: Your total debt payments (mortgage plus student loans, car payments, and credit cards) should ideally stay below 36% of your gross income .
: A broad starting point is to look for homes priced at 3 to 5 times your annual household income . 2. Upfront Costs: The "Cash-to-Close"
: A professional inspection typically costs $300–$500 and is essential for identifying costly structural or mechanical issues.
Buying a home is often the largest financial commitment you'll ever make. To avoid becoming "house poor," you must look beyond the monthly mortgage payment and account for upfront costs, hidden fees, and ongoing maintenance. 1. Define Your Affordability Limits