Subject: RE: TAN 24: TANgerine Speedo..Rynamite - 2008-05-13 9:04 AM
mr2tony - 2008-05-13 10:02 AM CubeFarmGopher - 2008-05-13 8:58 AM Sprint_DA - 2008-05-13 9:30 AM Rynamite - 2008-05-13 8:25 AM So... I read this mortgage calculator formula thing that basically said you could spend 32% of your gross income on a mortgage. WTF? Umm... I suppose you could, if you wanna sit in your house and not do anything else for 30 years. No wonder so many people are in trouble. "Let's get an ARM that takes up 32% of our GROSS income, and live like a rockstar for a couple years until the payment goes up so much that we end up losing our house, yeah!!!" Sheesh. Yeah, those mortgage calculators are dumb...people use them and think they can afford way more house than they really can. People really need to stop confusing gross and net. If you spend 32% of your gross on the house and 33% goes to taxes, that doesn't leave much for other things, like eating. Yeah. I've always been told that you should spend no more than 25% of gross or 33% of net for your housing. Unfortunately, mortgage brokers were approving up to 40% of gross for people. When I was married, we qualified for a mortgage that would have absorbed ~55% of our net earnings on a 7year Interest Only ARM. If I had no brains, I would be one of those poor people filing for bankruptcy and foreclosure right now. Fixed. Yeah, it's amazing. I dunno how anyone could be that stupid. I really don't want a mortgage. I like wearing designer jeans and flying wherever I want, whenever I want 
Someday, youngster, you're going to have to move out of mom's basement. I mean, it's all good right now, but someday you'll be that creepy 30-something who lives in his parents' cellar. |