Calculating how much house you can afford

Knowing how much home you can afford can be tricky.  Most experts advise that your home should cost no more than three to five times your annual household income.  However, you should consider other factors such as your future career and life plans.  A 30-year mortgage is a long commitment in light of the unemployment rate.  Furthermore, what are your current and future debt obligations – – will you have student loan payments that will begin in the near future.

For more help deciding how much you can afford to pay for a home read, “How much house can you really afford?