% of income on mortgage payment and % of income on total housing costs?

[Xtrema]

30% Net isn't that crazy. Median household income is around $98K (before the crash). Should net around $80K (based on 2 incomes).

30% of 80 is $24K or $2k/month. That should service a $400K mortgage (or a pretty good detached home).

Calgary Median detach price is $503K. 20% down yields a $400K mortgage, all numbers make sense.

And if you try the TD Affordability calculator, they will even push you to $550K house with these numbers.

[hampstor]

Single income, 3 kids, wife, and father in law. I excluded bonuses/shares and stuck with straight salary...

What % of net (take home) pay are you paying towards your monthly mortgage payment?

~25%

What % of net (take home) pay are you spending monthly on housing costs? Housing costs being mortgage + property tax + condo fee’s (if applicable) + utilities (not including cable/internet) + insurance.

~35%

[mr2mike]

I'm more just disgruntled on utility costs continuously increasing at a substantial rate across the board. Insurance costs increasing and property taxes jumping up or so they say, for 2018.
Place that against my salary been cut and no raises for 3 years and lower rental income.
I should probably be closer to 17-20% total rather than upper 22%.

[nickyh]

I'm at 30.6% of net income on total housing, I use the Till Debt do Us part model which states 35% as the max, so just below that a little.
But, that doesn't take into account long term savings for maintenance which I really should look into (roof etc).

Just on the mortgage, 20.8% of net income.

[Disoblige]

I'm more concerned about how much goes towards your principal vs. interest when talking about the mortgage. It's crazy when you look at it. Annual lump sum payments FTW, or increase monthly amount.

[max_boost]

Originally posted by Disoblige
I'm more concerned about how much goes towards your principal vs. interest when talking about the mortgage. It's crazy when you look at it. Annual lump sum payments FTW, or increase monthly amount.

ya the interest payments really add up but it is a loan after all.

Personally I wouldn't go over 30% of net income for mortgage payment but it also depends on your other expenses.

I feel relatively free without a mortgage payment right now but utilities+condo fees+property taxes still total $1k per month.

[sabad66]

25% of net for mortgage only
40% of net for all housing costs

[msommers]

When I was working previously, I was right at 20% (19.4% to be exact) for everything housing related vs. my net pay.

[Swank]

Originally posted by sabad66
25% of net for mortgage only
40% of net for all housing costs

I'd say that's about the same for me.

[dirtsniffer]

16% of net for mortgage (both incomes), including condo fees, ptax nad utilites its 25%. If I include groceries and cable its 30%.

[timdog]

i'm paying 43% but on purpose- accelerated the shit out of the payments to pay it down faster. if i needed to back off, i could easily drop it down to 30% or less.

[killramos]

~30% not including the wife's income

[tonytiger55]

Single Peasant

20% goes on Mortgage. Accelerated. This on Gross.

But I don't calculate my budget like that. I focus on Net.
Bi Weekly paycheque. One covers Mortgage, condo fees, car insurance, cable, cell, electric. All related to the roof.

Second cheque covers, Gas, Food, RSP contribution, whatever is left goes into short term savings.
There is er.... not much left..




Edit. Adjusted for Gross.

[03ozwhip]

SI1K 25% accelerated bi weekly on a 20 year mortgage, net. really not sure what my other housing costs are lol maybe around 35% with everything.

[Tik-Tok]

Dual income

31% for mortgage alone
45% for housing (averaged out, Gas/Elec obviously vary by month)

[Kloubek]

Right now is a bad time to ask that because we are in transition between our new build and selling our old house.

Once all is said and done, I personally will be sitting at around 15% net income for my half of the mortgage, and about 20% for my half of mortgage+expenses once all taxes and utilities are factored in. Once I get my raise in a month, it's probably closer to 12%/16%.

But a lot of this depends on how quickly one is trying to pay their mortgage off. It is entirely possible we will be doubling up payments, in which case that 15/20% can increase significantly. Edit: I see others had the same idea.

Personally, I don't mind the 20% figure as it will sit. Our vehicles are paid outright and in fact we have zero debt otherwise, so paying that 20% is relatively easy.

[RX_EVOLV]

Right now 27% to the mortgage on my own net income, excluding my soon to be wife's income.

Once we combine into dual income, we are going to do some major reno at the house to get it ready for family expansion, but will try to keep the new mortgage total to <30% of net total income.

[Buster]

Leverage is flexible and can be a sliding scale depending on if you have a good use for capital outside of home equity.

A more useful ratio is home value vs. income.

[flipstah]

My income lowered at a greater rate than my expenses, so that's why the high variance.

30% of income dedicated on mortgage alone is high IMO.

Originally posted by Buster
Leverage is flexible and can be a sliding scale depending on if you have a good use for capital outside of home equity.

A more useful ratio is home value vs. income.

Yeah, home value should be 2x your income for a 'safe' bet. Any higher and you're not floating well.

[J-hop]

Originally posted by flipstah

Yeah, home value should be 2x your income for a 'safe' bet. Any higher and you're not floating well.

My metric is similar although slightly higher home value. My personal metric is mortgage should be no greater than ~2.5 your household income.

Anymore than that and you probably aren't going to save much.