$$$: How much house can you buy for $1,000 per month?

Pretty basic analysis from , but the 30-year trend is still interesting …

These days, a $1,000 monthly P&I payment amortizes a 30 year loan of about $225,000.

Assuming a 10% downpayment, that’s a $250,000 home.

Of course, that doesn’t take into account real estate taxes (usually between 1% and 1.5% of a homes value) … or insurance (a couple of grand annually)

image
Source

With mortgage rates down around 3%, not much chance of the trend continuing upward much longer …

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One Response to “$$$: How much house can you buy for $1,000 per month?”

  1. Dave Anderson Says:

    Looks like it’s time to sell. The basic rule of Real Estate PE is buy when cap rates are high, sell when cap rates are low.

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