Can Afford to Buy?

If you are thinking of buying, this is the question that is probably most top-of-mind. If you have met with a lender, you may have an idea of whether you can buy or not and what your home-buying budget is, but if you haven’t taken that step yet, I can still help. In fact, I often meet with buyers and have a consultation before they meet with a lender. I can go over your finances and situation, and provide you with a roadmap so you can best determine your next step. Here are some other things to think about:

Interest Rates

Mortgage interest rates have an impact on how much home you can afford. For example, if a buyer got a 30-year, fixed-rate loan for $500,000 when interest rates were 3%, their monthly principal and interest payment would be $2,108 per month. At 8%, their monthly payment would be $3,669 per month.

There is more to looking at interest rates than just the current interest rate itself. Different lenders have different programs available that may allow a lower interest rate. Let’s talk about your options!

Credit Score

Your credit score will impact the loans that are available to you and cost for those loans. If you have not yet done so, you can get a free credit report from the three bureaus each year at That is a good place to start and if you aren’t yet in a position to buy a home, there are some things you can do to improve your score. I would be happy to look at your report with you or provide you with a lender referral who can help.


After you meet with a lender and fill out the required paperwork, they will provide you with a Pre-Approval letter that indicates your home-buying budget. A Pre-Approval letter is stronger than a Pre-Qualification letter which, when included with an offer, will make that offer stand out more.

Ready to chat about your finances or to take the next step? Reach out or visit my Finding a Good Lender page for more information.