{"id":16320,"date":"2022-07-12T11:12:21","date_gmt":"2022-07-12T18:12:21","guid":{"rendered":"https:\/\/www.homelight.com\/blog\/?p=16320"},"modified":"2026-04-07T13:40:32","modified_gmt":"2026-04-07T20:40:32","slug":"buyer-i-make-70000-a-year-how-much-house-can-i-afford","status":"publish","type":"post","link":"https:\/\/www.homelight.com\/blog\/buyer-i-make-70000-a-year-how-much-house-can-i-afford\/","title":{"rendered":"How Much House Can I Afford If I Make $70,000 a Year?"},"content":{"rendered":"

After several years of renting and moving in and out of different spaces, you\u2019re (finally!) in a comfortable enough space financially to take the plunge and start looking for a more permanent place to call home. But let\u2019s say you make $70,000 per year (a little less than the 2021 median household income<\/a> of $79,900, according to the U.S. Department of Housing and Urban Development), is it worth it to buy a home<\/a>? And what can you actually afford right now<\/a>?<\/p>\n

While online affordability calculators<\/a> can give you a great start, there are a ton of factors that go into what\u2019s in your budget for your first home, including location, savings<\/a>, debt, and credit score<\/a>. It may seem like a lot, but it is <\/i>possible to find a home you can actually afford while making $70,000 a year.<\/p>\n

And regardless of what your annual salary is, remember that \u2014 ideally \u2014 your housing expenses should only comprise one-third of your take-home pay<\/a>. We\u2019ll break this affordability equation down into more detail later, but if you\u2019re grossing $70,000, a monthly mortgage payment between $1,400 and $1,700 is probably where you\u2019ll fit most comfortably.<\/p>\n\n\n\n\n\n

\n
\n
\n \"homelight\n <\/div>\n \n

A Top Agent Can Help You Find A House You Can Afford<\/h3>\n

We analyze millions of home sales to find buyer’s agents who will show you the right home at the right price. Our service is 100% free, with no catch. Agents don\u2019t pay us to be listed, so you get the best match.<\/p>\n \n

\n Get Started<\/a>\n <\/div>\n <\/div>\n<\/div>\n\n\n

According to April Gongora Brown<\/a>, a New Orleans<\/a>-based agent who works with 73% more single-family homes than the average agent in her area, it\u2019s completely doable to buy a home with that annual salary \u2014 as long as you find a good agent<\/a> and a good lender.<\/p>\n

\u201cI try my best to get my clients to look at all of their options before committing to a lender and before we start hunting, even if they come to me preapproved<\/a>, so that we’re not pigeonholed into only looking at a certain type of property,\u201d Brown says.<\/p>\n

Let\u2019s break down these factors of what actually goes into paying for a home, so you can determine what\u2019s in your budget.<\/p>\n

\n The simple rule of thumb I tell buyers is that, typically, 40% of your monthly payment is taxes, insurance, mortgage insurance, and so on. Particularly with first-time buyers \u2014 the lion\u2019s share of whom don\u2019t have 20% to put down \u2014 they\u2019re going to be paying private mortgage insurance, and it adds up. It really impacts purchase power.<\/q>\n
\n