Determining how much you can afford is an important first step in shopping. How much will your monthly payments be?
Take into consideration future changes in your household income. Are you anticipating a promotion at work that would increase your salary?
Will you be adjusting from a double income family to a single income in the coming years?
If the interest rate is adjustable - can you afford the larger payment if the rates increase?
Your debt-to-income ratio is the amount of debt payments per month divided by the amount of your income per month. This ratio helps lenders decide how large a monthly payment you can afford.
In addition to the lender knowing what you can afford, You must be comfortable with the size of your monthly payment. One way to do this is to utilize a mortgage calculator. This can be found on-line, and is an easy-touse tool to help you determine how much you can afford. Generally, your monthly housing expenses, including principal, interest, property taxes, and homeowners
monthly income; your total long term monthly obligations such as housing expenses, car payments and insurance, percent of your gross income.
Will you be adjusting from a double income family to a single income in the coming years?
If the interest rate is adjustable - can you afford the larger payment if the rates increase?
Your debt-to-income ratio is the amount of debt payments per month divided by the amount of your income per month. This ratio helps lenders decide how large a monthly payment you can afford.
In addition to the lender knowing what you can afford, You must be comfortable with the size of your monthly payment. One way to do this is to utilize a mortgage calculator. This can be found on-line, and is an easy-touse tool to help you determine how much you can afford. Generally, your monthly housing expenses, including principal, interest, property taxes, and homeowners
monthly income; your total long term monthly obligations such as housing expenses, car payments and insurance, percent of your gross income.
No comments:
Post a Comment