If you’re like most people buying a condo or loft in DTLA, you want to know how much home you can afford. One way to figure it out is to get preapproval from a lender; that way, you’ll know how much you’re likely to get approved for.
But there’s more to it than that. Just because a lender is willing to give you that much money, it doesn’t necessarily mean that you can really afford those monthly payments.
So how much house can you really afford?
How to Figure Out How Much House You Can Afford
While your lender works on the math regarding how much it’ll approve you for, you need to be thinking about mortgage payments. If you’re currently renting and you’re doing just fine, then you should be able to swing similar mortgage payments… as long as you account for other expenses associated with home ownership, like taxes, home repairs and renovations, and regular maintenance, as well as condo association dues.
You’ll also have to think about the one-time costs, like an earnest money deposit and your down payment. The down payment is usually the biggest issue – but talk to your real estate agent about what you can do, because you don’t always have to put down 20 percent to buy a loft or condo in DTLA.
Are You Buying a Loft or Condo in DTLA?
Call us at 213-254-7626 or get in touch with us online to start exploring your options when you want to buy a loft or condo in downtown Los Angeles.
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