If you're thinking of entering the world of homeownership, right now is a great time! Prices are low, mortgage rates are good and the selection of homes on the market is pretty incredible. But for first-time homebuyers, the task of figuring out how much your new home is going to cost you can be intimidating. After all, presumably, this will be the biggest purchase you've made until this point in your life - and the costs can be staggering if you're not ready for them! According to the Federal Housing Administration, your mortgage payments should be no more than 29% of your gross monthly income if you carry some debt, or up to 41% if you have no debt.
Add to that what you plan to put down on the home (this number can be much less than 20% if you purchase mortgage insurance) and the closing costs (2-5% of the cost of the home) and it's actually pretty simple to figure out what buying a home will really cost you. And beginning that search is a lot less intimidating when you know what you're getting into! Plus, you have HomesPlus to help make that search even easier.
Click here for more about what buying a home really costs!
Happy Home Hunting!
Rochelle Vayo
