re: Office debate - What is considered a large home to you?

quote:

---

I remembered a school lesson from high school home keeping class that was required. Buy a home that cost your annual salary and plan to pay it off in 20 years.If ya out grow it sell it and by then ya salary should be bigger so bigger house if not live crowded till ya can afford bigger.

---

quote:

---

If it takes you 20 years to pay off a mortgage that is equal to what you make in a year, you're doing it very wrong. also, that's an absurd rule that you could never follow living in an urban area.

---

Actually, here is a good safe conservative rule of thumb with regards to how much house can I afford:
1. 15 year conventional fixed rate mortgage
2. 20% minimum down payment
3. Monthly note is no more than 20% of your monthly
TAKE HOME PAY