Seattle Home Mortgage – How much is too much??

When looking to buy a home for the first time or even upgrading to a newer home, how much should an individual really spend on a home mortgage? While financial institutions allow a debt to Income (DTI) ratio of 40 to 50 percent, borrowers need to take the time and really think about the type of impact that will have on their income and lifestyle.

If you are like most people who have a home mortgage or are looking to buy, many considerations must be made. If you like to travel, go out to dinner,entertain friends,do a lot of weekend jaunts, etc. Consider how much these discretionary items usually cost you. I know that here in the Seattle Home Mortgage market, homes are somewhat more expensive than many areas around the country. It also costs a bit more to do things. So if you are going to upgrade or even buy for the first time take into consideration the things in life that are important to you. Look at what you don’t really want to sacrifice and consider deducting that from the DTI the banks allow. If you do this, it will greatly reduce the chance of your buying to much home even though you may qualify to. Owning a home is great, being able to own a home and still enjoy life is even greater.