The national median existing-home price is approximately $๐๐๐,๐๐๐. Experts say a household income of $100,000 may help you qualify.
๐๐ฎ๐๐ฅ๐ข๐๐ฒ? ๐๐๐ฒ๐๐. ๐๐จ๐ฆ๐๐จ๐ซ๐ญ๐๐๐ฅ๐ฒ ๐๐๐๐จ๐ซ๐ ๐ข๐ญ? ๐๐ก๐๐ญโ๐ฌ ๐๐ง๐จ๐ญ๐ก๐๐ซ ๐๐จ๐ง๐ฏ๐๐ซ๐ฌ๐๐ญ๐ข๐จ๐ง! ๐ค
Put 10% down and youโll need nearly $๐๐,๐๐๐ ๐ฎ๐ฉ๐๐ซ๐จ๐ง๐ญโ plus closing costs, moving expenses and money for repairs. You would still finance approximately $๐๐๐,๐๐๐.
With mortgage rates hovering near 7%, principal and interest alone could run about $๐,๐๐๐ ๐ฆ๐จ๐ง๐ญ๐ก๐ฅ๐ฒ. Add property taxes, homeowners insurance, PMI, utilities and maintenance, and your real housing expense could easily exceed $๐,๐๐๐ ๐ฉ๐๐ซ ๐ฆ๐จ๐ง๐ญ๐ก. ๐ณ
A household earning $100,000 may bring home roughly $๐,๐๐๐ ๐ญ๐จ $๐,๐๐๐ ๐ฆ๐จ๐ง๐ญ๐ก๐ฅ๐ฒ, depending on taxes and deductions. That house could swallow half the take-home pay before groceries, transportation, childcare, debt payments or retirement savings enter the picture.
๐๐ก๐๐ญโ๐ฌ ๐ง๐จ๐ญ ๐ก๐จ๐ฆ๐๐จ๐ฐ๐ง๐๐ซ๐ฌ๐ก๐ข๐ฉ. ๐๐ก๐๐ญโ๐ฌ ๐๐๐ข๐ง๐ ๐ก๐๐ฅ๐ ๐ก๐จ๐ฌ๐ญ๐๐ ๐ ๐๐ฒ ๐ฒ๐จ๐ฎ๐ซ ๐ก๐จ๐ฎ๐ฌ๐! ๐จ
My rule is simple: Keep the purchase price at no more than ๐ญ๐ก๐ซ๐๐ ๐ญ๐ข๐ฆ๐๐ฌ ๐ฒ๐จ๐ฎ๐ซ ๐๐ง๐ง๐ฎ๐๐ฅ ๐ก๐จ๐ฎ๐ฌ๐๐ก๐จ๐ฅ๐ ๐ข๐ง๐๐จ๐ฆ๐. If you earn $100,000, your target should be around $๐๐๐,๐๐๐ ๐จ๐ซ ๐ฅ๐๐ฌ๐ฌ.
Also, keep your total housing payment below ๐๐% ๐จ๐ ๐ง๐๐ญ ๐ญ๐๐ค๐-๐ก๐จ๐ฆ๐ ๐ฉ๐๐ฒ. ๐๐จ๐ฐ๐๐ซ ๐ข๐ฌ ๐๐ฅ๐ฐ๐๐ฒ๐ฌ ๐๐๐ญ๐ญ๐๐ซ.
The bank may approve you for $429,000, but the bank doesnโt have to live with your budget.
๐๐จ๐งโ๐ญ ๐๐๐๐จ๐ฆ๐ ๐ก๐จ๐ฎ๐ฌ๐ ๐ซ๐ข๐๐ก ๐๐ง๐ ๐๐๐ฌ๐ก ๐ฉ๐จ๐จ๐ซ. ๐๐ฎ๐ฒ ๐ฐ๐ก๐๐ญ ๐ฒ๐จ๐ฎ ๐๐๐ง ๐๐จ๐ฆ๐๐จ๐ซ๐ญ๐๐๐ฅ๐ฒ ๐๐๐๐จ๐ซ๐โ๐ง๐จ๐ญ ๐ฐ๐ก๐๐ญ ๐ฌ๐จ๐ฆ๐๐๐จ๐๐ฒ ๐ข๐ฌ ๐ฐ๐ข๐ฅ๐ฅ๐ข๐ง๐ ๐ญ๐จ ๐ฅ๐๐ง๐ ๐ฒ๐จ๐ฎ. ๐
๐๐ก๐ ๐๐๐ซ๐ซ ๐๐๐ฉ๐จ๐ซ๐ญ: ๐
๐ข๐ง๐๐ง๐๐ข๐๐ฅ ๐๐๐ฏ๐ข๐๐ ๐๐จ๐ฎ ๐๐๐ง ๐๐๐ง๐ค ๐๐ง!
๐๐๐๐ ๐ ๐๐จ๐ง๐๐ฒ ๐๐จ๐๐๐ก ๐ญ๐จ ๐ก๐๐ฅ๐ฉ ๐ฒ๐จ๐ฎ ๐๐๐ญ ๐ ๐๐ซ๐ข๐ฉ ๐๐ง ๐๐จ๐ฎ๐ซ ๐๐จ๐ง๐๐ฒ? ๐๐ข๐ญ ๐ฆ๐ ๐ฎ๐ฉ!
โ๐พ Damon Carr, Financial Planner, Money Coach, Tax Pro & Real Talk Specialist.
#MoneyCoachDamonCarr #TheCarrReport #HomeBuying #Mortgage #HousingAffordability #PersonalFinance #HousePoor #FinancialFreedom #RealEstate #GetAGripOnYourMoney
