[sithlord72]

Hi, just wondering if the you think if the cost of living in Florida can support a family of four. Husband will have a $5,000 a month pension and spouse will get a job in Florida paying $40,000. We are looking at houses in the $200-$250 K range.....

[OpinionInOcala]

Even without knowing more specifics (financially speaking), I don't see any reason why it should be a problem for you.

[Not_liking_FL]

That's $100k a year. I'm sure there are many families who get by ok with less. If you have a lot of debt and your kids are in private school I doubt you'll be very comfortable.

[THX 1138]

Gross or Net?

Also how confident are you that you "will get a job in Florida paying $40,000"? Have you done any initial homework? What type of position? What areas?

I would rule out South Florida as a starter.

[sithlord72]

These numbers are as follows: the $40,000 is gross. The pension would be net...

And I guess I should have added, Im not interested in South Florida. Id say the Tampa suburbs or Jacksonville suburbs is where I will probably end up.

[annerk]

What type of work do you do that you are so sure you'll land a job, let alone one in that pay band?

[beachmouse]

Cash buyer, or what kind of monthly payment are you looking at for the $250K house?

[jghorton]

It's surprising how often people ask questions about Florida as though it was a single, monolithic place where everything was exactly the same. Florida has as many large population centers that are as diverse as comparably-sized cities in multiple states. Florida is different from some northerly states, because it has Palm Trees, warm weather and beaches. The cost of living is generally about the same (on an area by area basis) as anyplace else (except there are no state income taxes and home heating costs are typically lower ... offset by higher A/C costs).

Can you find a $200-$250K house in Florida? Of course you can; in fact, you can probably close your eyes and stab some place on a Florida map ... and find more $200-$250K houses than where you live now. But, if you are actually asking if you can move to Florida on a $5K pension, hoping you can afford a $200-$250K house until one of you finds a $40K job ... that is an entirely different question.

Florida has plenty of $200K-$250K houses, $40K jobs, and folks earning more/less than $100K annually. However, nobody I know of, simply 'hands-out the perfect house or job' to everyone who lands at a Florida airport or stops at a Florida highway welcome station.

[The b8nk]

about 90k a year, id say you would be pushing it at the higher end of your range (over 240k). It really all depends on your mortgage payment and what other debts you have. If you have two huge $300/month car payments than no. We need more details to be honest...

[annerk]

Let's do the math. Go on the low end, $200K. Let's say the taxes are $2500, which is probably low. The insurance will be $1200, also probably low. You have 20% down ($40K). You have perfect credit and no debt of any sort, other than the typical monthly utility bills.

At 4.375 with 0 points, you are looking at a monthly P&I payment of $800. The taxes are $200 (roughing this out), and the insurance is $100, both on a monthly basis. That's $1100 a month, PITI, and if there is no HOA involved.

Now assuming that the pension is a permanent pension with appropriate documentation, and the $40K job is in the same field as the OP has been working in for at least two years and there is no reason to believe it won't continue, and the $40K is salary, and does not include OT or bonus, which won't be counted with a new employer, that is $7500 gross a month.

That gives you a 14/14 DTI. Good number, and anyone is going to approve that based on all the above factors.

Now let's look at it another way. You have two cars, both of which are in the middle of a $400/mo five year note. You have $478 in credit card payments a month. You are paying $175/mo in student loans. You are only putting down 5%--so the mortgage is $190K.

Your PITI including PMI is $1350. Your DTI is now 18/37. You *might* get approved if you will have some cash reserves and stellar credit. You will not get approved if your credit is spotty, you have no cash reserves, or the job history is spotty or this is a career change.

I certainly don't know the entire circumstances, but given what you have told us, unless you've got a large down payment, $200K is probably about the top of what you will be able to be approved for. If you have no debt and 20% down, $250K should be manageable.