Tag Archive: spreadsheet

Lessons From Buying a House: The Mortgage

So You’re Going to Buy a House Money is kinda important in the house-buying progress. You might be lucky enough to be able to buy a house with cash, but most people need a mortgage to do so. Please note that I am in no way qualified to give financial advice, this is all based on my own understanding of the mortgage process and my own experiences of same. If you follow my advice and end up in debtor’s prison or indentured servitude, that is completely your own fault – absorb this information at your own risk! The important factors affecting a mortgage are LTV, down payment, interest rates, and the term of the mortgage. I’ve put together a spreadsheet that calculates all the relevant factors. You can access it to get your own copy HERE. I’ve included the values from our example below as default, but you can play with the numbers to make it relevant to you. How Much Will the Bank Give Me? Your bank will look at your salary to determine how much to give you. The general formula is 3.5 x total salary. The linked mortgage spreadsheet has a calculator for maximum mortgage values if…
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