Reply to Another how much PITI can we afford post

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[quote=Anonymous][quote=Anonymous][quote=Anonymous]What’s your PITI now? You’re already behind on your retirement and 529s. And your income is likely going to be pretty stagnant. I think you’re setting yourself up with a stressful quality of life. I mean you are likely buying houses not as worth as much as you’re paying for them (bc of the low inventory) and high interest rates. It just seems like a terrible idea even if you technically can afford it.[/quote]

+1. You are early 40s and are maybe expecting a 20K bump in a few years beyond inflation. I wouldn’t [b]overextend on a home[/b] with two little kids, what you have in college savings, and what you have in 401Ks. You’ll be stuck underfunding those things and while it’s great that your DH doesn’t mind working forever chronic illness, age related diseases, layoffs, etc. are all (mostly) outside of his control and could impact that part of his plan.[/quote]

So one guideline is that PITI should be 25-28% of monthly gross income.  If OP spent 4k on PITI, it would be under 20%, how is this over-extending? OP said they only need 2 years of state school in their 529s.I think it's better for OP to get into a house that her kids can go to public school than in a house they don't want where the kids can't go to public school.  Houses appreciate, tuition is just spent.  I would put your reasonable max at 900k total price of house with 350k downpayment and 4k PITI and I tend to be conservative.[/quote]

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