Can I Afford a Home in Olympia WA making $70,000 a year

Buying a home is a significant milestone, and if you're making $70,000 a year, you might be wondering if it's feasible to afford a home in Olympia, WA. The good news is that the answer is yes! With careful planning and consideration of your finances, you can certainly make homeownership in this charming city a reality.

### Can I Afford a Home in WA Making $70,000 a Year?

 The answer Is yes, but let's break down the numbers. A general rule of thumb in real estate is that your mortgage payment should not exceed 28% of your gross monthly income. On a $70,000 annual salary, that equates to about $1,633 per month for housing costs. This figure includes principal, interest, property taxes, and homeowners insurance.

In Olympia, the median home price as of 2023 hovers around $400,000. With a 20% down payment ($80,000), you would finance $320,000. Assuming an interest rate of around 4%, your monthly mortgage payment would be approximately $1,528. Add in property taxes and insurance, and you're likely looking at total monthly housing costs close to your budgeted $1,633.

### Should I Buy a Home in Olympia WA Making $70,000 a Year?

Olympia offers a high quality of life with its blend of natural beauty and urban amenities. If you’re earning $70,000 annually and have managed to save for a down payment while maintaining good credit health, buying a home here can be an excellent investment.

The city's robust job market and excellent schools make it an attractive place to settle down. Additionally, Olympia's relatively affordable cost of living compared to other parts of Washington makes it easier for individuals earning around $70K to manage their finances effectively.

### How Expensive of a Home Can I Afford Making $70,000 a Year?

To determine how expensive of a home you can afford on your salary, consider all your financial commitments. Apart from the mortgage payment itself, you'll need to account for utilities, maintenance costs, and any other debts you may have.

Using the 28/36 rule (which states that no more than 36% of your gross income should go toward all debts), if you have minimal debt outside of your mortgage (like car loans or student loans), you might be able to afford slightly more expensive homes. However, sticking closer to the median price range will provide more financial flexibility.

### Could I Afford Lacey as Well?

If you're open to living slightly outside Olympia but still within Thurston County's inviting environment, Lacey could be another excellent option for you. Lacey offers similar amenities and lifestyle benefits as Olympia but often at slightly lower housing costs. As of 2023, the median home price in Lacey is about $375,000.

With similar financial calculations—assuming the same down payment percentage and interest rate—you'd find that homes in Lacey are generally within reach on a $70K annual salary. Your monthly mortgage payments would likely be lower than those in Olympia while still offering access to quality schools and job opportunities.

### Conclusion

Making $70,000 annually puts you in a solid position to afford a home in Olympia or even nearby Lacey. By carefully managing your budget and understanding your financial limits using standard guidelines like the 28/36 rule, you can make informed decisions about purchasing property.

Both Olympia and Lacey offer great communities with ample amenities that make them ideal places to call home. So whether you're drawn to Olympia's vibrant culture or Lacey's suburban tranquility, rest assured that with thoughtful planning and budgeting, homeownership is within your reach!