re: House = (x)household income

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House = (x)household income
What number are you comfortable with?

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ROT used to be 2.5X annual income. In fact, 2.5X was the lending limit in many instances. But that was also with lending rates in the 8% range. With lower rates it makes sense the max loan-to-income ratio would increase, at least some.

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I realize the safe answers would skew at lower incomes

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You're right.

However, whereas "the safe answers" at lower incomes should skew down, they likely skew up. As home buyers, lower income individuals are incentivized in several ways to purchase at upper end of price range. School districts, neighborhood safety, historic rates of ROI, etc. all tug their price upward.

Unfortunately while those skew home costs upward, there is a big difference between a 25% annual income cost-of-carry for a $40K/yr family vs a $400K/yr family. Obviously even after taxes, the $400K family is left with far more disposable income.

Needless to say, the other major consideration is job stability, and risk related to the resell market. The higher the risk, the lower should be the price tolerance.