I make 24 dollars and hour which is 46,000 a year, after taxes and expenses, what kind of price range do u think i can afford.
2007-04-15 08:48:13 · 4 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
You have to know what you are qualified to purchase even if you have bad credit.
So the first thing you should do is contact a mortgage broker so you can complete a loan application, after which he will run your credit report.
This credit report will give him your credit score. Get a cup of coffee or your favorite beverage when filling out the loan application this is not a 15 minute chore.
Your credit score will tell him what loan programs you are qualified for as well as the interest rate you can expect. This credit score will tell if you are able to get a 100% loan and if not how much cash you have to bring to the table as your down payment.
There are lots of documents and information the mortgage broker will need. I will give you a few to get you started.
#1 Six months of all bank statements you use currently, as well as any statements from your 401k at your place of employment
#2 One months of pay stubs from all that are going on the mortgage.
#3 Two years of federal income taxes and W-2s
After discussing the best loan program for you and agreeing on the program you want, the mortgage broker will issue you a pre-approval letter.
Now once this has been established you should connect up with a real estate agent to find you a home. Upon finding a home you like the real estate agent will then prepare a sales contract for you and the seller to sign.
The mortgage broker will order an appraisal of the house to prove the value.
Once all the documents necessary has been collected the mortgage broker will order loan docs for the program that you agreed to earlier. Again don't plan on spending a lunch hour there to sign loan docs this is a process so be prepared to be there for awhile.
Don't sign the loan docs if anything change from what the mortgage broker explained to you. Call and get an explanation.
I hope this has been of some use to you, good luck.
"FIGHT ON"
2007-04-15 08:59:20 · answer #1 · answered by Skip 6 · 0⤊ 0⤋
the calculation is easy,, 600 bucks per 100,000 borrowed on a 30 year fixed at 6 to 6.25 percent, plus 1% for property taxes plus about 50 bucks a month for insurance. As an example a 200,000 loan would cost 1,200 + (2000/12 = 167)+ 50 = 1417/mo
2007-04-15 09:01:03 · answer #2 · answered by 1000 Man Embassy 5 · 0⤊ 0⤋
$24 / hr is about $50K / yr & you only have $4K in deductions ? What state do you live in ?
Anyways , it depends on how much other debt you have ,
They want not more than 45% grand total for all debts .
If you have 0 debt , about $200K for the house if you have the 20% down , leaving a $160K note.
If you have less than 20% down , you will have to also pay PMI which will reduce your price range and if you buy a condo , the HOA dues will also affect your allowed 'budget' .
2007-04-15 08:58:26 · answer #3 · answered by kate 7 · 0⤊ 0⤋
That all depends on the interest rate that you qualify for, the length of the amortization and your other monthly debts. I'm a mortgage broker from Edmonton, Alberta, here in canada the ratios are if you have a very good beacon score then 44% of your monthly debts can go towards your debts & mortgage. I have a free mortgage calculator on my website that you can use. http://AlbertaMortgageGuy.com
2007-04-15 08:57:11 · answer #4 · answered by Anonymous · 0⤊ 0⤋