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Percentage of pay on home

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  • C Colin Angus Mackay

    I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


    "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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    Lost User
    wrote on last edited by
    #4

    25% wich I suspect is below average in the UK. On top of this another 8% extra to pay it off earlier. Elaine :rose: The tigress is here :-D

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    • M Michael Dunn

      33% :omg: :(( But that's LA for you... stuff's expensive --Mike-- Personal stuff:: Ericahist | Homepage Shareware stuff:: 1ClickPicGrabber | RightClick-Encrypt CP stuff:: CP SearchBar v2.0.2 | C++ Forum FAQ ----

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      Colin Angus Mackay
      wrote on last edited by
      #5

      Michael Dunn wrote: But that's LA for you... stuff's expensive I don't think that's too bad. When my discount period for my mortgage is up (it is fixed at 3.59% for the first two years, then in reverts to tracking the Bank of England base rate +1% [The BoE has just raised rates to 4.5% about a week ago] so I'm in for a big jump in Oct 2005).... As I was saying, when my discount period is up the percentage of net pay will jump to at least 36%. At that point I'll be shopping for a new mortgage.


      "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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      • C Colin Angus Mackay

        I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


        "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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        Antony M Kancidrowski
        wrote on last edited by
        #6

        I'm paying approx 22% in rent. Its about time I got on the 1st rung of the property ladder. Ant. I'm hard, yet soft.
        I'm coloured, yet clear.
        I'm fuity and sweet.
        I'm jelly, what am I? Muse on it further, I shall return!
        - David Williams (Little Britain)

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        • A Antony M Kancidrowski

          I'm paying approx 22% in rent. Its about time I got on the 1st rung of the property ladder. Ant. I'm hard, yet soft.
          I'm coloured, yet clear.
          I'm fuity and sweet.
          I'm jelly, what am I? Muse on it further, I shall return!
          - David Williams (Little Britain)

          L Offline
          L Offline
          Lost User
          wrote on last edited by
          #7

          I was paying about the same in rent as I am in mortgage and would advise people to buy not rent whenever possible. Elaine :rose: The tigress is here :-D

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          • C Colin Angus Mackay

            I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


            "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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            C Offline
            ColinDavies
            wrote on last edited by
            #8

            0% Never had a mortgage as I've always paid cash. - But, I'm actually studying this at the moment as I'm writing some software for lowering residential mortgage rates. - What's really interesting is that a 1% increase in interest rates can change a 28% figure like yours into a 35% figure. (many assumptions). - I suggest instead that you look at the ratio of Interest paid to net Income. As paying the capital part of a mortgage is just asset swapping for home equity. - Its typical nowdays in NZ for Interest to be about 50% of a couples NET-PAY on there first home. This is bad IMHO. Regardz Colin J Davies

            *** WARNING *
            This could be addictive
            **The minion's version of "Catch :bob: "

            It's a real shame that people as stupid as you can work out how to use a computer. said by Christian Graus in the Soapbox

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            • C ColinDavies

              0% Never had a mortgage as I've always paid cash. - But, I'm actually studying this at the moment as I'm writing some software for lowering residential mortgage rates. - What's really interesting is that a 1% increase in interest rates can change a 28% figure like yours into a 35% figure. (many assumptions). - I suggest instead that you look at the ratio of Interest paid to net Income. As paying the capital part of a mortgage is just asset swapping for home equity. - Its typical nowdays in NZ for Interest to be about 50% of a couples NET-PAY on there first home. This is bad IMHO. Regardz Colin J Davies

              *** WARNING *
              This could be addictive
              **The minion's version of "Catch :bob: "

              It's a real shame that people as stupid as you can work out how to use a computer. said by Christian Graus in the Soapbox

              C Offline
              C Offline
              Colin Angus Mackay
              wrote on last edited by
              #9

              ColinDavies wrote: What's really interesting is that a 1% increase in interest rates can change a 28% figure like yours into a 35% figure. (many assumptions). It isn't a 1% increase. The interest on my mortgage now is 3.59% The BoE base rate is now 4.5% When the discount period on my mortgage ends, assuming the BoE rate stays the same [which it won't as it is expected to rise more], I will be paying 5.5%, which is nearer a 2% jump in interest (or £1600 [$2800US] per year) One of the really crappy things about my mortgage is that the interest for each calendar year is calculated up front, in January. So if I pay off a lump in February it makes no difference until Dec 31 when they recalculate the interest, so I might as well keep that money in a savings account until late December.


              "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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              • C Colin Angus Mackay

                I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                Michael A Barnhart
                wrote on last edited by
                #10

                I am at 10%, however this is a straight loan. I.E. I pay the taxes and insurance directly. I also have the college bills as Marc states. I do not mind getting old. It beats all the other options that can think of.

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                • C Colin Angus Mackay

                  I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                  "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                  Lost User
                  wrote on last edited by
                  #11

                  Just barely under 20%, 19 years left on the mortgage but we'll probably pay it off in 12-15. "President Bush has promised he's going to establish elections in Iraq, he's going to rebuild the infrastructure and he's going to create jobs. And he said if it works there, he'll try it here." David Letterman

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                  • C Colin Angus Mackay

                    ColinDavies wrote: What's really interesting is that a 1% increase in interest rates can change a 28% figure like yours into a 35% figure. (many assumptions). It isn't a 1% increase. The interest on my mortgage now is 3.59% The BoE base rate is now 4.5% When the discount period on my mortgage ends, assuming the BoE rate stays the same [which it won't as it is expected to rise more], I will be paying 5.5%, which is nearer a 2% jump in interest (or £1600 [$2800US] per year) One of the really crappy things about my mortgage is that the interest for each calendar year is calculated up front, in January. So if I pay off a lump in February it makes no difference until Dec 31 when they recalculate the interest, so I might as well keep that money in a savings account until late December.


                    "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

                    C Offline
                    C Offline
                    ColinDavies
                    wrote on last edited by
                    #12

                    Colin Angus Mackay wrote: One of the really crappy things about my mortgage is that the interest for each calendar year is calculated up front, in January. That is flamin' daft. They must be using a real legacy system to have that happening these days. Regardz Colin J Davies

                    *** WARNING *
                    This could be addictive
                    **The minion's version of "Catch :bob: "

                    It's a real shame that people as stupid as you can work out how to use a computer. said by Christian Graus in the Soapbox

                    C 1 Reply Last reply
                    0
                    • C Colin Angus Mackay

                      I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                      "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                      Wackatronic
                      wrote on last edited by
                      #13

                      23% Here! Yes, I program in VB, but only to feed my addiction to a warm place to sleep and food to eat!

                      Visit my Code Project blog (Mobile Audio project)[^]

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                      • C ColinDavies

                        0% Never had a mortgage as I've always paid cash. - But, I'm actually studying this at the moment as I'm writing some software for lowering residential mortgage rates. - What's really interesting is that a 1% increase in interest rates can change a 28% figure like yours into a 35% figure. (many assumptions). - I suggest instead that you look at the ratio of Interest paid to net Income. As paying the capital part of a mortgage is just asset swapping for home equity. - Its typical nowdays in NZ for Interest to be about 50% of a couples NET-PAY on there first home. This is bad IMHO. Regardz Colin J Davies

                        *** WARNING *
                        This could be addictive
                        **The minion's version of "Catch :bob: "

                        It's a real shame that people as stupid as you can work out how to use a computer. said by Christian Graus in the Soapbox

                        W Offline
                        W Offline
                        Wackatronic
                        wrote on last edited by
                        #14

                        ColinDavies wrote: 0% Never had a mortgage as I've always paid cash. So you paid cash outright for a home or apartment? Yes, I program in VB, but only to feed my addiction to a warm place to sleep and food to eat!

                        Visit my Code Project blog (Mobile Audio project)[^]

                        C 1 Reply Last reply
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                        • W Wackatronic

                          ColinDavies wrote: 0% Never had a mortgage as I've always paid cash. So you paid cash outright for a home or apartment? Yes, I program in VB, but only to feed my addiction to a warm place to sleep and food to eat!

                          Visit my Code Project blog (Mobile Audio project)[^]

                          C Offline
                          C Offline
                          ColinDavies
                          wrote on last edited by
                          #15

                          Wackatronic wrote: So you paid cash outright for a home or apartment? Correct, I have had several and have always paid for them without a mortgage. (remember programmers use to make big money once) :-) Regardz Colin J Davies

                          *** WARNING *
                          This could be addictive
                          **The minion's version of "Catch :bob: "

                          It's a real shame that people as stupid as you can work out how to use a computer. said by Christian Graus in the Soapbox

                          1 Reply Last reply
                          0
                          • C Colin Angus Mackay

                            I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                            "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                            Nish Nishant
                            wrote on last edited by
                            #16

                            I am currently paying 50% of my after-tax pay on my car loan. I am not paying for a house as I don't own one yet. Nish


                            Now with my own blog - void Nish(char* szBlog); My MVP tips, tricks and essays web site - www.voidnish.com

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                            • C Colin Angus Mackay

                              I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                              "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

                              B Offline
                              B Offline
                              brianwelsch
                              wrote on last edited by
                              #17

                              22% for rent BW The Biggest Loser


                              "People look so snooty, take pills make them moody
                              Automatic bazootie, zero to tutti frutti"
                              -Hollywood Freaks

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                              • C Colin Angus Mackay

                                I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                                "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

                                J Offline
                                J Offline
                                Jon Sagara
                                wrote on last edited by
                                #18

                                62% if you only count my paycheck. 34% if you add in my wife's. Rent is very expensive down here. X|

                                Jon Sagara If you've ever watched 6-year-olds playing soccer, that's what the mainstream media is like. -- Jon Stewart
                                My Articles

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                                • C Colin Angus Mackay

                                  I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                                  "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                                  Nitron
                                  wrote on last edited by
                                  #19

                                  43% of mine, not counting the wife. ~Nitron.


                                  ññòòïðïðB A
                                  start

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                                  • C Colin Angus Mackay

                                    I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                                    "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                                    Navin
                                    wrote on last edited by
                                    #20

                                    Pretty close to you, I'm at about 29%. I decided to be aggressive, though, and do the 15-year mortgage, so it might be higher than many others. "Fish and guests stink in three days." - Benjamin Franlkin

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                                    • M Michael Dunn

                                      33% :omg: :(( But that's LA for you... stuff's expensive --Mike-- Personal stuff:: Ericahist | Homepage Shareware stuff:: 1ClickPicGrabber | RightClick-Encrypt CP stuff:: CP SearchBar v2.0.2 | C++ Forum FAQ ----

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                                      Navin
                                      wrote on last edited by
                                      #21

                                      Only 33% in LA? Man, you must be getting a sweet deal or making a ton of money! :-D "Fish and guests stink in three days." - Benjamin Franlkin

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                                      • C Colin Angus Mackay

                                        I'm just curious how much everyone is paying for their mortgage or rent as a percentage of their take-home (net) income. I'm paying 28% of my net pay on my mortgage. How does that stack up against you?


                                        "You can have everything in life you want if you will just help enough other people get what they want." --Zig Ziglar The Second EuroCPian Event will be in Brussels on the 4th of September Can't manage to P/Invoke that Win32 API in .NET? Why not do interop the wiki way! My Blog

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                                        C Offline
                                        Christian Graus
                                        wrote on last edited by
                                        #22

                                        Mine is about 26% if I make minimum payments, but it's about 66% based on the payments I make. Given how cheap housing is where I live, I can only assume you all make a ton more than I do. Christian I have drunk the cool-aid and found it wan and bitter. - Chris Maunder

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                                        • C ColinDavies

                                          0% Never had a mortgage as I've always paid cash. - But, I'm actually studying this at the moment as I'm writing some software for lowering residential mortgage rates. - What's really interesting is that a 1% increase in interest rates can change a 28% figure like yours into a 35% figure. (many assumptions). - I suggest instead that you look at the ratio of Interest paid to net Income. As paying the capital part of a mortgage is just asset swapping for home equity. - Its typical nowdays in NZ for Interest to be about 50% of a couples NET-PAY on there first home. This is bad IMHO. Regardz Colin J Davies

                                          *** WARNING *
                                          This could be addictive
                                          **The minion's version of "Catch :bob: "

                                          It's a real shame that people as stupid as you can work out how to use a computer. said by Christian Graus in the Soapbox

                                          N Offline
                                          N Offline
                                          Navin
                                          wrote on last edited by
                                          #23

                                          A lot of us in the States have fixed-rate mortgages, so the interest rate stays the same through the life of the loan. It's bad if the market interest rate goes down, but it does make for a consistent payment (much easier to budget for that, IMHO.) My goal is after this house is payed off (12 more years, sooner if I get nice raises/bonuses :) ) is to be able to pay cash for any future home. We'll see how that goes though... easily said now when I'm single and no kids so I have no need/plans to move into anything bigger. "Fish and guests stink in three days." - Benjamin Franlkin

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