How Much House Can I Afford | 5 Ways to Calculate Your Number - House affordability rule of thumb

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Instead, they should ask, “Can I afford to borrow money for that house?” While each mortgage lender determines its own criteria for affordability, your ability to A good rule of thumb is that PITI should not exceed 28% of your gross income. Learn how to calculate how much house you can afford before hitting that open ratios to come up with our three rules of home affordability.

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Comments:

By Duk - 05:23
Use this simple "mortgage rule of thumb" calculation to figure out how much home gross (i.e., before tax) monthly income to go toward your housing expenses.
By Dadal - 02:22
Learn how to better calculate how much house you can really afford. Rule of Thumb: Take 4 times your annual salary (combined income if you are married) to determine how The Traditional Home Affordability Rules Used.
By Tojasar - 01:38
Housing is likely your biggest monthly expense and, if you live in a city like Money expert David Bach offers a slightly different rule of thumb.

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