found a perfect house but PITI would be 25 percent of our monthly gross income.

[Anonymous]

Have 2 kids, 3 year old and 3 month old. grandparents watch the 3 month old and 3 year old goes to preschool. not planning on any more kids


too much? or do you think its reasonable for the right house?

[Anonymous]

Is this a joke? That's perfectly fine for most people.

[Anonymous]

Anonymous wrote:Have 2 kids, 3 year old and 3 month old. grandparents watch the 3 month old and 3 year old goes to preschool. not planning on any more kids


too much? or do you think its reasonable for the right house?

OP here

to be more clear, gross income would be around 16k a month (about 193k year)

PITI would be about 4k. (which would drop to around 3700 a month after PMI is cancelled in about 6-7 years)

[Anonymous]

That's considered a pretty normal, even conservative, ratio. I'm not seeing the issue.

[Anonymous]

you can go up to 40%

[Anonymous]

Anonymous wrote:That's considered a pretty normal, even conservative, ratio. I'm not seeing the issue.

OP here.

when i see other PITI threads on this site, i see a lot of 200k couples saying that they have a 3.5 k PITI and how "they wouldnt want to go any higher" and how things are tight. i guess they're just super fiscally conservative?

[Anonymous]

Anonymous wrote:

Anonymous wrote:That's considered a pretty normal, even conservative, ratio. I'm not seeing the issue.

OP here.

when i see other PITI threads on this site, i see a lot of 200k couples saying that they have a 3.5 k PITI and how "they wouldnt want to go any higher" and how things are tight. i guess they're just super fiscally conservative?

Yes. DCUM is not real life.

[Anonymous]

Anonymous wrote:

Anonymous wrote:That's considered a pretty normal, even conservative, ratio. I'm not seeing the issue.

OP here.

when i see other PITI threads on this site, i see a lot of 200k couples saying that they have a 3.5 k PITI and how "they wouldnt want to go any higher" and how things are tight. i guess they're just super fiscally conservative?

Or try have Sidney loans and daycare costs which you don't. We have $220 hi and photo of $3.4k and it's high for us. But we have a nanny so that's hat same as the mortgage for us.

[Anonymous]

25% gross sounds fine in theory, but $4k sounds high on that salary.

[Anonymous]

The only way to know whether its too high is to back the monthly payment into the rest of your budget and see if you're still in the black.

The answer also changes if you feel compelled to renovate the new house.

[Anonymous]

What is your net/month?

[Anonymous]

25% would be really good but also kind of depends on your other expenses.

If you do a google search for PITI ratio or ideal PITI ratio, links will come up saying that 28% is the ideal percentage.

I've since decided that that's not applicable to the DC metro area due to how high the home prices are. Some of it might depend on what you're looking for or want too.

If you're able to do it that would be great though. The main thing is that you want to make sure you have money left over at the end of the month after paying all of the bills.

[Anonymous]

Anonymous wrote:Is this a joke? That's perfectly fine for most people.

+1

[Anonymous]

We have a HHI of $193k and a PITI of $2850. I'm not very conservative but that's about as high as I would go because we have two in daycare. I might be a little nervous that the grandparents would not always be able to provide daycare and that would be a high PITI with the added expense.

That said, daycare is temporary and hopefully your income will continue to go up.

[Anonymous]

Anonymous wrote:We have a HHI of $193k and a PITI of $2850. I'm not very conservative but that's about as high as I would go because we have two in daycare. I might be a little nervous that the grandparents would not always be able to provide daycare and that would be a high PITI with the added expense.

That said, daycare is temporary and hopefully your income will continue to go up.

We did 3600 on 160k hi, no issues, daycare is temporary