Dear friends,

I hope you all had a wonderful summer! Now that autumn has arrived, I'm ready to take advantage of all that Massachusetts has to offer. Be sure and scroll down for some great fall festivals and Oktoberfests that are coming up!

Also, the fall is still a great time for new buyers to get into the market. If you've been wondering just how much you can afford to spend on a house, I urge you to take a few minutes and read my tips for finding this magic number!

Happy Fall, all!

Dick

For Sale

$545,000, 3 bedrooms, 2 bathrooms, 285 Holbrook Rd, Quincy

This well located Colonial is 100% move in ready!! Long term owners have done a wonderful job of updating and maintaining their home. You are welcomed by the tasteful foyer with generous closet space. Open kitchen with skylight and lots of cabinetry is sure to please. You will appreciate the polished oak floors & craftsman gum woodwork throughout. The 1st floor bath is an eye opener! Convenient main level laundry. Upper level offers large Master with walk in closet, 2 BRs an updated bath. Lower level has an extra large family room and very clean utility area.

$325,000 3 bedrooms, 1 bathroom, 48 A-B Street, Hull

Beach side Bungalow ready for new energy and updating. The location of this home with ocean & bay influence - will motivate you daily. Beautiful sandy shoreline just a 5 minute walk from your door. You will enjoy beach activities all year round. Picturesque sunsets from the 3 season porch. Lower level has an occupied accessory apt.

Price Change! $119,900, .69 acres, residential

Raw land in nice South Weymouth locale. Right on Braintree line, close to highways, hospital, restaurants, shopping and more. Build your dream home here!

How Much House Can You Afford?

You're considering your first rung on the property ladder. Once you've binged on House Hunters, you are likely still left wondering how exactly to translate your reality TV expertise into reality. And unless you're a recent lottery winner, answering the question “How much home can I afford?” is going to involve a mortgage. So let's get behind-the-scenes, learn some lingo, and see how to do the math.

Outside of increasing your income, the primary factor in how much home you can afford is your level of debt in the form of credit cards, car loans, student loans, personal loans...and soon, a mortgage loan. How do you calculate your current and future (once you have a mortgage) debt-to-income ratio?

Estimates vary on what debt-to-income ratio is truly affordable for homeowners but range from 28 to 36 to sometimes even 41 percent in some markets.[1] Beware, while lenders have incentive to minimize your risk of default they can also charge higher rates for flexible terms. Re-work the formula above like this to estimate an affordable monthly mortgage amount.

As you'll notice if you experiment with this or with any good mortgage calculator[2] the type of loan you get and the amount of your down payment influence an increasingly critical variable in the cost of your mortgage: PMI or private mortgage insurance.[3] PMI is charged to buyers using conventional loans[4] with down payments under 20% or if refinancing a loan on a home with less than 20% equity in the home. PMI rates range from .05% - 2% and protects the lender if you stop making payments before the loan-to-value ratio[5] hits the magic land of 80/20. So while low or no down payment mortgages are available, they do come with an extra cost to consider.

Ultimately, it's up to you to decide the cost that fits your budget. Let's work together to crunch the numbers and start the home search!