How much house can one afford?

[Te3030]

Anyone know around about how much of a Mortgage can someone qualify with a FHA loan and gross yearly employment income around $50-$55k. No other debt, only other expenses would be utilities. Thanks!

[sports1965]

depends on your tax,insurance rate

[Anonymous]

Without doin any hard math I'm gonna say about 200k?

[Te3030]

Loan officer told me between $150k-$200k just over the phone when I gave the same info as in this thread. Broad range so I was wondering if others had any input. My rent just went up to $1350, from $1250 & I'm tired of throwing money away and would like a mortgage around $1250 or less. Plan to put 5% down payment on a FHA loan, taxes in the city I want to buy are around $2500-$3000 a year.

I've been renting the same home for 5yrs, time has flown by so fast, never intended to throw so much money away. Thinking of asking owners if they are interested in selling prior to looking for another home. Homes in this sub seem to go around $170k-$215k, but my rental has no updates and would need several things replaced/updated. 

[ezdriver]

---

@Te3030 wrote:

Anyone know around about how much of a Mortgage can someone qualify with a FHA loan and gross yearly employment income around $50-$55k. No other debt, only other expenses would be utilities. Thanks!

---

$55k annually is about $4,600 monthly

0.38 x 4600 = 1,748 [amount of non-housing debt you can have] ... you're good there.

0.45 x 4600 = 2,070 monthly PITI payment for qualification purposes.... you look good there.

at $7/$1,000 mortgage, you should qualify for $250k to $300k of mortgage.

Do you have a 3.5% min down payment?

Do you have $6,000 or mort of savings AFTER you close on the house [reserves]?

Is you mid score 600 or higher?

Some things to think about.

[Te3030]

---

@ezdriver wrote:

---

@Te3030 wrote:

Anyone know around about how much of a Mortgage can someone qualify with a FHA loan and gross yearly employment income around $50-$55k. No other debt, only other expenses would be utilities. Thanks!

---

$55k annually is about $4,600 monthly

0.38 x 4600 = 1,748 [amount of non-housing debt you can have] ... you're good there.

0.45 x 4600 = 2,070 monthly PITI payment for qualification purposes.... you look good there.

at $7/$1,000 mortgage, you should qualify for $250k to $300k of mortgage.

Do you have a 3.5% min down payment?

Do you have $6,000 or mort of savings AFTER you close on the house [reserves]?

Is you mid score 600 or higher?

Some things to think about.

I do plan to put down 3.5% or 5%, could do either. Not planning to start the loan process until this Sept or Oct and by then I should have more money in savings, I do have my down payment now. Fico's are mid 600's to almost 700, I don't know mortgage scores though. Thank you!

[mamatried]

If you can qualify for conventional with 5% down, that may be better than 3.5% FHA to save on PMI down the road if it's a long term purchase.

[DallasLoanGuy]

http://ficoforums.myfico.com/t5/Mortgage-Loans/Do-I-qualify-for-a-mortgage-Info-that-is-needed/td-p/...

we would need to know what the property tax rates are.

and a total of all other debt pmts

[Anonymous]

Yes, definitley depends on your taxes & insurance!  That takes up half of my mtg pymt!  And also HOA"S if applicable.  I know most of the calculators out there have taxes & insurance very low.  Not the case where I live.  So it made a whopping difference.