How Much House Can I Afford?

Alix Singer Uncategorized

The amount of home you can afford directly relates to how much mortgage you can qualify for and how much debt a lender believes you can take on.

Buying a house is no small feat, and it is important to stay realistic with what you can afford. Knowing your budget and sticking to it will make the whole process run more smoothly.

Typically, an underwriter will approve a loan request if your new housing payment did not exceed 32% – 35% of your gross monthly income, and your total debts (including car loans, minimum credit card payments, etc.) did not exceed 42% – 45% of your gross monthly income.

If you don’t feel like doing the math, just contact one of our home loan experts and let them give you an answer.

Ultimately, how much house you can afford depends on your financial situation and preferences.
Talk to a mortgage professional at CFS Mortgage to help guide through the process and give you their expert advice.

Chicago Financial Services, Inc W Hubbard St Suite 200 | Chicago, IL 60642 312.642.7979
Equal Housing Lender || NMLS#137767