|
"We are very Happy with our new home!!"
"Just wanted to let you know - we are very Happy with our new home!! And thanks to you and Heather for helping us get it." "Thanks again for always being supportive to us in every way."
"Louie & Opal"
You have a story to tell about us. You've worked with us, and we've helped you buy or sell a home. We need your feedback. Others need your feedback, too! Please take a moment to fill out this form and tell us how we did... 
 |
First Time Buyers >Affording A Home
Are you getting ready to buy your first home? It is important to know how much you can afford before you begin looking at properties. Talking with a lender and getting pre-approved for a loan puts you in a stronger negotiating position with sellers.
As a rule, your monthly housing costs should not exceed 28% of your monthly pre-tax income. These costs include the mortgage payment, real estate taxes, and insurance. If you have long-term debts, such as student loans or car payments, your monthly payments, including your housing costs, should be less than 36% of your pre-tax monthly income. Some loans, such as VA and FHA loans, are more flexible with these basic guidelines.
Depending on which type of mortgage you select, you can consider houses in various price ranges. An adjustable-rate mortgage will usually enable you to qualify for a higher loan amount. Your real estate agent can help you make the basic calculations. Remember that buying at the top end of your price range gives you more time to outgrow your home, and can save you money over the long term.
|
|
| Q |
What does the abbreviation PITI stand for?
|
| A |
Principal, Interest, Taxes and Insurance are the four major items included in a monthly mortgage payment. |
 See More Real Estate Trivia > |
|
|
|
- NUMBER1EXPERTS™ 
