Can I actually afford this house?
Let's use the real numbers, not the ones the listing wants you to see.
Time
TIME: 20 min
Cost
COST: $0
DIY?
DIY: Yes
Urgency
URGENCY: Low
What's probably happening
A lender will approve you for more house than you should buy. Approval is based on debt-to-income ratios, not on whether you'll have money left for groceries, repairs, or fun.
How urgent is it
Not urgent, but do this math before you fall in love with a listing, not after you've made an offer.
What to do first
Run your real numbers through a 28/36 rule check: housing costs under 28% of gross income, total debt under 36%. Include taxes, insurance, and HOA, not just principal and interest.
Can I handle this myself
Yes. This is arithmetic with your own bank statements, not a professional judgment call.
When to call a professional
Talk to a lender once your numbers look workable, and a fee-only financial advisor if you're stretching for a house that eats more than a third of your take-home pay.
What it might cost
Beyond the mortgage: closing costs (2-5% of the price), PMI if you put down less than 20%, and 1-2% of the home's value per year in repairs and maintenance.
What to gather first
Recent pay stubs, two years of tax returns, current debts and minimum payments, and your actual credit score, not an estimate.
Mistakes to avoid
Using pre-tax income for your budget, forgetting property tax increases after purchase, and treating the pre-approval number as a target instead of a ceiling.
General educational information, not individualized tax, legal, or financial advice for your situation.
First-Time Homebuyer Survival Checklist
Planning to buy? This checklist walks through what to gather and check before you make an offer.
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