So another thread on the west mall got me to thinking about what's a typical piece of your income to devote to housing. One question in three parts: 1)Please specify if you rent or own. 2)If this is your first, second, third house (or more) 3)Percentage of payment/gross income. (Edit: yes- Principle, Interest Taxes and Insurance.) So for me, it's: Own, First, 17%
I might take the prize for highest percentage on this thread. Had to move due to job situation, so paying in two places. 1. Rent (both of them) 2. 2nd and 3rd homes to rent 3. 40% (thank goodness I only have a 3 more months of this)
1) Own. 2) First. 3) ~6.9%. The 6.9% is based upon our minimum payment (principal, interest, insurance, and property taxes which I escrow (no comments, please)). We pay down additional principal each month, but that is optional on my part as our mortgage is low compared to our combined incomes.
Own 2nd home ~12% of monthly cash flow, ~3% of monthly income (but I don't escrow for property taxes)
rent 1st apartment in houston 22% now, i figure in bills when calculating my "housing" costs, and that raises the cost to just over 30% i think. sucks, but it's my fault
He says "gross", you say "net". Now the rest of our numbers aren't comparable! I'm going to have to redo my analysis! (Accounting dork here.)
Own 1st 30% (just had our first child & daycare is ******* expensive so this figure was much lower when we purchased the home)
1. Own 2. 3rd (2nd primary residence plus a rental) 3. 34% of gross income. Maybe this is the price of living in Seattle (Eastside) but either everyone's housing costs are MUCH cheaper or I'm not making scratch at just under $100k. It's funny because I don't feel much of a financial pinch. No credit card bills to speak of. Single income as wife took a Sabaatical to raise 3 sons until they all are in school full-time.