Rental Property Income and Expenses
To hit your target, understand potential rental income from one property. For Northern Cyprus, average monthly rent is £800. Annual rent for one property equals £9,600. Account for expenses like maintenance and repairs, approximately 5% of income.
Property Investment and Financing
If you make $100,000 per year, your monthly income is $8,333.33. Lenders say total monthly housing costs should not exceed 28% of monthly income. So for you that’s $2,333.33. Most lenders require a 20% down payment too. So for a $200,000 house you would need $40,000 down.
Property Investment Strategy
To afford a median-priced U.S. home, you’ll need to make $100,000 a year. But your total costs will likely be over a third of income. If not there yet, don’t worry. You can buy a home, but be more strategic. Consider a smaller home or lower-priced area. Save up for a bigger down payment, reducing monthly payments and costs.