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FailingDan t1_jad8k7m wrote

You are likely on the edge if you use the 28% rule (mortgage+taxes+insurance under 28% of gross monthly income). Are the $350k homes livable and of sufficient size for your family? Or are you going to need to put additional money into repairs in the next couple of years? Do they have newer roofs, windows, insulation, HVAC? Each of those things could cost $10-50k dollars easily.

I would suggest putting $2500 in a savings account each month starting now. This will allow you to test if a $3500 payment is doable for you as well as help you save up some more cash for a down payment or to pay off your debt.

It looks like rates are going to continue to climb but hopefully home prices are stabilizing, so you should not be out anything by being slow and methodical about this. When does your lease end?

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gagralbo t1_jadb21v wrote

June 30th is the end of the lease. We have been putting an additional $1700/month into saving to start mimicking the cost/increasing the down payment.

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clearwaterrev t1_jadhtuw wrote

Closing on a home usually takes around 30-45 days from the time your offer is accepted to when you get keys to your new home. If you want to have keys to your new home a week or two before your lease is up, then you'd need to have an offer accepted no later than early May.

If you are seriously thinking about buying a home, I'd go get pre-approved, talk to some agents, and start looking at houses within the next few weeks.

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gagralbo t1_jadl69n wrote

Thank you! This is really helpful advice

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