If someone makes $23,000 a year, how much house(the price) can they afford?

Answer 1

At 23K a year, to be brutally honest you cannot afford the taxes on a home A take home of at bets $375 a week, which is approximately $1600 a month, now let look at this. Electric $100, water sewer $35. Heat $200, taxes $100- $200 Cable $40, Internet $40 Food $300, Car payment? insurance? Upkeep and repairs? Sorry in spite of what some are telling you, you are in no way with that income ready to take on the costs associated with a house

Answer 2

The best answer would come from establishing a budget. How much to previous loans. How much to future retirement. How much to on going expenses like beans and biscuits. How much to vacations.... The best weight for housing is no more than 30% of your net each month. Figure about 6k per month after taxes. Don't forget SS and Medicare, they won't. That puts monthly payment for house at 1800, since that should include property tax and insurance a guess would be 1200 for mortgage and interest. That equates to a 240k loan at 4.5% which would entail a 50k down payment to avoid PMI and therefore just under 300k house.

Answer 3

well it all depends on your credit. if you have good credit like 700s or higher they can do a no income verifcation which allows you to have higher debt ratios and so get a little more expensive house. if your credit is low 580-620 then you can get away with a 45% debt ratio with a lender and so you would be looking at a 90k-95k loan which is pretty low but in some states it doable. Now you still have to consider insurance on you home and utilities. Dont put yourself in a situation that gets to difficult. start out small and eventually work your way up, dont try to stretch yourself too much.
what state are you in, if you are single get a lil studio build some equity for as long as you can, then rent it out. As for down payments if you have at least 3% of what ever you are buying then you are good to go, there are loans like FHA that will accept down payments that low

Answer 4

If you are making only $23,000 a year you should instead think about renting an apartment. You have to realize that you not only have to pay a morgage but you also have water, electric, and garbage bills to pay if you buy a house.

Rent over buy. Unless of course you have a good size downpayment.

Check out:

http://www.yagosearch.com/home-loan.html
and
http://catchresult.com/search/home%20loan/Web.html

for information on home loans.

Good luck!

Answer 5

You'd probably qualify for around $90,000 if you have no other debts.
Obviously, whether or not you can realistically afford that much is an entirely different story. Make sure to make a realistic budget before shopping for a home, don't just take the bank or broker's word for what you can afford to pay.

Answer 6

Few banks or mortage lenders would touch that one, unless you live in a rural area where the housing market is quite cheap. I make $40,000 a year, and because I live in a area in which real estate is quite high, the mortgage lender would not go higher than $150,000 for a mortgage.....

Answer 7

You'd be lucky if you could get a cardboard box. Have u seen the the real-estate market lately????

Answer 8

If your lucky and don't have a lot of other debt, 80,000

Answer 9

You might get a $80k mortgage on that.