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What % of income goes to Mortgage?

January 7th, 2010 at 11:55 am

I revised my financial spreadsheet (AKA The Spreadsheet of Life :P) and started listing the % of net income that goes to each and every payment.

Now that my husband and I have refinanced, our 15-year mortgage is 28.7% of our net income (this payment includes homeowners ins. and property taxes). I was just wondering how that compares with all of you? Unfortunately since we're paying on part of our rental property as well, we're paying 6.3% there in addition to 28.7 for our primary home. Hopefully in the future that will be lowered/eliminated.

Posted in Uncategorized | 9 Comments »

9 Responses to “What % of income goes to Mortgage?”

  1. Broken Arrow Says:
    January 7th, 2010 at 01:31 pm 1262871070
    1262871070

    Interesting idea! Love your description on the left!

  2. Caoineag Says:
    January 7th, 2010 at 02:44 pm 1262875446
    1262875446

    Currently our 15yr PITI is 28.2% of net. Wasn't originally but we lost a third of our income in the past year. Its still cheap compared to when we were paying rent and the mortgage, lol.

  3. creditcardfree Says:
    January 7th, 2010 at 04:28 pm 1262881714
    1262881714

    Ours with a 30 year mortgage is 19.8%. It will drop to 17.9% when I get that home equity loan paid off! We expect to move with the military in less than 2 years...so refinancing is not feasible for us.

  4. monkeymama Says:
    January 7th, 2010 at 04:39 pm 1262882388
    1262882388

    Mortgage is 20% of net income. Though PITI is more like 29%. We have a 30-year mortgage.

    For the record, we are temporarily living on one income. We paid a lot down on our house when we both work, but not at all since we have had children and live on one income. Out of curiosity, our old 15-year mortgage payment is about 29% of 2 income (PITI and everything). I suppose that is our sweet spot.

  5. ceejay74 Says:
    January 7th, 2010 at 04:56 pm 1262883398
    1262883398

    I lump mortgage in with other housing expenses like condo association fees, utilities and telecommunications costs, and it comes out to 27.62% of our net income.

    We have a flat we rent out in England and I keep that income and expenses separate, but if I add both into my regular budget, mortgage/fees/utilities/telecom becomes 30.06% of net income.

  6. Single Guy Says:
    January 7th, 2010 at 06:18 pm 1262888299
    1262888299

    What you listed sounds very reasonable for a 15 year mortgage. I too have a 15 yr. mortgage and my percentage of my net income to mortgage is much higher than yours, though that is due to maxing out my retirement and Roth IRA deductions, as well as adding extra principle to my payments ($100 - $250/mo.). If I did none of those I would probably come in around 35% which I am fine with.

  7. disneysteve Says:
    January 7th, 2010 at 08:48 pm 1262897307
    1262897307

    We're at 19.8% of net for 2009, though my wife's income was reduced last year due to a medical leave and my net fluctuates a bit, but that's the general ballpark.

  8. NJDebbie Says:
    January 8th, 2010 at 02:15 am 1262916938
    1262916938

    27% including property taxes ($8200) and homeowner's insurance.

  9. Jerry Says:
    January 31st, 2010 at 08:07 pm 1264968461
    1264968461

    We are currently renting, but caoineag's situation is worth bearing in mind because it can lead to problems for people if/when they lose some income... their percentage is now higher because of losing 1/3 of their income, which is a scary proposition! There is no insurance against this in the current economy, so it's good to keep that in the back of one's mind when buying a house!
    Jerry

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