Can I buy a house that is 170,000? I expect to rent out 2 rooms and my income to grow when I am done school.
I also owe 6000 on my car and 20,000 in student loans.
2007-02-27 07:42:27 · 8 answers · asked by Okay Hero 2 in Business & Finance ➔ Renting & Real Estate
It would depend on how much you can put down. If you put nothing down, your monthly payment would be approx. $1,020 (that's before taxes and insurance). But you must ask yourself: how dependable are potential renters and do you want the added stress of managing a household and being a landlord when you're trying to finish school?
Your best bet would be to wait until you've completed your degree and then look into home ownership. Plus, chances are you'll qualify for more of a home and get a better interest rate.
2007-02-27 07:51:53 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You should be able too , but remember do not count on rent for the other two rooms...if your renters fail to pay rent you still have to make the mortgage payment , and pay for the damages when you have to evict for non payment of rent...Make sure it is something you can afford on your own ...I would be against renting , because your things get missing , damages etc.. the house will look like crap in 5 years or so ..., also there are no guarantee about after school so make sure you can make it on your present income , that is what your loan will be based on , also on your contract make sure it is not violating your mortgage agreement by renting out any part of the property , make sure your homeowners insurance will cover additional tenants , and their property , and lastly , do not take a ARM, or variable interest rate type loan make them give you a full term fixed interest rate loan ..if the interest rate is fixed then it can not go up , and trust me the rates are going to go up real soon , ALSO no interest only loans for any length of time because at the end of the interest only term there is a huge balloon payment and interest only is exactly that you pay interest to the company and nothing on your loan ..and the housing market is slowing way down , if you have a variable rate ,and the market falls apart they will raise your interest rate sky high and your payment will shoot up ....the mortgage company or agent will paint a pretty picture , but that is their job to get you to sign the papers so they can get their money / commission...they tell you the pro's but sometimes fail to mention the con's make sure you can do it all on your own , with your income now , and still have enough to live on ,and save some money as well ,because you have to make repairs plus you never know what tomorrow has in store and the mortgage has to be paid by you every month.. try financing for the shortest term 15 to 20 years you will save in the long run try to do it all with out ever using a credit card if you have to have a credit card for anything then you are living beyond your means ,
2007-02-27 08:18:45 · answer #2 · answered by Anonymous · 0⤊ 0⤋
A mortgage person can tell you this. Keep your credit sparkling by continuing to re-pay your debt in a timely manner. You may have to pay a higher interest rate. Be careful with some rates that creep up. I would advise doing this with someone like a parent or older sibling that knows something about mortgages.
The Mortgage person may not be looking at your best interest, remember they are sales people. There are good sales people out there and bad ones.
Good Luck, friend.
2007-02-27 07:55:34 · answer #3 · answered by Anonymous · 0⤊ 0⤋
your credit is good but your income is low to buy a house for 170,000 with that much debt outstanding. try to pay off your debt first and save for a down payment. the more you can put down the more house you will get. call a realtor and go over the figures. they can tell you what you can actually afford.
2007-02-27 08:02:27 · answer #4 · answered by Queen B 6 · 0⤊ 0⤋
Easily with that score, ask your loan officer about stated income loans.
2007-02-27 07:55:43 · answer #5 · answered by Mark P. 5 · 0⤊ 0⤋
I'm skeptical you can afford a $170k house on your salary.
I don't think banks will take into account the rental income if they are not separate apartments.
2007-02-27 08:58:07 · answer #6 · answered by Quixotic 3 · 0⤊ 0⤋
How much can you put down? Your loan amount and loan-to-value make a huge difference in your interest rate, and therefore your payment. More info, please.
2007-02-27 11:57:10 · answer #7 · answered by Anonymous · 0⤊ 0⤋
yes you can
2007-02-27 07:46:20 · answer #8 · answered by minty359 6 · 0⤊ 0⤋