We agree with the contractor that the damages resulting from increased interest rates are consequential damages. Increases in interest rates are not caused by delays in completion of construction contracts.
So you can multiply your current rent by 1.33 to arrive at a rough estimate of a mortgage payment. Hereâs an example: If you currently pay $1,500 per month in rent, you should be able to comfortably afford a $2,000 monthly mortgage payment after factoring in the tax benefits of homeownership.
The 36% Rule: The Original Mortgage Affordability Calculator. In order to avoid the nightmare scenario of buying a house that breaks the bank, youâll need to figure out a housing budget that makes sense for you. When determining How much house can I afford? one rule of thumb to follow is the 36% rule.