Please help: Is this calculator accurate?

Mary_From_Georgia · 11-18-2007, 05:49 AM

I'd asked a question in the last thread I started. Can someone take the time to comment and/or direct to a more accurate calc?

Mortgage Guide

Thanks,
MFG

REWahoo · 11-18-2007, 06:04 AM

Mary, that calculator is apparently one used by several mortgage related websites as a guide to estimate what you can qualify for. As such, it is probably reasonably accurate.

You might want to run your numbers through a couple more just for comparison. I did a quick google and found this one:

CUNA Calculator: How Much House Do I Qualify For?

REWahoo · 11-18-2007, 06:13 AM

Mary, one more thing to remember: When it comes to mortgages it's usually better to end up with not quite as much house as you wanted than not quite enough money to pay your other bills...

Rambler · 11-18-2007, 06:15 AM

Looks pretty straight up, but the real test is to plug in your own information...how much you spend on living expenses, etc. These calculators are based on typical patterns...not necessarily yours...
Good luck!
Rambler

Mary_From_Georgia · 11-18-2007, 06:26 AM

Quote:

Originally Posted by REWahoo

Mary, one more thing to remember: When it comes to mortgages it's usually better to end up with not quite as much house as you wanted than not quite enough money to pay your other bills...

Great point. Trust me, I'm not looking for a mansion. Just want something to guide me.

Thanks!

OAG · 11-18-2007, 06:38 AM

Simple rule of thumb is, assuming your expenses are lean and your other debt is minimal, is to take 2.5 X your income as the MAXIMUM home mortgage your can afford. Example: $50K income times 2.5 is a $125K Mortgage. To the mortgage amount ADD your down payment that should keep you is very safe territory (reference REWahoo) as to the total home cost. (Notice the distinction between Mortgage and Home; the distinction is more important today with the high prices of homes).

11-18-2007, 05:49 AM	#1
Mary_From_Georgia Dryer sheet aficionado Join Date: Feb 2005 Posts: 39	Please help: Is this calculator accurate? I'd asked a question in the last thread I started. Can someone take the time to comment and/or direct to a more accurate calc? Mortgage Guide Thanks, MFG

11-18-2007, 06:04 AM	#2
REWahoo Moderator Emeritus Join Date: Jun 2002 Location: Texas Hill Country Posts: 10,404	Mary, that calculator is apparently one used by several mortgage related websites as a guide to estimate what you can qualify for. As such, it is probably reasonably accurate. You might want to run your numbers through a couple more just for comparison. I did a quick google and found this one: CUNA Calculator: How Much House Do I Qualify For? __________________ Some claim to have a crystal ball when it comes to investing in stocks and real estate. Me, I've got a disco ball... Retired in 2005 at age 58 - better FIREd late than never.

11-18-2007, 06:13 AM	#3
REWahoo Moderator Emeritus Join Date: Jun 2002 Location: Texas Hill Country Posts: 10,404	Mary, one more thing to remember: When it comes to mortgages it's usually better to end up with not quite as much house as you wanted than not quite enough money to pay your other bills... __________________ Some claim to have a crystal ball when it comes to investing in stocks and real estate. Me, I've got a disco ball... Retired in 2005 at age 58 - better FIREd late than never.

11-18-2007, 06:38 AM	#6
OAG Thinks s/he gets paid by the post Join Date: Jun 2006 Location: Dublin, Ohio Posts: 1,393	Simple rule of thumb is, assuming your expenses are lean and your other debt is minimal, is to take 2.5 X your income as the MAXIMUM home mortgage your can afford. Example: $50K income times 2.5 is a $125K Mortgage. To the mortgage amount ADD your down payment that should keep you is very safe territory (reference REWahoo) as to the total home cost. (Notice the distinction between Mortgage and Home; the distinction is more important today with the high prices of homes). __________________ Proud Vietnam Veteran: Cu Chi 66, 1/25th, HHC 25th and Pleiku 66-67 41st Sig Bn 1st STRATCOM

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11-18-2007, 06:15 AM	#4
Rambler Full time employment: Posting here. Join Date: Jul 2007 Posts: 594	Looks pretty straight up, but the real test is to plug in your own information...how much you spend on living expenses, etc. These calculators are based on typical patterns...not necessarily yours... Good luck! Rambler

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