I just finished getting my degree and am working full time with an annual salary of 83K but Ive literally just started working so I have no proof of income yet. I am living at my parents home saving up money and in a few months plan to have around 60K saved up for a downpayment (with my savings and parents help of course). My credit score is 750 and my only costs are food, gas, and insurance. If age is taken into consideration I am 24 years old and it will be my first home.
With that information, could any loan agents or bankers let me know the price range of homes I should be searching for in California in the San Fernando Valley as well as their monthly payments if possible. Ive done the online calculators which tell me to look in the range of 420K to 460K with monthly payments of around 1700 but I want to know how accurate those estimates are to me personally.
Thanks so much!
@falsi: Thanks for the information but the only people Ive ever heard refer to the 3x salary figure have not been knowledgeable in the area and furthermore it is not the case with any of the people I know. For instance a relative makes 250K annually and purchased a home for 1.3 million which is close to double your estimate. I continually hear of the rule that states that 30% of your monthly income should go to your mortgage which in my case is $ 2075, if you know about this rule can you elaborate.