View Single Post
Old
02-10-2013, 08:18 AM
  #822
Clock
Moderator
 
Clock's Avatar
 
Join Date: May 2006
Location: Buffalo
Country: United States
Posts: 19,924
vCash: 500
Quote:
Originally Posted by vcv View Post
I have a financial question.

My wife's sister is looking at houses and we all got talking about what you can or should spend. I always figured you shouldn't spend much more than twice your current yearly gross income on a loan. All the online calculators I've checked seem to indicate waaaay more.

Very tempting to look at upgrading though, that's for sure

Thoughts?
I think the best way to do it is work it backwards. Made an honest monthly budget showing all bills, gas money, groceries, etc etc etc, give a good spending buffer for stuff like clothes shopping / car repairs / whatever, give a savings buffer that you'll stick to and feel comfortable with, and see how much you have leftover. Just doubling salary seems like a thirty second solution to a thirty year commitment.

Clock is offline