🏠 Homebuyer Q&A: What counts as a housing expense when I’m figuring out my homebuying budget?

You’ve probably heard that your housing costs shouldn’t exceed a certain percentage of your income—usually around 28% of your gross monthly income. But what exactly counts as a “housing cost?”

💡 HINT: It’s not just your mortgage payment!

When lenders—and smart buyers—talk about housing expenses, they’re referring to the full monthly cost of owning a home, which includes:

✅ Mortgage principal & interest
✅ Property taxes
✅ Homeowners insurance
✅ Private mortgage insurance (PMI) if your down payment is under 20%
✅ Homeowners association (HOA) fees if applicable

This total is often called your PITI (Principal, Interest, Taxes, Insurance), and it plays a key role in setting a realistic homebuying budget.

So why does this matter?
Because knowing your full monthly housing budget helps you reverse-engineer a purchase price range that makes sense for you. That way, when you do start looking at homes, you’re looking at ones that are truly affordable for you—not just tempting listings with mortgage calculators that only show the base payment.

📩 Need help figuring out your numbers before you start your home search? Email me here and let’s walk through it together.
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