I am a SAHM, my husband brings home about $2400 a month. We have no debt...just the basic utilities. We also have about $20,000 for a down payment.
2006-12-07 17:43:32 · 9 answers · asked by Bellamy 2 in Business & Finance ➔ Renting & Real Estate
The best way to answer this question is for the BOTH of you to go to your normal bank/savings & loan/Credit Union and fill out the forms and get PRE-QUALIFIED for a Home Loan -- given that you are going to put the down payment that you have specified.
2006-12-07 18:00:28 · answer #1 · answered by sglmom 7 · 1⤊ 0⤋
I assume that you are paying rent at this time.. All depends on where you live.. 20K down with closing costs is good for about an 80,000 house and would be aprox 400 a month @ 6% or so+ taxes and insurance.. If you are fortunate enough to not live here in Southern California you may have a chance... Here the least expensive 2 bed 1 bath homes are going for 250,000+ and a 3 bed 2 bath newer home is 350,000+ and that is in the outlying areas.. in Los Angeles you need a million. good luck.
2006-12-07 18:01:18 · answer #2 · answered by the_buccaru 5 · 0⤊ 0⤋
If you are a 1st time home buyer our bank recommende the payment be no more than 30% of monthly income idealy 20%. I can not give you a # because your credit staus & intrest rates will detirmine the price of the home. Get pre aproval it makes it so much easier. The economy is bad so you will should get a good deal if you keep a eye out, just remember intrest rates are up.
Most realtors tell you on adveradge you pay $1000 a month per $100,000 in home then you will have property taxes & home owners insurance
2006-12-07 17:53:15 · answer #3 · answered by notAminiVANmama 6 · 0⤊ 0⤋
you need to know what payment you are comfortable with. and remember, when you own a home, your monthly payment includes taxes and insurance (escrow). its not just the loan payment. check out the site below. it will help you calculate a loan amount you can afford.
here's a rough guestimate. you probably don't want a total payment over $750/month. if your taxes and insurance cost $75 a month, you can afford a loan payment of $675. since you have little debt, i would guess your score is a bit on the low side, so your rate is probably higher than average. A $90,000 loan amount at 8% on 30-year term is a loan payment of $660 a month.
with $20,000 due at closing (assume $5,000 in closing costs), you could afford a $105,000 purchase price, and the total payment of $735 a month including escrow. hope this helps!
2006-12-07 17:53:50 · answer #4 · answered by abcdgoodall 4 · 2⤊ 1⤋
SAHM? How does your credit look? You need your credit pulled so you know your 3 scores. Talk with an experienced Loan Officer and take a complete application. From there you can get options so you can see what YOU are comfortable paying every month.
2006-12-08 02:07:57 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Don't make the same mistake numerous people in this country are making...They are becoming house Rich but cash poor. Select a house that fits your needs of your family. Invest in good and upcoming areas, but keep your ego in check. Otherwise, you'll be on the hook for interest only loan, which was the old loan sharking game run by the Mafia.
2006-12-07 17:47:46 · answer #6 · answered by Laughing Man Copycat 5 · 0⤊ 0⤋
http://www.mortgage-calc.com/mortgage/howmuchafford.html
This is a mortgage calculator that will tell you how much money you need to make based on the size of the mortgage, property taxes, other expenses (monthly), and the interest rate.
try it out, it's fun, do your research to get accurate rates and whatnot though or you will get frustrated!!
2006-12-07 17:56:31 · answer #7 · answered by Anonymous · 0⤊ 0⤋
That's not very much. However, I don't know where you are from but if there's anything around 100,000 that'll be your limit.
2006-12-07 17:52:12 · answer #8 · answered by Anonymous · 0⤊ 0⤋
depends on how much money you have for a house or houses.
2006-12-07 17:46:04 · answer #9 · answered by maiax 3 · 0⤊ 1⤋