. Reddit . What we qualify for from the bank is far more than I would ever spend on a house. We are interested in a house that's about 515k but we did some calculations and after upgrades and closing costs itll be about 550k. don't have a clue. I have a family member who purchased a condo through an affordable housing program. reReddit: Top posts of December 2021. Ended up with a $145K house at 4% interest (USDA Rural Development FTW) and PITI of $905. I can edit the post if people need more information on what we spend our expenses on. We have zero debt of any kind outside our mortgage. I was wondering what careers I could go into to be able to afford a comfortable life in House cleaning service $300 Phones: $200 Remainder of spending is on subscription services, I normally don’t comment on reddit but my god was some bad advice being given. You’ll have a longer commute but it will be a nicer area than you can afford in the city. The Frugalwoods went to over 250 open houses which is extreme, but they also got a really good idea of what was important to them and what was out there. Our household earns under $100K annually. The home affordability calculator from realtor. 20% Downpayment, 80% balance thru bank loan or pagibig. Just based off assumption - if you bring home 85k then your take home might be around $1900 to $2100 every two weeks (assuming you're single) that's $3800 to $4200/month. Our total monthly payment will likely come out to $3000-3500 per month based on house prices and property taxes. Use our calculator to get a sense of how much house you can afford. Can I afford a $400k house? Hey guys I'm a 30 year old black woman who is looking to buy around spring/summer 2021. I did not listen and got something that I could comfortably afford. Closing costs are going to be around $15k (estimated) on a $475k home. I guess I didn't go to my lender and ask how much I could get pre-approved for though. A townhouse might be 1. I was just wondering how much I'd have to make before I can start getting some extra help. Assuming no debt, people can usually get approved for mortgages of 4-5x their income. Between the wife and myself - we bring in ~$250k/yr and are hesitant on purchasing a $350k house in a LCOL Midwestern state. I personally wouldn't have purchased any house much above 400k. Or you need to get the smallest house you can afford. I have no idea how people who are low-to-middle income do it. Some 10 years ago i was paying some 150 usd a semester. I'm making this as simple as possible para magka idea ka rin and yung ibang makakabasa nito. I would say that you cannot afford a house on that income without being house poor. Live in DC and it very expensive on top of me wanting a nice 1BR do to lifestyle creep. you make about 3,900/month (900 * 2 * 2. I make 60 per hour, credit was 780, and had 80k saved. Yes I know I could go to upstate or NJ or whatever and live cheaper, but if I wanted to live in a boring suburb my whole life I'd stay where I am. You can afford a house that is 150k - 200k. index funds 7k. Plus, houses in my actual price range aren’t worth buying, so I’ve given up for now. What started as a randomly chosen $750k budget has bloated to $1. 7 years of payments. you're already over that amount and plan to push it even further. Somewhat under 500k combined annual income pre tax, 3. You need some funds to afford rental emergencies outside of your own life emergencies. As for how much you need to make to afford $850 a month it depends on your budget. I also Trying to figure out how much house we can buy Top posts of May 30, 2021. Surely you can buy a place and have a mortgage lower than that monthly rent and in 25 years you own the house, 25 years at 3k rent is a $900'000 house not including down-payment. I'm fighting it, but even if I win the assessed value based on comps represents a 40% increase. This really depends on your comfort level and other expenses. reReddit: Top posts of October 2021. One rule of thumb is look for a home that's not more than 25% of your TAKE HOME pay. So I have read some older posts asking whether they can afford a certain house at a specific price and they give you their financial summary. You should be asking, we make around $220k and also live in Chicago and we bought in 2021 (2. reReddit: Top posts of July 2021. You will have extremely little to spend after necessities and you may struggle to afford necessities This rule of thumb won't work for everyone, but it's a decent guideline. 1666). Let's say ang worth nang property is 2million. Calculate how much house you can afford with our home affordability calculator. And that's being super conservative. You think you can get a 500k house. I can maybe get a condo but I wouldn’t buy one. come to Reddit. All of them say that I can afford a $190,000 hours in southern NJ (high property tax, but some older decent houses under 190k available). Full disclosure though, since this was 2006, it was only $1500/mo. Reddit: I can't believe people would pay $700 a 800+ payment. my combined is 240k and we bought at 700k in march of 2021, both cars paid; I have 8k in student loan debt. Or It is a terrible idea to buy the biggest house you can afford. Then figure 35% of that is for your house payment. With a 150k down payment what sort of home can I afford and continue to afford. It’s how much expenses you have. (What the bank thinks you can afford and what you actually can afford may be two different things, depending on each person's individual situation) I’m 27 and was living in a nice house with 3 friends for $1400 but now splitting up. You’ll usually be approved for around 5x. We are both near the limits of what we will be making in our fields. See how much house you can afford with a mortgage affordability calculator. Your family never owning a house isn't your problem. Mortgage has been 1. You are looking at your salaries pre tax. Spreadsheet is here Looking at all these houses on the market for 300-500k, and doing the math, I just don't understand how anyone making an average salary in Denver can afford to buy anything more than a tiny, run down house in a horrible area. I have no I can’t say my first home wasn’t a bit of a reach either, but not the same as someone making 100 putting 3% down on a 400k house. Reply reply For FHA, the lowest is 3. Piggy Bank 5k FanDuel Account 2k. The most I can comfortably afford for a mortgage is $2,100 including everything. The house is built in 2021 and (I can't say this 100% without an inspection being performed yet) it doesn't need anything to be done to it. Our affordability calculator estimates how much house you can afford by examining factors that impact affordability like income and monthly debts. b) Renting is very protected, unlike many other countries where the landlord can decide to kick you out after 5-8 years of you living there and increase the price at will. reReddit: Top posts of April 2021. Don't buy a 3 bedroom, 2k sq ft house for just you. In California that same house would cost about $3500 (higher property tax rate, slightly lower homeowners insurance rates), but I doubt you can find a decent house for $750k unless you move to Sacramento. reReddit: Top posts of 2021 &nbsp; &nbsp; When I enter our combined income of $83k it suggest that we can afford around $400k. It was about 8k we used that for the down and the seller paid closing costs our house is smaller and we bought it for 130k the payments were 806 when we started. Quickly find the maximum home price within your price range. My husband and I make just under 200k combined. Get the Reddit app Scan this QR code to download the app now. Fifteen an hour is $2. Including RE taxes (sounds like your State doesn't have them - cool) and homeowners insurance (~$100 to ~$150/month) With 7% interest, I hope you live in a LCOL area and have humble tastes. We could “afford” more, but we love to travel and eat out. as for your actual question, the rule of thumb is to use a maximum of 30% of take home pay for rent. Sure some people's wants are engineered, but the whole owning a house thing is a culture that goes back a very long time in US history, far before advertising was even a thing. Reply reply Hi random internet strangers, I have a question for you. And then figure from there what you can afford. This year I changed jobs and moved to a HCOL area that came with a substantial increase in income. Scenario 1: the cost of your minimum requirements are out of your reach. We could have the same exact income, credit score, debt Here's how much you can comfortably afford to spend on a home depending on income and what type of loan you are eligible for. I wouldn't jump into that much debt on my first house. How much money do I actually need? $1600ish per month, im up to 2100 now sadly but is what it is. 8 before is now like 2. Ouch. The return over total amount paid is only $191,623. 5-2M house that I can comfortably afford, but won’t be nice enough to raise a family in (I am 30, about to be engaged and have no children), or reaching into the $2. We bought at the start of 2021 for 850k with a 85k down payment. Under the same circumstances today, my mortgage would be ~$3k/mo, which makes my butt pucker. How Much Home Can I Afford? When determining what home price you can afford, a guideline that’s useful to follow is the 36% rule. According to the website, for a loan of Php 2. 2-1. Going above 3x your gross annual income can get tough, depending on what else you are paying for. Now go play with a mortgage calculator to if what type of house you can afford with current rates. I’m in a similar situation but a higher salary and about 35k student loan debt. And you have 30k in cash so if your salary combined is 160k where is that money going I’m confused how you think you can afford a house if you can barely save with paying $2,300 a month. But seriously you can find much better - I live 20 mins from Oxford city centre and pay 995 (between 2 of us) for a 3 bed house + garden, and I have friends who live much more centrally and pay less than you for the same type of flats. Your house will be much more expensive than your apartment in every way, shape and form. High yield Saving 57k. No, unfortunately $26,000 annually is not possible in our area. I am wondering if I am being overly frugal with my house buying budget. Good for you, but don't spend just to spend. How much more do you think I can afford. Aside from the financial aspect, I could have owned a condo that was 3 times as It’s not about how much overall house you can afford but how much do you want to pay monthly. The purchase will trigger a reassessment that kicks in during the next tax year. If you can't spare at least $1,200-1,500 each month, you can't afford even the cheapest house. Hi! Real estate agent here. 1%, so the mortgage is only 4200 with < $100 in PMI. Or It grew 8x from 2018-2021. We are in the market for a new home and want to make sure we aren't overextending. I could refinance and bring down the monthlies but I can afford the increase, There are 7. Our net You can afford to live somewhere that costs less than that per month including all utilities. The median price in San Diego just hit $879k. Your payment would be somewhere in the $3100-$3200 range including taxes and insurance. Which one is your style - only you know. I don't think this is a wise idea at all right now. Factoring in I can report 75% of rental income as my own. The median family income in the US is around $70k, so you're about 45% below that. Public College in Mexico can be quite affordable, and not necessarily bad. In the sale. You’ll have saved enough to pay for one cash. Apply Now. My father's suggestion was don't buy if you can not afford 150% of the mortgage (or 50% more than your mortgage) for utilities, insurance, Hey all, I’d love to know what I can afford to buy based on my financials which I’ll set out below and the current schemes available: Deposit saved: £45k Base salary: £30k OTE commission: £17k - half of this is essentially guaranteed and paid quarterly the other half varies a How much of a house can we afford due to interest rates being so low? Do I have any recourse if reddit admins blatantly failed to pay any attention to a warning appeal? reReddit: Top posts of October 11, 2021. If you're saving $20k a year, you can easily have the money for decades of mortgage payments. 5k on earnest money and inspections, most of that being the earnest money. Or check it out in the years. to get an idea of what my budget should be but figured it wouldn't hurt to ask Reddit as well! I can no longer afford the mortgage repayments for my house. When you can rent the same house down the street for $2,800, it just doesn't make sense to buy a house in some parts of the state or country. Uh kind of but at the same time I think pretty much everyone in every country can universally agree that a house is better than renting an apartment. I also know it would come down to individual spending habits and the like. Also keep in mind annual expenses like tax preparation and vehicle registration and other stuff like oil changes. Or I live in mass you can’t afford a house close to Boston. Housing would be 18% of your income, debts (just truck and trailer) 18%. We put 5% down on our house and 3 years later it has appreciated so much that we refi’d and now we have 25% equity and no PMI. But if you can not have a car you’re much better off. I have my 401K and Roth IRA’s maxed out though and 100k banked. The online "how much house can I afford?" calculators say I can afford a lot more than I think I can, but I don't trust them. Can we afford a 500-600k house? We have about $50,000 saved up right now (not including our TSP). And PMI wasn’t that much a month to begin with. In all seriousness invest as much as you can early on and switch jobs every 2 years to maximize earning potential. I've already spent around $6. So you have to figure out what is the max amount you can afford including the taxes and HOA. 5 years later, I really regret that, becuase I'm still in a starter home but now prices are way higher. Somebody who is very frugal can fit $800K house in that budget. I am With the same salary and just bought a house, I agree. Or How much house you can afford isn't really the question to ask. Internet Culture (Viral) It gave me $489k and I am buying a $250k house and that was at the top of my budget that I was comfortable with lol. Conventional rules of thumb say that if your gross annual income is $160k, you want to try to be under $480k in terms of a mortgage. Can’t remember what it is though! It’s been about 3 months since I spoke with the lender so I’ve forgotten. 25% interest rate and 20% deposit Reply reply My husband and I were able to buy our house in 2021 using money we got from the income tax (the year our son was born and I wasn’t working). Major payments i have total up to 2k monthly. They might just have to bite the bullet and invest in whatever they can afford, wherever they can afford it, and bulid from there. 4 million dollars. I would never be willing to pay anywhere near what those calculators say, and I'd also never be looking so spend as much as I can possibly afford. Bought an 850k house in 2021 so I can give you my perspective. Mortgages come out post tax so make sure you can afford it after all of those NYC taxes. Any help is appreciated, thank you! How much house can I afford? Currently renting, but I would like to purchase a house to build equity and stability. Cars are paid off and only have student debt of ~$350. I bought a 30k truck once I built up my emergency fund and knew that I could still max out 401k and Roth IRA as a reward after getting my masters and getting those financial goals accomplished. Most of the decent starting houses in my area are around $350-400k. Gaming. I’m 10 years it will be the smartest thing you’ve done. I can't ask family or friends to help. You need to do a budget and figure out exactly what you WANT to afford. My wife and I made a combined income a little above 100k before purchasing our house 5 yrs ago and I paid $189k. Generally I’d say for a room in a house outside Boston you’re looking at $1k per month, outside Boston luxury condo $1. You typically count on spending 30% of your income on rent. You cannot afford a mortgage over about $125k on your income. They have plenty of calculators online that you can plug your info into. Advice to keep you poor, although that’s the case for most of his advice. reReddit: Top posts of 2021 That's pretty insane to me because where I'm at $500 per month is enough for a small/medium size house. Market is crazy too so you can't expect to necessarily make a huge return on buying a house right now, as the market across the board seems overpriced. Short answer is no. 6 million, your gross monthly income has to be around Php 50k, and the monthly amortization will be at least Php 16k. I do suggest that you build out a full budget to get a better idea on what you can afford. $25k possibly. I have begun talking to mortgage lenders, real estate agents, etc. So I’m desperately in need of a new car, at this point I’m basically driving a lemon, and I’ve been looking into getting a Model 3 LR Here’s my dilemma: I’ve done all the calculations based off my net income to make sure I can actually afford it and over and over again it’s shown that I can afford it no problem but all these self-proclaimed financial expert dorks keep saying that I 35 years old with a family. Seeing mortgage increase to 4k scares me but unsure what we can actually afford given fire goal. I'm a fking idiot. The 3x rule is just a guide as others said; but I think it also applies more to the price of the mortgage you are applying for than the price of the home (so if you have $200k+ from equity and savings as a down on a $700k home, you’re easily in range). We went with 319 but we aren’t exceedingly happy. How old are the kids? 40 votes, 78 comments. Just invest and let time do the rest. I know some places can Get the Reddit app Scan this QR code to download the app now. Fast forward I lost about $450k. r/ChubbyFIRE. And these were all based on 2021 assessed values. We are planning a potential move and I need a quick sanity check on what we can afford without seriously impacting our FIRE Plans. I bought a house for 275k when I made 60k when I was younger. But I'm not 100% sure its really the best move for me. While it's not a given, there is a strong correlation between household income and housing cost, such that many people making $120K couldn't even find a house for $240K. If you can afford it today it will only get cheaper. Add whatever they have for a down payment on top, and that's how much house the bank thinks they can afford. I am a recent college Grad with a salary of $52,000 a year with a raise coming in June. Income 102k. I hit my late twenties in late 2023 and, like many in this age range, I have started to begin thinking seriously about buying a house rather than continuing to rent. My long term boyfriend and I are in the process of looking to buy. 1m, however it was a new construction, so the taxes are very high ($25k per year) because the town values the house at market value, whereas existing houses only get revalued when the town does a revalue, which can be many years apart. Internet Culture (Viral) Amazing; I've used multiple "how much house can I afford" calculators. Go crazy with a budget, watch spending, be frugal for a few years. I'm not sure if I can afford it, but if I took that job that would pretty much be my only option. reReddit: Top posts of January 2021. There’s a program I qualify for that means I can put down much less. You can afford a house payment of $1750/month. Talked to a mortgage broker and they said I can go up to 650K for a home - which seems crazy high to me. You can obviously get a nicer house due to the inheritance. But housing here is outrageous. Just not possible; start saving money, get more education, look for a better paying job. You list your wife as a SAHM. You’ll have to decide how much you can afford monthly. For more information about PenFed Mortgages: PenFed Mortgage: 800-970-7766. however, the lack of money spent on transportation is a big plus Whether you can afford it is really up to you. Most recommend 3x your salary on a house. Also do you want house, MY’s 2020-2021 have the facelift, improved cooling, lighter two-piece rotors, I’m making same amount as you. I see people all the time driving around these expensive cars/trucks wondering what they do, and how they can afford it. Try looking outside of town. Was a mistake for me personally, more than I Hi guys, my wife and I are interested in a house and not sure how much we can afford. If you can find an apartment in the neighborhood of $775, you can afford to live on your own. We didn’t want to be house poor. So if you make $3,000 a month ($36,000 a year), you can afford a house with monthly payments around $1,230 ($3,000 x There’s almost no chance you can afford a townhome in the lower mainland on your current income. I can understand buying a 1. Or How much house can we afford? 30% rule gross or net? comments. That's NOT a possibility where I live We calculated what we could comfortably afford in our budget (we use YNAB), plus $300 because of tax hikes are common here, plus 1% of the home value for annual maintenance costs. For instance, I purchased in 2021, the assessment took effect for 2022, which hit my tax Do you consider your RSUs when calculating how much house you can afford? With VA loans, your monthly mortgage payment and recurring monthly debt combined should not exceed 41%. Dave Ramsey recommends no more than 25% of your monthly net (after-tax) income on a 15-year mortgage. I have the same year, bought it at 30k miles and currently have 51 on it in 2021 & I’ve had to do so much work in that span of time lol. You're overthinking this concern. 6, which we could afford, but now we have to also worry about paying for kids etc and it's all just much scarier. Taking the amounts you posted above (80k income, 70k downpayment - although you could do more, $1229 debts - truck and trailer) you can afford a $213k home. I have about 25k saved up but if I wait longer I can save more for a down payment. 5x. If OP wants to buy a house then a car payment won't make much of a difference at that income level. What you can afford won't matter if all you can afford to buy won't meet your minimum needs. com® helps you estimate how much house you can afford. To put that into perspective, you'd need to have a down payment of $175k and be making around $130k a year with no debts. What would be ideal is to look you your expenses and budget to see what you can afford. How much house (price and/or monthly payment) do you think we can afford? We make $220,000 gross, net $10,100/month after taxes and retirement contributions. Around 250-300k. reReddit: Top posts of May 2021. Had we waited till we got to 20% (of the price we paid) we would be looking at much smaller less desirable houses right now. The quality of the education itself is debatable, especially if you're considering some more tech and engineering fields. Next year it will be about 225k. I would like to buy something in the northeast USA as that’s where I’m based for work. I make $52K and came to conclude that I needed to keep PITI to $1,000 a month or less. If we take getting approved out of the equation this is budget specific. I was told by a friend $4,000 is the stretching if our mortgage is that much. Is that something doable without being “house poor”. There are a ton of cheap $300k and under homes available and perpetually for sale (condos and tiny homes are very hard to sell), and they never appreciate much in value. By the time I bought in 2021, that same amount of cash was enough for half the cost of a house 40 minutes away from the central location I used to live. I currently bring about 9-11k a month depending on how much I work. But I'm trying to invest aggressively so maybe I wanted a smaller house then I could afford. Let's look at this on a monthly basis. Should I just skip that job or could I afford 1000 in rent on a salary of $18 an hour? Some of my other expenses: car payment is 160 a month, insurance is 140 a month, student loans are about 200 a month, utilities in my state should come out to around 300 a month. Our kids go to daycare. By the time we are ready to buy a second home, I will have no debt. Would I be able to buy 2 rental condos for 125k each and 50% down on each. How much you make doesn’t mean anything. No need to hustle. Never bought a house before and i might try and get one in a couple of months. get answers from anons, karlmeile • The old school saying of you can afford a house that costs 3 times your current annual salary still rings true today. I am just worried I’ll be priced out of the market forever if I don’t get something with I'm assuming there are some great guidelines around mortgages and how much one can reasonably afford. Yes you can afford it but your savings won't be aggressive. Your total monthly debt payments (student loans, credit card, car note and more), as well as your I honestly don’t know much about mortgages or what is reasonable for me to expect. I’m 26 looking at buying a house in my area. There are still houses available in most of the country in the $200k ballpark, or less. That sucks, but happens. I do consider the 1-2% value in maintenance though. Google how much of a house can I afford. By the end of five years, you would have a house ready for a 1031 exchange as well another house to be sold with minimal taxes due on gains after receiving 2 years of income. 5M zone for a permanent/long-term family home. Lower interest rates would help a lot. Get pre-approved before you even start interviewing real estate agents so I’m considering either buying a small $1. By his rule, only the top 5% can afford to buy a home where I live. so following the rule of thumb, you can afford around 1170/month. In 2021 I made the biggest mistake of my life and took a "stock tip" from none other than my father and kept buying on the way down. My mortgage in principle is for almost the amount of the property so I can get away with a smaller deposit. Check the rules of the home sale tax exclusion and consider living in a moderate house for three years and then renting it out for two while in another house. 300 is perfect and we bought down our rate to 7. 99 interest) for $560k, which is around $3700 a month (HOA, PMI, etc). Hello! I am currently making $100,000/year base, with a 10% bonus (call it $110,000, max 401k contribution, take home is roughly $4,800/month). You make 500k a year. I personally spend $550 a month on rent and right now have a monthly budget of $1200 a month so rent is just under half my monthly expenses, this isn’t ideal, but it’s where I am until June 2022. In the role for 5 years, and seen up to $725k annually, but I think $250-350k is a more realistic expectation. Be sure to factor in what houses in your price range cost for taxes/insurance/HOA and also plan to spend about 1% in value per year in maintenance, maybe more for an older or cheaper property. It also depends on the state you live in. So you can easily afford a $800k house even with your current salary. I'm a late 20s solo buyer with really good credit. 7k for years but we’re outgrowing our current home. Getcha. Looking to move soon ( have to, can’t live at home) just trying to figure out the best calculation for how much I can afford in rent without breaking my bank and still saving. Based on these it looks like about 515k based on a 6. So you can buy a $200k house but you need $75k down. I'd say you're pretty good, but if you have $10k in CC debt and two cars at $900 a month you probably are going to need to concentrate on that first. 5 m net worth combined (mostly in investments of varying Get the Reddit app Scan this QR code to download the app now. See how much is left, and then see how much of that you're comfortable spending on housing based on how much you need left over at the end of the month. I want to buy a new car, but I'm not sure about the process and how much car I can actually afford. The majority of people who own homes now only can afford it because they bought when prices were much much cheaper and easier to afford on lower incomes. If you live at home and eat out of your parents fridge and don’t have any debt, doesn’t matter how much you make. That You need to create a monthly r/budget and determine what you can afford to pay in a mortgage each month based on your lifestyle. If they can't swing that, there are less expensive options like condos. Checking that it seems you can afford a ~450k house. The car you can afford is the one you’re able to buy once you get on top of this debt. Our income is 335k before any bonus or OT. In the future (5-6) years if I upgrade to a CA I can count on about 350-450k of annual income. Let’s say I had 250k cash but only made $2800 a month. reReddit: Top posts of November 2021. mckn rfqg ujbavj oyotjy dwo bzkkgdnq zdmod ytl rfyel ltrklmm