Finally a person who is aware that some people make 50K a year. I am sick and tired of other youtubers assuming that we all are making 100K and they make all of their videos around this assumption. Thank you for seeing the reality!
damn this is beyond sad. knowing damn well that with 50k (now a days) you pretty much DONT qualify for almost anything. it's heartbreaking :( its like now a days EVERYTHING is pushing people to just HAVE to rent for the rest of their lives. it angers me.
Kyle, I just wanted to say a big thank you. We are first time home buyers and knew absolutely nothing of the process, and we started watching all your videos over weeks. We must have watched 95% of every video you uploaded. Because of your help, we were able to find a lender and actually work with the lender with some of the advice you have given, as well as the realtor. We found a house and made an offer above the asking price, then asked for the difference in closing costs from the seller, which gave them the exact asking price they wanted. They accepted on the 2nd. This is an FHA deal, and we got 2.875% rate and are closing on Thursday. We submitted EVERY single document we had in our possession, bank statements, to date statements, pretty much everything before the lender even asked for it and it actually went into underwriting first of all without the underwriter even needing any more documentation other than what we submitted within days of being in contract to our lender. We received our Clear to close today and Thursday is our closing day. I know things can still go wrong, but I am very impressed with the timely turnaround. It took under 30 days from offer acceptance to closing on FHA, and the good news is the house appraised for 5k higher than the purchase price! We are days away from this being our time. Without your videos, we would have taken our time and not realized the importance of everything involved. I got my partners credit up from 580 to 669 (Fico 2) in a week and then our lender could lock us in at a lower rate. It has been awesome thus far! Anxiety high, but awesome.
SURPRISE: I turned this into an auto-calculating Google Sheet for you → www.winthehouseyoulove.com/max-mortgage-payment-download Don't forget, this is about how much you COULD buy, not SHOULD buy. Just because a lender will give you money doesn't mean you should take it. Make sure you budget, budget, budget, and only buy a home you can comfortably make a payment on :)
There's not really a problem. The median US household income was like $63,000 back in 2018, and a median US house is like $250,000. Since home ownership is generally not for everyone, you'd expect median or costlier houses being owned by above-median earners only (since the lowest earners are going to be renting instead of buying, or living with Mom and Dad). But in this example, we see a 80%-of-median earner is able to afford 92% of median priced house with 5% down ($230,000 @ 10:00). It seems like housing is more affordable than it needs to be, particularly considering that the lowest earners are firmly in the rental market instead of the buying market. It's also worth considering is that there are plenty of below median-priced houses out there for below median earners. My house cost ~$100,000 back in 2018, less than half of the median price. It's also worth considering that house prices have gone up as interest rates have gone down (i.e. prices are going up to balance out how *easy* it is to buy a house, as a natural way to keep demand in check for the given supply of houses we have). And in places with plenty of supply to meet demand, e.g. outside of areas that constrict the supply of housing like SF/NYC, prices tend to be more on the median-or-lower side.
My husband and I are looking to buy a house within the next 2 years and I’ve been binging your videos! Such amazing info, the process is so confusing and you’ve been such a help
Wow! you are calm and collective. This is my 3rd video (binge-watching). You gave an actual number that the most make. Thank you for this informative and useful information. Gained a follower indeed!
It's like every time I have a question about something, you make a video before I reach out to my potential lender. This helps me to understand the different pre-approval worksheets I received because my "max" was different with each lender.
I know there has to be a logic explanation as to why some people can pay a higher rent but cant buy a house. That's me. Im crazy to buy a house but I cant afford it. Meanwhile I educate my self on this process and keep working hard. Fingers crossed, maybe soon.
your channel is going to be huge man. You were to the point and very calm and collected and come off as if you are a good friend giving advise to a friend going through the process for the first time
I had to subscribe to your channel! You make everything seem more calming when it comes to wanting to learn to buy a house. I just started a teaching job and am looking to buy a house (hopefully within a year) and your videos have helped me learn more about the entire process. I want to say thank you for help everyone in these types of situations! Thank you sir!
Wow, I can't believe how I just came across your channel. You're great man! I said the same thing to Graham when he had 40k subscriber and I am saying the same for you, I can actually see how good you are at this youtube finance thing. Good luck brother I want you to be succesfull! +1 Subscriber
This gave me a good sense of what I was looking at, I don't make that much a month but close to it and my expenses are a lot cheaper than the example. I am in process to build a home next year and I am pretty happy that the morgage payment looks well within the limit so I hope that will mean I won't have too many issues lol
Bought a house 20 miles away from my office for $400,000 (pre-COVID commute was 3 hours roundtrip per day). 1,000 square foot house has 1 bathroom, an unfinished garage, a small yard, no vapor barrier or insulation in the crawl space, moldy aluminum windows, and a leaking roof. Gonna cost close to $30k to fix all of that, and make the house livable. I guess if I move to Nebraska or Arkansas I could find something close to the numbers you presented here.
Good video! Would like to see a bit of content on how to prepare if you had a variable mortgage rate? In the U.K. the usual rule of thumb when buying a rental property at least is to see if you would make a profit with a 4% mortgage rate, so a loss is less likely in an economic downturn
I LOVE your videos. The visuals are aesthetically pleasing. The camera quality, modern background, displays for examples. Not to mention the way you explain the information so simple. I appreciate your videos.
God bless you for sharing all this knowledge with us, I new to your TH-cam channel and after 2 video I already knew you was the person I was looking for to educate my self about this topic
Hi, I just accidentally discovered your channel and will admit that I am learning a lot, sometime back I had done a few years as realtor, am going to buy a house soon and this helps a lot thank you Kyle.
Thank you for this excellent video. Based on these calculations, I know I can afford a house in Florida in the area I'm looking to move in the near future. Currently I'm in LA and can't even afford a garage. Anyways, subscribed!
Your video actually proves a major problem in society. I currently rent paying $1380 a month with a Gross income of 36,000 a year. Banks tell me I can't buy a house for more than 389,000 to put me at about 1,275/month. I would have to move hours away to buy a house and already pay 105 more than this in rent. So many people would love to own there own house but pricing market makes it next to impossible even in small cities in Ontario with 80,000 population you pay 600,000 and up for almost anything and prices are only going up with more and more people moving north. Great video!
Hi, i have a question. Not sure if you have done this yet or not but i was wondering if you could make a video about online mortgage lenders vs, in person mortgage lenders.
Man, I wish you practiced in NY (NYC specifically). Your calmness and expertise puts me at ease. The pressure and anxiety of purchasing a home is so stressful.
just out of curiosity...why use Gross to calculate affordability...wouldnt it make more sense to calculate based off of what is actually hitting your bank?
I thought someone was in my house 😂 but then I realized it was voices in the background of your audio ,. I thought I was TRIPPING! 💀💀 Overall, great video! I will be sure to share this out
I'm going to make sure my grandchildren SUBSCRIBE to this channel. Hopefully, they won't learn about this aspect of life The Hard Way. Thank you for sharing your knowledge!
I’m planning to buy next summer on my va loan. Some notes for veterans: 1) If you’re on VA or other non-taxable income, your lender will add 25% for a gross adjustment since you’re tax free. 2) You can do no money down but if you use an affordability calculator don’t forget to mark zero for down payment, most calculators default to 20%. 3) You’re limited on how much closing costs you can cover, so try to offload to the seller by letting them use your earnest money and they cover the rest. 4) When you make an offer, make sure there’s a contingency that it must pass VA inspection and Appraisal. 5) No down payment doesn’t mean no money spent. There’s a VA inspection, VA appraisal, VA funding fee unless you’re 10%+ disabled, AND earnest money 1% of home’s value. That’s a nice chunk of change you need to cough up during the buying process.
Question: if you get denied during the underwriting process can you just choose a cheaper house or do you have to start the process all over again thank you so much!!!!
I just recorded a personal video reply for you: share.descript.com/view/qJr4GrjcVMS Feel free to email me at kyle@winthehouseyoulove.com Schedule a call with my team: www.winthehouseyoulove.com/lender
Thank you for making these videos! My brother is a realtor so he helps my understanding of the whole homebuying process. But, with the information you add, I am really starting to become more comfortable with the idea of buying a home. That said, are conventional loans the best option for working with DTI that involves in-school deferred student loans at a high balance ($100k+ 😥)? And do lenders take into consideration potential future earnings based on a degree you're working on? Thanks!
I'm glad it's getting more comfortable for you! Yeah, Conventional is going to be the best for deferred and income-based payment programs. Future earnings aren't considered unless you're in med school and you apply for a physician's loan.
5:54 Huge important information about what goes into your monthly payment. Your mortgage lender will probably not tell you this detail and you may attempt to buy a house that will crush you in total monthly payments.
I am confused. I thought monthly income was calculated as hourly rate X 40 x52 / 12? Let's say you make $20/hr. I thought it was $20/hr x 40 hours (if it were FT)=$800 x 52 weeks = $41,600/12 months = $3466.67 as opposed to $20/hr x 160 hours (month) = $3200. I work in Mortgage and this is how we were calculating income. Am I wrong? I'm asking because I have these same questions/concerns as a consumer. Thank you for these videos, they are definitely a help!
It depends on the type of income. This video is assuming a $50k/yr salary (i.e. $4,166/mo). If the income was not salary and was hourly then you would do the calculation you suggested. That would only be one income calculation though, you'd still need to calculate income trending to decide on the income formula being used because most people who work hourly don't get exactly 40 hrs/week. I swear by getblueprint.io/ to calculate income. It's the best tool for loan officers to get the income right without having to do all the math.
@@WinTheHouseYouLove It really was, and thank you for replying to my question that I asked you on IG the other day, I took your advice and spoke to a lender to see how much home I could afford and they helped to answer a lot of questions that I had. Thanks again Kyle!👍
This is very helpful, currently in the process of looking. Haven't started the pre-approval yet just because it gives me anxiety, what if I get pre approved (which I'm confident I will) but then can't find a house that I really like in that 60-90 day period? I don't want to feel pressured to pick one just because time is running out. Also, what microphone do you use? sounds really good.
I'm glad to help! If you don't find a home, most lenders will need credit repulled to make sure nothing big has changed. It would affect your score that much. Anywhere from 0-5 points. I use a Neumann TLM 102
So you're saying I need to get a better paying job. Cause houses in decent neighborhoods are 100k more than what my little 50k salary can buy. Add up all my monthly expenses (gas,food, internet, etc and the things that are subtracted from my check before I see it) plus the mortgage and I am in the red.
Kyle, great content! New subscriber here. Question: I never carry a balance on my CC as I auto-pay in full each month. I do however pay monthly ($200) on my student loans. If I changed my loans to income based, will a lender determine I have $0 in monthly debt?
Thanks! I'm glad you're here! Since your credit card won't show a balance on your credit report, it won't be in your DTI. If your student loans are income-based and have a $0/mo payment, then you won't have to include it in your DTI on a conventional loan.
Basically none where I live. I just got a new job with 100k salary and it's the only reason I can even consider buying a house around 150k-180k. Considering 25% of NET income for affordability really gave me perspective on what I could actually afford. Initially I thought I could afford 200-250k.
Finally a person who is aware that some people make 50K a year. I am sick and tired of other youtubers assuming that we all are making 100K and they make all of their videos around this assumption. Thank you for seeing the reality!
most people are lucky to even be making 50k
@@Doors067 I agree, not many people can make 50K nowadays. People are lucky to have food in their stomach and a roof over their head nowadays.
All depends where you live. It’s relative.
Honestly creators should be assuming most people make around $50k. That’s what I make as a teacher .
@@Doors067 Exactly!!
If all math teachers were this calm and clear the world would be a better place.
Haha! Thankfully I had a very calm math teacher
I agree!!!
Except most of us that stay up at night would fall asleep😂 but still love it!
ahhhhhhh
Emphasis on clear. Agreed
I've worked in the mortgage business for over 3 years and this has to be the best explanation on how to afford a property! Great Video!!!
I'm so glad to hear!!
This channel is the Bob Ross of real estate investment channels. So soothing and educational.
Hahah love it!
damn this is beyond sad. knowing damn well that with 50k (now a days) you pretty much DONT qualify for almost anything. it's heartbreaking :( its like now a days EVERYTHING is pushing people to just HAVE to rent for the rest of their lives. it angers me.
Man, is anyone else falling asleep listening to this guy?? This should be called “the soothing sounds of house buying”
Same. And I mean no disrespect... it's just a fact, lol.
Hahahah hey as long as it's helpful in some capacity, it doesn't both me
@@WinTheHouseYouLove you could do meditation videos.
facts!!
I kind of like the calmness. It makes me feel like everything is gonna be alright lol
Kyle, I just wanted to say a big thank you. We are first time home buyers and knew absolutely nothing of the process, and we started watching all your videos over weeks. We must have watched 95% of every video you uploaded. Because of your help, we were able to find a lender and actually work with the lender with some of the advice you have given, as well as the realtor. We found a house and made an offer above the asking price, then asked for the difference in closing costs from the seller, which gave them the exact asking price they wanted. They accepted on the 2nd. This is an FHA deal, and we got 2.875% rate and are closing on Thursday. We submitted EVERY single document we had in our possession, bank statements, to date statements, pretty much everything before the lender even asked for it and it actually went into underwriting first of all without the underwriter even needing any more documentation other than what we submitted within days of being in contract to our lender. We received our Clear to close today and Thursday is our closing day. I know things can still go wrong, but I am very impressed with the timely turnaround. It took under 30 days from offer acceptance to closing on FHA, and the good news is the house appraised for 5k higher than the purchase price! We are days away from this being our time. Without your videos, we would have taken our time and not realized the importance of everything involved. I got my partners credit up from 580 to 669 (Fico 2) in a week and then our lender could lock us in at a lower rate. It has been awesome thus far! Anxiety high, but awesome.
Ah, this is such an incredible comment!! I'm so glad the videos were helpful for you in the buying process!
@@WinTheHouseYouLove Thanks again, Kyle. 10am tomorrow (fingers crossed) the house will be ours!
Love that you spent time on some calm moments! Makes the whole subject of real estate more personal and humane.
I'm so glad you like them!! Thanks for watching, I'm glad you're here :)
SURPRISE: I turned this into an auto-calculating Google Sheet for you → www.winthehouseyoulove.com/max-mortgage-payment-download
Don't forget, this is about how much you COULD buy, not SHOULD buy. Just because a lender will give you money doesn't mean you should take it.
Make sure you budget, budget, budget, and only buy a home you can comfortably make a payment on :)
sounds exactly like my friend's situation. Except he did spend this and he did stretch himself thin. Dumb.
Does no one else see a problem with an average middle class American ($50,000/yr) barely being able to afford a house.
Definitely a growing issue. Home values are rapidly increasing while average wages have remained static.
50k/yr is not middle class anymore buddy.
50k a year is $24.04/Hr. Federal minimum is $7.25. How is 50k not middle class?
Koda Vision depends on where you live that 50k a year is middle class.
There's not really a problem. The median US household income was like $63,000 back in 2018, and a median US house is like $250,000. Since home ownership is generally not for everyone, you'd expect median or costlier houses being owned by above-median earners only (since the lowest earners are going to be renting instead of buying, or living with Mom and Dad).
But in this example, we see a 80%-of-median earner is able to afford 92% of median priced house with 5% down ($230,000 @ 10:00). It seems like housing is more affordable than it needs to be, particularly considering that the lowest earners are firmly in the rental market instead of the buying market.
It's also worth considering is that there are plenty of below median-priced houses out there for below median earners. My house cost ~$100,000 back in 2018, less than half of the median price.
It's also worth considering that house prices have gone up as interest rates have gone down (i.e. prices are going up to balance out how *easy* it is to buy a house, as a natural way to keep demand in check for the given supply of houses we have). And in places with plenty of supply to meet demand, e.g. outside of areas that constrict the supply of housing like SF/NYC, prices tend to be more on the median-or-lower side.
My husband and I are looking to buy a house within the next 2 years and I’ve been binging your videos! Such amazing info, the process is so confusing and you’ve been such a help
I'm so glad they've been helpful!!
Your voice is so soothing. You could read people names from phone book and I would still listen to.
Haha thanks!
How are u blessed with a voice like this....
Haha thanks!
Right? It’s captivating.
11 seconds in I feel at ease and ready to learn. I already like this guy.
Thanks!!
Wow! you are calm and collective. This is my 3rd video (binge-watching). You gave an actual number that the most make. Thank you for this informative and useful information. Gained a follower indeed!
Wow, thank you!
Your calm voice kept me engaged through the entire video 😁🙌🏾. Thank you for sharing your knowledge with us.
Wow, thank you!
Easiest and simplest explanation I’ve seen so far great job!
Awesome, thank you!
Love your voice and calmness because finances can be very stressful. By the way, you just described my scenario. You were sent from heaven.
Thank you so much for watching!! :)
Not really in a place to buy a house but his voice is sooooo soothing. :)
Thanks!!
It's like every time I have a question about something, you make a video before I reach out to my potential lender. This helps me to understand the different pre-approval worksheets I received because my "max" was different with each lender.
Haha same! It's pretty eerie 😅
Hahah! I'm so glad to help! I answer every comment, so it makes it easy to see what videos everyone wants to see next :)
Just want to let you know that these calm moments are the best!
Yay! I'm so glad you like them!
Just when I’m starting to look at property, and it’s definitely within my annual income range. Thank you and bless you! (New Subscriber)
Wonderful!
I know there has to be a logic explanation as to why some people can pay a higher rent but cant buy a house. That's me. Im crazy to buy a house but I cant afford it. Meanwhile I educate my self on this process and keep working hard. Fingers crossed, maybe soon.
this guy is highly underrated! wow
Hah thanks :)
Can you do a video on buying a multifamily unit with an FHA or down payment assistance?
I have this video on FHA multi families: th-cam.com/video/sSIVP-SLVQM/w-d-xo.html
And planning on a DPA video too :)
@@WinTheHouseYouLove Love this guy, literally going to the same process right now. Thank you!!
you have the calmest, most soothing voice i have ever heard
Thanks!!
your channel is going to be huge man. You were to the point and very calm and collected and come off as if you are a good friend giving advise to a friend going through the process for the first time
Thanks so much!! I'm glad to hear it's helping and being received well :)
I really like the calm, quiet, soothing aesthetic. We need more of this in the world.
Thanks!
Love the Calm Moments! Very smart to explain the next couple steps and lessons learned.
Yay! I'm so glad you like them!!
I had to subscribe to your channel! You make everything seem more calming when it comes to wanting to learn to buy a house. I just started a teaching job and am looking to buy a house (hopefully within a year) and your videos have helped me learn more about the entire process. I want to say thank you for help everyone in these types of situations! Thank you sir!
Thank you so much for watching!! :)
Wow, I can't believe how I just came across your channel. You're great man! I said the same thing to Graham when he had 40k subscriber and I am saying the same for you, I can actually see how good you are at this youtube finance thing. Good luck brother I want you to be succesfull!
+1 Subscriber
Thank you so so much!! Haha I doubt I will get to Graham's insane level!
This was a excellent video and made it very clear to understand the process ❤
Glad it was helpful!
New to your channel but this was very helpful. I have a million questions and this is a really helpful starting point
This gave me a good sense of what I was looking at, I don't make that much a month but close to it and my expenses are a lot cheaper than the example. I am in process to build a home next year and I am pretty happy that the morgage payment looks well within the limit so I hope that will mean I won't have too many issues lol
Glad to help!
Bought a house 20 miles away from my office for $400,000 (pre-COVID commute was 3 hours roundtrip per day).
1,000 square foot house has 1 bathroom, an unfinished garage, a small yard, no vapor barrier or insulation in the crawl space, moldy aluminum windows, and a leaking roof. Gonna cost close to $30k to fix all of that, and make the house livable.
I guess if I move to Nebraska or Arkansas I could find something close to the numbers you presented here.
Dang that sounds rough!!
Good video!
Would like to see a bit of content on how to prepare if you had a variable mortgage rate? In the U.K. the usual rule of thumb when buying a rental property at least is to see if you would make a profit with a 4% mortgage rate, so a loss is less likely in an economic downturn
Great suggestion!
I LOVE your videos. The visuals are aesthetically pleasing. The camera quality, modern background, displays for examples. Not to mention the way you explain the information so simple. I appreciate your videos.
Thank you so much :)
God bless you for sharing all this knowledge with us, I new to your TH-cam channel and after 2 video I already knew you was the person I was looking for to educate my self about this topic
Thanks so much!! I'm glad you're here :)
@@WinTheHouseYouLove which one its better for 1st time buyers like me Trulia or Zillow ? & thanks for your time and knowledge
Very helpful video, that Trulia calculator is great.
I think so too!
Hi, I just accidentally discovered your channel and will admit that I am learning a lot, sometime back I had done a few years as realtor, am going to buy a house soon and this helps a lot thank you Kyle.
Thank you so much for watching!! :)
Love the calm explanations! It makes all the difference. Thank you!!!
You're so welcome!
Omg, you are so calm and great speaker. Wow I am impressed 👍
Thank you!
Kyle, this was really helpful and easy to follow. Thank you!
Great, you're welcome!
LOVE your channel. Honestly your 10 min videos give more information than most books.
Thank you so much!! I'm glad the videos are helpful :)
Thank you for all ur videos. I m new in this country, came less than 2 years ago and you helping people like me.
I'm so glad to help! Thanks for watching!!
Thank you for this excellent video. Based on these calculations, I know I can afford a house in Florida in the area I'm looking to move in the near future. Currently I'm in LA and can't even afford a garage. Anyways, subscribed!
Best of luck!
I'm so glad TH-cam recommended me your channel!
Me too!! I’m glad you’re here, thanks for watching!
@@WinTheHouseYouLove also are you hiring 🙂
@@mckensiemagee900 personally, not right now, but our office might be open to it! Feel free to shoot me an email at kyleseagraves@hey.com
Your video actually proves a major problem in society. I currently rent paying $1380 a month with a Gross income of 36,000 a year. Banks tell me I can't buy a house for more than 389,000 to put me at about 1,275/month. I would have to move hours away to buy a house and already pay 105 more than this in rent. So many people would love to own there own house but pricing market makes it next to impossible even in small cities in Ontario with 80,000 population you pay 600,000 and up for almost anything and prices are only going up with more and more people moving north. Great video!
Absolutely, housing cost is becoming insane. I'm working on a video talking about the affordability issue soon.
Kyle you are the best! I was able to calculate with ease and could actually help another with there numbers Thankyou!
Happy to help!
Hi, i have a question. Not sure if you have done this yet or not but i was wondering if you could make a video about online mortgage lenders vs, in person mortgage lenders.
Great suggestion, added to my list :)
@@WinTheHouseYouLove thank you!
Man, I wish you practiced in NY (NYC specifically). Your calmness and expertise puts me at ease. The pressure and anxiety of purchasing a home is so stressful.
Me too! I'm glad to at least help in a small way through these videos :)
I was just thinking the same thing, I’m also in NYC!
250K for houses. How much for closing costs gonna be? Please reply
just out of curiosity...why use Gross to calculate affordability...wouldnt it make more sense to calculate based off of what is actually hitting your bank?
That is just what lenders use
@@WinTheHouseYouLove no I totally get that, I mean for personal budgeting trying to figure out affordability
Yes for your own budgeting net is better
@@WinTheHouseYouLove gotcha. Ty
I thought someone was in my house 😂 but then I realized it was voices in the background of your audio ,. I thought I was TRIPPING! 💀💀 Overall, great video! I will be sure to share this out
Hahah I used to record in a fairly busy office!
You make it look so easy, this is one of the best illustrations I have seen. Thank you 😊
Thanks so much!!
I make 40k and car payment of $230 no other debt, good credit, was PRE approved for $230k in California 🙄
Just make sure the payment fits in your budget comfortably :)
Which was ur credit score?if u dont mine im in process to get pre-approval ill know the answer till tuesday
chevys26s I believe it was 736 at time they checked
Win The House You Love I wish homes were cheaper here, thank you!
@@cowgirltapatilla u have a good credit did u already buy a house
---DAVE RAMSEY LEFT THE CHAT---
Hahah! Dave Ramsey definitely wouldn’t like lending guidelines
😭😭
@@WinTheHouseYouLove also would not like IBR for student loans
😂
I'm going to make sure my grandchildren SUBSCRIBE to this channel. Hopefully, they won't learn about this aspect of life The Hard Way. Thank you for sharing your knowledge!
You're welcome, thanks for watching!
Thank youuuu!!! New subscriber
Thanks for subbing! Welcome to my channel!
I pay my credit cards off every month, what should I use for a monthly payment in your calculations?
If you never carry a balance, then you’ll use $0
I’m planning to buy next summer on my va loan. Some notes for veterans: 1) If you’re on VA or other non-taxable income, your lender will add 25% for a gross adjustment since you’re tax free. 2) You can do no money down but if you use an affordability calculator don’t forget to mark zero for down payment, most calculators default to 20%. 3) You’re limited on how much closing costs you can cover, so try to offload to the seller by letting them use your earnest money and they cover the rest. 4) When you make an offer, make sure there’s a contingency that it must pass VA inspection and Appraisal. 5) No down payment doesn’t mean no money spent. There’s a VA inspection, VA appraisal, VA funding fee unless you’re 10%+ disabled, AND earnest money 1% of home’s value. That’s a nice chunk of change you need to cough up during the buying process.
Great addition :)
Wow I love how you walk through it nice and slow!
Glad you like it!
Yet another great video for future home buyers.
Glad you think so!
Came across your video and subscribing not because of mortgage but because I want to use your video as my white noise to go to sleep at night😌
Haha! Sweet dreams 😴
Question: if you get denied during the underwriting process can you just choose a cheaper house or do you have to start the process all over again thank you so much!!!!
I just recorded a personal video reply for you: share.descript.com/view/qJr4GrjcVMS
Feel free to email me at kyle@winthehouseyoulove.com
Schedule a call with my team: www.winthehouseyoulove.com/lender
@@WinTheHouseYouLove thank you. Your videos are so helpful.
I loved this. This was projected perfectly 🙇♂️
Thank you so much for watching!! :)
Good and clear information🙌🏻 thank you for the calculator link.
Thanks! You're welcome!! Thank you for watching and commenting :)
Hi there, EXCELLENT VIDEO. Question if you apply for a loan as a couple and you both make 50K would you do this calculations on a 100K salary?
Thank you for making these videos! My brother is a realtor so he helps my understanding of the whole homebuying process. But, with the information you add, I am really starting to become more comfortable with the idea of buying a home.
That said, are conventional loans the best option for working with DTI that involves in-school deferred student loans at a high balance ($100k+ 😥)? And do lenders take into consideration potential future earnings based on a degree you're working on? Thanks!
I'm glad it's getting more comfortable for you! Yeah, Conventional is going to be the best for deferred and income-based payment programs.
Future earnings aren't considered unless you're in med school and you apply for a physician's loan.
@@WinTheHouseYouLove Okay, thanks! Appreciate the reply back!
Great info!!! I’m in Los Angeles and there’s no way a mortgage can be $1,300-1,500. Unless I move to the out skirts !!
Thanks! Bummer, those high cost areas are killer!
Win The House You Love average home price $520k
Your channel been such a huge blessing thank you so much!
Thanks so much for watching!
Great explanation, you made it so simple. Thanks for making this video 👍
Thank you so much for watching!! :)
Wished I saw this before I just signed a purchase offer on a home 2 days ago. Great info 👍🏻👍🏻
Glad it was helpful!
Is it possible to live in the Villages for retirees who live on Social Security benefits?
Good stuff! I absolutely love your calming demeanor and your voice! #ImSold #Thanks
Wow, thank you!
Just subscribed 🙌🏽🙌🏽🙌🏽 Love this channel and all the info!!! 😎 thank you!!!
Awesome! Thank you!
I could watch his channel all day
Thanks for watching!!
Thank you very much for the video.I'm trying to buy my first home june 2021. New subbie😘
You got this!
For what? Lol
5:54 Huge important information about what goes into your monthly payment. Your mortgage lender will probably not tell you this detail and you may attempt to buy a house that will crush you in total monthly payments.
I Can’t even buy a mobile home in my area for that price
I'd suggest adding a co-borrower to increase your income.
Living on Goleta , CA median housing is 750k ... Making 110k year, is like making 45k based on cost of living
@@dbanks8995 run away!
Drive to the next town
Thank you for explaining this!
My pleasure! Thanks for watching. :)
I am confused. I thought monthly income was calculated as hourly rate X 40 x52 / 12? Let's say you make $20/hr. I thought it was $20/hr x 40 hours (if it were FT)=$800 x 52 weeks = $41,600/12 months = $3466.67 as opposed to $20/hr x 160 hours (month) = $3200. I work in Mortgage and this is how we were calculating income. Am I wrong? I'm asking because I have these same questions/concerns as a consumer. Thank you for these videos, they are definitely a help!
It depends on the type of income. This video is assuming a $50k/yr salary (i.e. $4,166/mo).
If the income was not salary and was hourly then you would do the calculation you suggested. That would only be one income calculation though, you'd still need to calculate income trending to decide on the income formula being used because most people who work hourly don't get exactly 40 hrs/week.
I swear by getblueprint.io/ to calculate income. It's the best tool for loan officers to get the income right without having to do all the math.
Thank you Kyle this is very helpful!
Glad it was helpful!
@@WinTheHouseYouLove It really was, and thank you for replying to my question that I asked you on IG the other day, I took your advice and spoke to a lender to see how much home I could afford and they helped to answer a lot of questions that I had.
Thanks again Kyle!👍
thanks for the explanation. I thought conventional loan used 28/36 for frond-end and back-end ratios. 45% seems high ....
28/36 is for manual underwrites. Automated underwriting on a higher credit score loan will actually approve up to 49.99%
I highly dislike giving people a budget off their gross income. Stick with net, after every bill, and after healthcare/401k/etc.
I agree. This video is not about budgeting. It’s about the mortgage guidelines.
R u slow?
HE LITERALLY not only addressed this but explained this.
Like... at 1 minute mark... meaning RIGHT OFF THE BAT!
EXACTLY WHAT I WAS LOOKING FOR
THANK YOU !
You're welcome, thanks for watching!
For condos does the mortgage company include HOA dues in your expenses\debt ratio?
Yep!
Thanks for the video and also for including that calm moment 😌
Glad you enjoyed it!
Such great information. Thank you!!
You are so welcome!
This is very helpful, currently in the process of looking. Haven't started the pre-approval yet just because it gives me anxiety, what if I get pre approved (which I'm confident I will) but then can't find a house that I really like in that 60-90 day period? I don't want to feel pressured to pick one just because time is running out. Also, what microphone do you use? sounds really good.
I'm glad to help! If you don't find a home, most lenders will need credit repulled to make sure nothing big has changed. It would affect your score that much. Anywhere from 0-5 points.
I use a Neumann TLM 102
why am I just now finding this awesome guys page? 😭
I'm glad you're here!
So you're saying I need to get a better paying job. Cause houses in decent neighborhoods are 100k more than what my little 50k salary can buy. Add up all my monthly expenses (gas,food, internet, etc and the things that are subtracted from my check before I see it) plus the mortgage and I am in the red.
should we subtract our other debts(phone, internet, gyms, other monthly fees we pay during every month) to be safe on the actual cost we can afford
Your videos have been so helpful thus far for the road to purchase a home. Does car insurance count in DTI?
Thanks for watching!
No, insurance is not a debt.
@@WinTheHouseYouLove Thank you!
HI would this be the same for a CO-OP or condo? Could do a video for condos/co-op?
It would! You would just need to make sure to include the monthly HOA fee in your housing payment.
You explain it very well. Thank you
You are welcome!
Kyle, great content! New subscriber here.
Question: I never carry a balance on my CC as I auto-pay in full each month. I do however pay monthly ($200) on my student loans. If I changed my loans to income based, will a lender determine I have $0 in monthly debt?
Thanks! I'm glad you're here!
Since your credit card won't show a balance on your credit report, it won't be in your DTI. If your student loans are income-based and have a $0/mo payment, then you won't have to include it in your DTI on a conventional loan.
This video is very informative and helpful… I learned a lot, thanks 🙏
Glad to hear that!
I’m trying to find mortgage lender, Trulia is recommended lender?
Trulia is not. I recommend lenders through my site → www.winthehouseyoulove.com/
Basically none where I live. I just got a new job with 100k salary and it's the only reason I can even consider buying a house around 150k-180k.
Considering 25% of NET income for affordability really gave me perspective on what I could actually afford. Initially I thought I could afford 200-250k.