What Does It Take to Purchase a $700,000 Home?

Wondering what it takes to purchase a $700,000 home in today’s market? Let’s break down an example of what the numbers could look like when purchasing with the minimum down payment.

For a $700,000 purchase price, the minimum down payment would be $45,000. You would also want to budget for approximately $15,176 in closing costs, or around $11,176 if you’re a first-time home buyer and qualify for the applicable rebate.

When it comes to income, in this example you would need approximately $158,000 in combined household income to qualify. This is based on someone with minimal debt and no condo fees, so it’s important to remember that these numbers won’t look exactly the same for everyone.

Your mortgage qualification depends on several factors, including your income, existing debts, credit, property taxes, interest rates, and other monthly obligations. Something like a car payment or condo fees, for example, could change how much you qualify for.

That’s why online numbers and examples are a great starting point, but they don’t tell the whole story. If you’re thinking about buying and wondering what you can actually afford, we can run the numbers based on your specific financial situation and give you a much clearer picture before you start house hunting.