Rilla Miller Coldwell Banker Gundaker #1612 Country Club Plaza St. Charles, Mo. 63303 314-414-1129 Pager 636-946-3655 Fax 636-946-6455 Office Email: crmille@cbgundaker.com

How Much Home Can I Afford?
	Before you begin looking for For Sale signs, do your homework to know what you can afford to spend on a home. Review your budget and determine how much you want to pay each month. Lenders will consider the home's sales price and your down payment in determining how much to loan you, but you need to determine how much you feel comfortable paying each month.

In addition, remember that housing costs are usually more than just mortgage principal and interest; they often include property taxes and insurance. As a general rule, your monthly housing cost should not exceed 28 percent of your gross monthly income. If you have long term debt (car payments or credit card balances), that monthly debt plus your house payment shouldn't be more than 36 percent of your monthly gross income. Since many lenders offer mortgage pre-approvals, you might want to meet with a lender early in the home-buying process, so that you know what size loan you qualify for.

For more information on preparing your home to sell, or on any facet of buying or selling a home, contact Rilla Miller at Coldwell Banker Gundaker St. Charles.