# Readers ask: How to determine how much mortgage you can afford?

## How much house can I afford on \$60 000 a year?

The usual rule of thumb is that you can afford a mortgage two to 2.5 times your annual income. That’s a \$120,000 to \$150,000 mortgage at \$60,000.

## How many times your salary can you borrow on a mortgage?

Mortgage lenders used to calculate how much they would lend by a simple rule-of-thumb multiplication of an applicant’s income: 4 or 4.5 times salary was the limit.

## How much house can you afford on 30000 a year?

He also says that your mortgage payments, including insurance and taxes, should be no more than 25% of your take-home pay. 5. The Dave Ramsey Mortgage.

Gross Income Monthly Take-Home Maximum Monthly Payment
\$20,000 \$1,250 \$312
\$30,000 \$1,875 \$468
\$40,000 \$2,500 \$625
\$50,000 \$3,125 \$781

## How much house can I afford on \$50 000 a year?

Conservatively, your monthly housing costs should total 28% or less of your total gross income. By this measure, a single adult with a \$50,000 annual salary, or \$4,167 in gross pay per month, can pay housing costs of up to \$1,167 per month.

## How much do you need to make to afford a 700k house?

You need to make \$215,337 a year to afford a 700k mortgage. We base the income you need on a 700k mortgage on a payment that is 24% of your monthly income. In your case, your monthly income should be about \$17,945. The monthly payment on a 700k mortgage is \$4,307.

## Can I buy a house making 40k a year?

Take a homebuyer who makes \$40,000 a year. The maximum amount for monthly mortgage-related payments at 28% of gross income is \$933. (\$ 40,000 times 0.28 equals \$11,200, and \$11,200 divided by 12 months equals \$933.33.)

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## What is the minimum income to qualify for a mortgage?

If your monthly income is higher than \$5,225.06 (or your annual income is above \$62,700.68) you should qualify. If your income is lower than this, you may need to do one of the following: look for a cheaper home, save a higher downpayment, or look for a lender which will lend to higher DTI limits.

## How much a month is a 200k mortgage?

For a \$200,000, 30-year mortgage with a 4% interest rate, you’d pay around \$954 per month. But the exact costs of your mortgage will depend on its length and the rate you get. 4 дня назад

## How much income do I need for a 500k mortgage?

A generally accepted rule of thumb is that your mortgage shouldn’t be more than three times your annual income. So if you make \$165,000 in household income, a \$500,000 house is the very most you should get.

## How much do I need to make to afford a 250k house?

How much do you need to make to be able to afford a house that costs \$250,000? To afford a house that costs \$250,000 with a down payment of \$50,000, you’d need to earn \$37,303 per year before tax. The monthly mortgage payment would be \$870. Salary needed for 250,000 dollar mortgage.

## How much do I need to make to afford a 200k house?

Example Required Income Levels at Various Home Loan Amounts

Home Price Down Payment Annual Income
\$150,000 \$30,000 \$40,107.97
\$200,000 \$40,000 \$49,310.63
\$250,000 \$50,000 \$58,513.28
\$300,000 \$60,000 \$67,715.94

## What mortgage can I afford on 70k?

How much should you be spending on a mortgage? According to Brown, you should spend between 28% to 36% of your take-home income on your housing payment. If you make \$70,000 a year, your monthly take-home pay, including tax deductions, will be approximately \$4,328.

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## How much do I need to make to afford a 150k house?

How much do you need to make to be able to afford a house that costs \$150,000? To afford a house that costs \$150,000 with a down payment of \$30,000, you’d need to earn \$22,382 per year before tax. The monthly mortgage payment would be \$522.

## What kind of house can I afford making 80k?

So, if you make \$80,000 a year, you should be looking at homes priced between \$240,000 to \$320,000. You can further limit this range by figuring out a comfortable monthly mortgage payment. To do this, take your monthly after-tax income, subtract all current debt payments and then multiply that number by 25%.

## Can you afford a house making 50k?

It’s definitely possible to buy a house on \$50K a year. For many, low-down-payment loans and down payment assistance programs are making home ownership more accessible than ever. The amount you can afford doesn’t just depend on your salary, but on your mortgage rate, down payment, and more.

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