How Much Can I Afford to Spend on a Home homebuying process mortgage realtors homebuying credit.mp4

How much can I afford to spend on a home? This is a very good question and the reason why us realtors want you to speak to a mortgage lender before we even go shopping. What the lender does in the background is they're going to take your income and they're going to take your debts. And remember, it's only your debts that appear on your credit report in addition to child support or something of that nature. They don't take into account utilities and things like that. There's a ratio that they're looking for in addition to your credit score. All these things come into play and that can give us two things. The purchase price that we should be shopping at or under, as well as what you should expect as a monthly payment for that purchase price.