Now that you know you are ready to become a homeowner, the next step is to determine if your financially readiness. In this step, by completing a number of simple calculations you can have a snap shot of your current financial picture.

Know exactly how much home you can comfortably afford. Listen to no one but the voice of your own budget. Do not fall into the currently popular trap of overspending for a house only to find yourself miserable because you have made yourself house poor.

The chart to the right will assist you in determining the size of a mortgage you can comfortably afford.