Im a newly separted single mom- I make about 1400 a mnth i have car pymnt of 400 mnth that includes my insur. Ive got fair credit, but it seems like everything I look at is too expensive for me -I wld like to put my money into buying a house but then w/ mortage -bills wld be an issue - does anyone have any suggestions????
2007-10-15 09:07:58 · 4 answers · asked by Hillary R 2 in Business & Finance ➔ Renting & Real Estate
Hi - I think trying to buy a home is a great goal, but it is extremely important to be realistic. If you can't afford it, then it is not the right time. I'm hearing that you have $1,000 dollars/mth left over for housing, food, gas, bills, and other necessities. Are you receiving any child support? Home prices vary, of course depending on the market where you live. It is true that you can sometimes wind up paying less for a mortgage than you would for rent - but please consider the other expenses that come with homeownership. For example: taxes, insurance, regular maintenance, water, trash... Because of the recent housing troubles, I think it would be very difficult for you to get a loan right now.
I don't know if you would qualify, but you might Google Habitat for Humanity.
I wish you the very best of luck!! Take care,
2007-10-15 09:27:09 · answer #1 · answered by Anonymous · 0⤊ 0⤋
I don't think you can afford a home. Lenders require under a 40-45% debt to income ratio, right now you have a 28% DTI without included other credit cards or loans. Currently with only a car payment you could only afford about a $200 mortgage payment according to most lenders. Wait until your car is paid off in a few years and then try to buy a home. If you try now, you'll most likely be turned down and even if you weren't you'd just be digging yourself deeply into debt.
2007-10-15 16:29:33 · answer #2 · answered by lepr0kan 5 · 0⤊ 0⤋
You cannot afford a home at this time. In fact, if you have children, you are very near the povety line. A mortgage and the associated home maintenance, insurance, property taxes, etc. would be well out of your reach, I'm afraid.
As a general rule of thumb, your monthly mortgage payment should be no more than 35% of your monthly income.
Take a look at this mortgage calculator:
http://www.pattiannkasper.com/mortgage_calculators_50163.html
2007-10-15 16:19:28 · answer #3 · answered by Hatlady 3 · 1⤊ 0⤋
Work from home and make $1000 a month
2007-10-15 16:11:31 · answer #4 · answered by toobusi_2000 1 · 0⤊ 2⤋