Financial Answer Center
- Plan Ahead
- Getting the Down Payment Together
- Start a Savings Plan
- How Much Down Payment?
- How the Lender Qualifies You for a Mortgage
- Mortgage Affordability Chart
- Credit Bureaus
How much home you can afford to buy revolves around how much mortgage you can afford to pay down each month (and whether your lender agrees with you!). If you're single, you will be your only source of funds. Make certain you've taken all your financial needs into consideration, like an emergency fund, for example. You won't have a spouse or co-owner to fall back on if finances get tight.
Budgeting how much you can afford is especially important since what you can afford today, when you're buying, may not be what you can afford several years down the road. Think ahead and plan prudently. What will your income be like? Are new expenses on the horizon? Fluctuating interest rates and purchase prices could make buying a home in today's market a tricky endeavor. Securing the right financing can mean the difference between affordable monthly payments and paying thousands of extra dollars over the life of the mortgage. Making the right decision could make the difference in where you live.