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maybesoon
LIF Adult
Member since 9/09 5981 total posts
Name:
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opinions needed - WWY spend on home
What price range would you personally look at with these figures :
no Debt
Down payment :120K
Annual Income : 150K
TIA!
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Posted 1/9/10 7:53 PM  |
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Prudential Douglas Elliman Real Estate
Long Island's Largest Bridal Resource | Long Island Weddings |
MrsKelly
just hangin' around...
Member since 11/06 6305 total posts
Name:
Krista
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Re: opinions needed - WWY spend on home
i would sit down and figure out a budget with all your bills, see what you can afford your monthly payment to be.
if you go on certain websites, like coach realtors, they have a mortgage calculator where the interest rate gets plugged in, as well as your down payment, so you can play around.
your bills play a big part in how much you can afford... don't forget taxes and home owner's insurance too.
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| Posted 1/9/10 8:05 PM |
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LSP2005
Bunny kisses are so cute!
Member since 5/05 19458 total posts
Name:
L
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Re: opinions needed - WWY spend on home
I would spend about 500k. However, DH and I are really conservative about these things. It may not be right for you. I would rather know that we were not house poor and could go on vacations and save for both of our kids college educations and anything else we wanted or needed. I would not spend all of our disposable savings on a down payment.
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| Posted 1/9/10 8:27 PM |
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Newly1
I love my baby boy!
Member since 6/08 2804 total posts
Name:
H
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Re: opinions needed - WWY spend on home
Posted by LSP2005
I would spend about 500k. However, DH and I are really conservative about these things. It may not be right for you. I would rather know that we were not house poor and could go on vacations and save for both of our kids college educations and anything else we wanted or needed. I would not spend all of our disposable savings on a down payment.
ITA I would spend 500K or less depending on what your monthly payment will be.
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| Posted 1/10/10 9:56 AM |
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Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
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Re: opinions needed - WWY spend on home
It's impossible to answer with the info given
So many other things need to be factored in...debt to income, other expenses such as daycare etc
There is no one size fits all answer
I would sit down - figure out your monthly expenses and then use an online mortgage calulator and see how you feel about different mortgage and tax amounts
Figure out a max you feel comfortable with and start looking from there
Also- you should get pre-approved for a mortgage before you start looking just to be sure the bank agrees with what you can afford
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| Posted 1/10/10 10:17 AM |
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DiamondGirl
You are my I love you
Member since 7/09 18802 total posts
Name:
DiamondMama
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Re: opinions needed - WWY spend on home
Posted by Beth
It's impossible to answer with the info given
So many other things need to be factored in...debt to income, other expenses such as daycare etc
There is no one size fits all answer
I would sit down - figure out your monthly expenses and then use an online mortgage calulator and see how you feel about different mortgage and tax amounts
Figure out a max you feel comfortable with and start looking from there
Also- you should get pre-approved for a mortgage before you start looking just to be sure the bank agrees with what you can afford
ITA....but to give you a ballpark--I probably would not go above 500k.
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| Posted 1/10/10 10:48 AM |
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budget09
LIF Zygote
Member since 11/09 46 total posts
Name:
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Re: opinions needed - WWY spend on home
Use these percentages as an estimate. Your Principle, Interest, Taxes, and Insurance (PITI) should be
< or = 25% if you want to be wealthy one day
26-35% is where most are
>35% and you are going to be house poor
Based on the numbers in the original post, your mortgage payment (PITI) should be no more than 3125/month. Also, your future home should have a purchase price no greater than $550,000. Anything less than that would be more comfortable and anything more than that would strain your finances.
Message edited 1/10/2010 11:48:19 AM.
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| Posted 1/10/10 11:47 AM |
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MRnMRSNurse
LIF Adult
Member since 8/09 1318 total posts
Name:
Jessica
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Re: opinions needed - WWY spend on home
We are exactly in your shoes- income, current DP & debt free. We don't want a 500k house so we are hoping to save more & increase our salaries. We have about 5 more years to save.
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| Posted 1/10/10 12:57 PM |
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queensgal
Smile
Member since 4/09 3287 total posts
Name:
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Re: opinions needed - WWY spend on home
Also depends on taxes...
and how much do you have saved towards retirement, etc. Do you own a home now? what are you paying in rent? How much more would buying be? What are your spending habits - some people spend 60% of their income, others spend 10% KWIM
There are a lot of factors in determining how much "house" you can afford.
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| Posted 1/10/10 6:21 PM |
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maybesoon
LIF Adult
Member since 9/09 5981 total posts
Name:
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Re: opinions needed - WWY spend on home
Posted by Beth
It's impossible to answer with the info given
So many other things need to be factored in...debt to income, other expenses such as daycare etc
There is no one size fits all answer
I would sit down - figure out your monthly expenses and then use an online mortgage calulator and see how you feel about different mortgage and tax amounts
Figure out a max you feel comfortable with and start looking from there
Also- you should get pre-approved for a mortgage before you start looking just to be sure the bank agrees with what you can afford
Thanks!
ok , we have been preapproved for an amount that seems high to me. we don't have any daycare expenses because family is watching kiddies for free.
the reason I was asking the question (wanting all of your opinions) is because our prequal was around 100K more than what I was thinking of spending . Most of what the answers are smack in the middle of our prequal and what I was thinking we should spend.
Message edited 1/10/2010 7:59:28 PM.
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| Posted 1/10/10 7:30 PM |
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maybesoon
LIF Adult
Member since 9/09 5981 total posts
Name:
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Re: opinions needed - WWY spend on home
Posted by queensgal
Also depends on taxes...
and how much do you have saved towards retirement, etc. Do you own a home now? what are you paying in rent? How much more would buying be? What are your spending habits - some people spend 60% of their income, others spend 10% KWIM
There are a lot of factors in determining how much "house" you can afford.
Great points!
I'm assuming the taxes will be about 10K? but I know they go up (seems like every year!!!)
we do own a condo now but we are not considering that as part of our downpayment, we'll keep that $ for retirement or future use.
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| Posted 1/10/10 7:56 PM |
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BaroqueMama
Chase is one!
Member since 5/05 27530 total posts
Name:
me
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Re: opinions needed - WWY spend on home
We got approved for a mortgage amount WAY WAY WAY above what I considered spending. I think we spent 150K less than what we qualified for, so I wouldn't use that as an indication because they don't really factor in everything you need to pay every month.
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| Posted 1/10/10 8:56 PM |
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MrsBlueSash
Love my sailor
Member since 6/05 5793 total posts
Name:
Christian
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Re: opinions needed - WWY spend on home
JMO, max $550
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| Posted 1/10/10 9:19 PM |
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smdl
I love Gary too..on a plate!
Member since 5/06 32461 total posts
Name:
me
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Re: opinions needed - WWY spend on home
Posted by maybesoon
Posted by Beth
It's impossible to answer with the info given
So many other things need to be factored in...debt to income, other expenses such as daycare etc
There is no one size fits all answer
I would sit down - figure out your monthly expenses and then use an online mortgage calulator and see how you feel about different mortgage and tax amounts
Figure out a max you feel comfortable with and start looking from there
Also- you should get pre-approved for a mortgage before you start looking just to be sure the bank agrees with what you can afford
Thanks!
ok , we have been preapproved for an amount that seems high to me. we don't have any daycare expenses because family is watching kiddies for free.
the reason I was asking the question (wanting all of your opinions) is because our prequal was around 100K more than what I was thinking of spending . Most of what the answers are smack in the middle of our prequal and what I was thinking we should spend.
You cannot go for what you were pre-approved. They don't do your finance for you. You need to figure out your current expenses and see what you have afford with the money left in your account every month.
DH was approved for $700K for a loan. He bought a house about half the price. That was what he could "really" afford.
I would stick to 28%-38% of you income reserved for your house.
In the end, add ALL your expenses every month and see what you really have left in your account. Take into consideration that making it paycheck to paycheck is very stressful. What if you need a new dishwasher one month. Or the washing machine breaks. You need to have a reserve. A house is a money pit. You ALWAYS have to buy something.
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| Posted 1/10/10 9:43 PM |
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Tine73
Member since 3/06 22093 total posts
Name:
*********
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Re: opinions needed - WWY spend on home
Between $500-600K.
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| Posted 1/11/10 3:27 PM |
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