With your income, it all depends on your monthly recurring debt such as student loans, credit card bills, and monthly car payments. If youâ€™re going for a masters degree, then I assume you have a rather large student loan balance? Unfortunately, lenders calculate all debt against you, and this lower your qualifying amount.
If you had no recurring monthly debt, and if you only earn $15,000 yearly, this would only qualify you for a mortgage of about $60,000. Unfortunately, there arenâ€™t any properties available in this price range in the entire Hampton Roads, decent or not.
If your masters will significantly increase your income over the coming years, then I suggest that you wait until you can show at least two years history with this new income. If your student loans are over $10,000, then you might also want to pay down as much of these loans as possible over the coming years.
But you have a lot going for you, and thatâ€™s a good thing! You must already realize the huge tax savings afforded only to home owners, and thatâ€™s smart! And at the risk of sounding like a skipping CD, our local area is NOT experiencing the market slow down like the rest of the Nation (i.e.: California).
I suggest that you contact a â€œlocalâ€ Realtor, lender, or CPA. Iâ€™d be happy to speak to you about your future income, and make any additional suggestions or recommendation.
I hope this information was â€œthumb-upâ€œ helpful to you!
Frank Biganski, Realtor ABR