I have to do a project for my class and I don't know what income I need to afford my house. I earn $117,730 a year and my house cost $100,000.Can Someone Tell Me My Income or Tell me how to do it.
2006-11-24 05:42:49 · 3 answers · asked by Denzel S 2 in Business & Finance ➔ Personal Finance
With that income you could certainly afford that house. Do you mean what income would you need to afford that house? Usually, if you earn a middle income sort of salary, a bank prefers if your mortgage payment is no more than 25% of your monthly income.
These links will help you figure out the mortgage you could afford with different incomes.
2006-11-24 05:55:26 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You posted this twice, but I will go into more detail for you. If you purchase a home for $100,000 you need to find out the term and interest rate. You first need to decide how much down you will pay. The more of a down payment the lower the interest rate is likely to be. If you finance the entire $100,000 your payment should run somewhere around $800/month on a 30 year mortgage. If that is the case, you should be able to qualify for the house with an income of $41,600. There are some calculators to figure mortgage payments on the Internet, but I don't know the address. If you make over $100,000 per year you can easily afford the payments on this home.
2006-11-24 13:58:38 · answer #2 · answered by Flyby 6 · 0⤊ 0⤋
Your income will be 17,73% per year.
2006-11-24 13:57:43 · answer #3 · answered by abotraka777 3 · 0⤊ 0⤋