According to mortgage calculators

I can afford a $1400 per month house payment. That's about a $169,000 principle plus interest, taxes, and insurance. That will buy a damn nice house where I'm from. But I really don't think I'd like having that big of a house payment. It would be too close for comfort and I wouldn't be able to save much money.

Currently my house payment is $287 with a $131 condo association fee. $418 a month total and I've been able to save at a pretty good rate. The condo is a very small one bedroom unit, though. I could certainly afford more house. I can get a 3 bedroom 1.5 bath ranch for about $100,000 and I think I would be comfortable there.

But then there is always the economy to think about. I think things are going to get worse as we head into summer with gas prices spiraling out of control. It's going to drag the whole economy down farther than it already is. I'm thinking I should just stay put for the time being and see what happens on down the line.

But right now is a good time to buy a house assuming you don't get zapped by energy prices later. The housing market is very bad right now and you can get some killer deals. What do you think?

I've seen houses here that have been for sale for over a year and others that are on the market for a few weeks and then sold. I would imagine the best way to go is to put your place on the market and see what happens. There's certainly a lot out there to choose from so you shouldn't have a problem buying if you sell. I think it's really smart to ignore what "they" say you can afford, always a better idea to live below your means and save.

Seems like I throw a seven every time. :D

when I limited my monthly payments to what Unemployment Insurance would pay. But that was before I got married.

BTW My friend just got back from Paris and says gasoline is about $10 per gallon. The economy there does not seem to be collapsing.

I check Zillow on my house value and it's up three weeks in a row.

To me the key is to not have to pay for stuff like mortgage insurance and other fees that do not add to the value of the property.

We're not going to have a really good idea about where the economy is headed until after BushCo is out of office. I personally believe they're sticking their fingers in the dam, hoping to hold the economy up until at least November.

And the housing market continues to go down. I don't know what it's like where you are, but out here in CA, housing prices are dropping nearly by the day. You don't want to buy a house and lose equity on it almost immediately.

If you can find that, you should consider investing in that piece of property. imo.

wait and keep saving money, if it really becomes a buyers market later on go for it, you wll have more to put down and less of a house payment.

I think that if one is going to buy real estate to live in for a number of years, then it's a good time to buy.

Your thinking is dead on in ignoring the mortgage calculator and zoning in on what you NEED and would be comfortable in, as opposed to reaching for some alleged ceiling. Also good that you're thinking the "full picture" on the finance side and considering the PITI payments, not just the mortgage and interest.