Advice on buying a house?

Question

If you want to buy a house, but your monthly gross income (before taxes) is about $2520 and after taxes about $2100. Can you afford a house? If so what would you have to do? details please.

Any one know any online sites where i could work with lenders? or would i have to go to the lender?

Answer 1

I would talk to someone who does loans.. you can defiantly buy a home.. where and how much is the question.. i would not try to figure all this out on your own.. they know the info, and can research the loan that you could qualify.. and answer every answer there is...plus.. having them do this for you cost you nothing!!!

Answer 2

Stay away from those sites.
Make a friend of your banker, they can help you. Most important is your credit report which you can get a copy for free or you can go online and look up the 3 credit bureaus (experian, transamerica, and such), and request a copy of your fee credit report. About 1 x per year, it's free!!! My favorite word. Again your banker can help you with that.

Average is Don't go over ( from 25% to 35%) of your monthly net income for your mortgage and taxes. So you can calculate what is about 30% (for an easy calculation) of your gross, and then 30% of your net. To stretch to get the most expensive home, take 35% of your gross. To be comfortable take 30% of your gross.
To be more comfortable take 30% of your net......then you will get the idea of the range of the monthly payment that will make you comfortable.
Also, consider what you pay now for rent. Are you comfortable with that amount, and does that mean that you are saving money after you pay it.
You will start to get the idea. Then the banker or real estate broker can give you an idea.
The reason the online calculations of mortgage and monthly payments with the percentage don't work is that they forget to tell you about thousands of dollars in closing costs (bankers and real estate people can help you with this depending on your area where you want to live.
If you base it on your gross pay, you could be uncomfortable later because your house needs stuff (paint, carpeting, windows, stove, water heater.....all of those things sometimes need to be fixed, replaced or updated).
This is because your taxes (soc. security and others) come out of your gross first. The only difference is that you will lower your income taxes some because of the interest and taxesyou will pay from the mortgage. Again, your banker can help you!

A good real estate broker or salesperson that is trustworthy can help you with qualifying for a mortgage.

You are on the right track, and you can afford a house if you have a good credit rating from paying your bills timely!

You can even buy with a small amount down (less than 20%) of the cost of the home, but then you will have to have PMI insurance which is an extra cost per month. There are FHA loans with small down payments.
If you are a veteran, you may get a VA loan.

Again, you banker could be your next best friend.
Don't sign up for any course or financial house that charges for this as bankers and real estate brokers can help for FREE!

You can be logical and take your time. A realtor will help you get the best home, best price for YOUR budget! That the best advice you can have......but if your realtor doesn't suit you, change them.........try only to work with one at a time, and don't play games. Make sure they go with you on all appointments, so they can help you with your selections...even an open house, they cannot help you if they don't go with you. I have seen people fall in love with an open house, but they didn't look at the water heater, or the gutters were broken until they moved in. Then it was too late...........realtor can be a good friend...and look out when something comes on the market that fits YOUR needs!
A home can be a joy in the best location, if you buy within your means.
You are thinking on the right track for your future!!! Much Luck!!!

Answer 3

Yes! This is very possible. I would look for a Japanese-style house, they are very efficent. The floors should be tatami (grass matting) and the doors and windows shoji (traditional sliding doors). The main structure should be wood. The bathtub should be very deep, and the actual room it is in should be the shower. The toilet should be in another part of the house. I recomend finding a house with a hibachi (brazier) in the kitchen. Oh! And make sure the gardens are in check. Two stories are typical, but not crucial. Hope this helps!

Answer 4

Depends on the cost of housing where you live. Here in Chicago, no way. Atlanta, no problem. Who says you need a house? Why not look into a condo or townhouse? The cost is less, payments will be less and you're still building equity. Contact a mortgage broker and go talk to him/her about it. They will tell you what you can or can't afford. Good Luck and happy hunting.

Answer 5

Figure out how much you make a year and triple it. Don't look for a house above this amount. Check your credit rating and save for a down payment. Contact a real estate agent in you area.A good agent can show you houses in your price range and will know about the schools,taxes,closing rates,etc. Possibly you could find a rent to own home. If your in the military you may get government help. Good luck to you.

Answer 6

yea u can buy a house, but keep in mind, you might be paying high interest rates. it also depends on the area you live in. if the houses are cheap then go for it. some houses only cost US$50000, but some are more expensive. i wouldnt recomend buying a house though. theres a lot of responsiblities that come with it. also, alot of people tend to think they can make a profit, then end up getting taxed heavily for capital gain. another thing about owning a house is..... with a low income, you have to sacrifice alot of things to make the morgage payment. think about the things you like to do, like go out drinking, cinemas, holidays, etc.

Answer 7

going by the lenders rules your mortgage payment with the tax and insurance can't be higher then 36% of your gross monthly income.
you can find the lender who will lend you up to 50% of your gross income, but the interest will be higher.

Answer 8

in case you reside contained in the u . s . i'd wait a on a similar time as. the government is making an attempt to do a snow job on human beings and have a look into to lead them to have confidence that each and everybody is unquestionably. yet once you look into somewhat you will locate that fifty% of spec geared up properties are empty and which could in basic terms mean decrease costs. how are you able to be bullied? it extremely is you and your spouse who would desire to sign the merely precise settlement and in case you do unlike do no longer sign. And if a salesclerk is impolite to you there is amazingly little reason for no longer telling him the place to pass. As for identifying to purchase suggestion, it extremely is stressful to assert without understanding somewhat extra. Do you have little ones. ensure you will get to artwork extremely. in case you like the rustic factor it relatively is not any sturdy to stay in a huge city. the domicile would desire to be great sufficient. verify for nice condition or, better nevertheless, pay a expert to learn it out. you will desire to come to a determination whether the domicile would be registered in the two names or very own 0.5 each and each.

Answer 9

That's your income - what is your outgo? Deduct all of your monthly expenses and see what you're left with - keep in mind that your home will have to be insured and you'll need to pay taxes yearly.

Answer 10

That is a pretty marginal proposition at your income level. You might make it work if you are handy and able to buy a "fixer upper" that you can use to build your equity. If you are not handy at all, I would not go that way because the repairs will kill you.