When buyers start the mortgage process, one of the first questions they ask is: How much can I afford?
But there’s an important distinction between how much a lender says you can borrow and how much you’ll actually feel comfortable paying every month.
In my conversation with Jon Brunone, we discussed how mortgage qualification is largely based on gross income. That number doesn’t always reflect everything happening in your real financial life.
You might be contributing to retirement accounts, saving for your children’s education, helping family members, planning vacations, or simply wanting more breathing room in your monthly budget.
That’s why I don’t think buyers should automatically treat their maximum mortgage approval as their target purchase price.
A good loan officer should help you find a payment that makes sense for your lifestyle—not simply push you toward the largest loan you qualify for.
Especially when we don’t know exactly where mortgage rates will go next, buyers need to be comfortable with the payment they’re taking on today.
The goal is not to buy the most expensive house possible.
The goal is to find the right house, at the right price, with a monthly payment you can comfortably manage.
Watch the full clip below, and check out the full conversation with Jon Brunone on The Wilton Report.
