Calculate Home Buying Power ⟶
Subtract roughly from that max payment to account for property taxes and insurance.
Example: ($8,333 x 0.36) - $400 car payment = Step 3: Factor in "Hidden" Costs calculate home buying power
Your total monthly debt payments (mortgage + car loans + student loans + credit cards) should not exceed 36% of your gross monthly income. 2. Down Payment Amount 3.5%: Minimum for FHA loans. Subtract roughly from that max payment to account
The "gold standard" to avoid Private Mortgage Insurance (PMI). 3. Credit Score & Interest Rates calculate home buying power