Rules for determining how much house you can afford.
Are you searching for a first home, sizing up or down, or even a vacation home on Hilton Head Island or in Bluffton? If so, you’re probably wondering where to start and exactly how much house or villa you can afford. Chances are you have met with a mortgage broker and already have this information provided for you. If not, we have a few tips and a great starting point for determining just how much you can afford.
Mortgage lenders use income size and stability, credit score, down payment size and other factors when approving a loan. Each lender will use slightly different ratios but most are within the same range.
Here are a few good tips:
Mortgage Payment: A general rule of thumb is your…