How Much House Can You Afford in St. Louis, MO

What Do We Mean When We Use The Term Home Sale Affordability?

Basically, we’re determining how much house you and your family can afford.

You Should Consider These Important Factors

  • How much can I put toward my down payment?
  • What size monthly payment can I afford?
  • How much can I borrow?

At Liberty Lending, we take all the time necessary to help you understand the various options available to you when considering houses in for sale. For example, if you plan on a 30-year mortgage, you can probably make a lower down payment (or perhaps no down payment at all) and still manage the monthly payments.

If, on the other hand, you plan on a 15-year mortgage, although you’ll be making less payments over time, you may want to make a larger down payment to keep your monthly payments in line with what you can afford.

How Large of a Down Payment Can I Make?

Many buyers look at their cash on hand as their only source for their down payment. However, there are multiple other avenues available to you. One way to fund or partially fund a down payment is by using a “gift.” Parents, grandparents and other family members are often eager to help by making a cash gift toward your home purchase.

There are also down payment assistance charities that can help you. And, of course, if you are selling a home, the equity you’ve built up can be applied to your down payment.

But these are not your only lending options. We can help you explore all your down payment options, including low down payment and 100% mortgage financing options that might be right for you.

What Size Monthly Payment Can I Afford?

When determining what size monthly payment you can afford, you’ll want to consider what other monthly expenses you have. Tangible expenses – including car payments, day care and utility bills – play a role in how large a monthly payment you can afford.

You’ll also want to consider your intangible expenses or lifestyle expenses. Intangible expenses include dining out, traveling, purchasing a new vehicle, etc. You’ll want to be well aware of how your future purchases will affect how much you can afford on a monthly payment.

How Much Can I Borrow?

This is a question you’ll want to get answered before you begin your home search. And we can help. Our mortgage calculators will show you how your down payment, monthly payment and the amount you borrow are all interrelated.

We can answer any questions you may have about the mortgage process. However, the best way we can help is by getting you pre-qualified or pre-approved for a home mortgage. We look forward to helping make your dream home affordable.