How To Avoid Being House Poor And Actions To Take If You Are


Have you ever heard the term “house poor?” It’s a term used to describe people who cannot afford their monthly mortgage payments, even though they may have a good income.

It can be dangerous, as it often leads to foreclosure and other financial problems. Fortunately, you can do things to prevent yourself from being house poor, and there are actions you can take if you are already house poor.

What Is “House Poor”


House poor is purchasing a house that exceeds the owner’s budget. Owning a home involves extensive payments and expenses, including your monthly mortgage payment, maintenance costs, insurance, PMI, and more.

All these expenses can ultimately add up and create a situation where someone’s housing costs drive out their ability to do anything else, save for the future, or achieve their financial goals. A house-poor person will likely not have adequate money to prepare for an emergency or save for retirement.

What Should I Do Before Buying a Home


Buying a home is a massive commitment, requiring extensive savings for a down payment, regular property taxes, moving costs, and more. 

Get Your Finances in Order

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