There are countless mortgage calculators online; getting an idea of where to start your home buying endeavors — financially at least — is remarkably simple. Online mortgage calculators use a simple formula to give you a baseline of your budget. Your general affordability range is calculated from your household income, monthly debts, and savings. This data is analyzed and compiled to create your approximate budget.
How Much Can You Afford?
As a home buyer, it’s important that you have an understanding of what you can realistically afford. Your monthly mortgage payments, your monthly debts, your overall savings, and your future spending and savings plans are all integral to budgeting for your home.
Savings Rule of Thumb
A good rule of thumb is to have no less than three months of your total monthly expenses in reserve. That buffer can be a safety net for any homeowner expenses you’re sure to incur — such as unexpected repairs — and it should be included in your master budgeting scheme, framed by the data provided by your initial mortgage calculations.
Stonebridge Mortgage Group can help you with your real estate loans and other mortgage solutions, both residential and commercial. We serve the greater Portland area and are located in Gresham, Oregon.
Call us today at 503.661.5580