How do people afford homes like this? That's the question I keep asking myself as I run these numbers. I've been going state by state, pulling the most expensive home currently listed in each one, then calculating what the monthly payment would look like if the buyer used a typical mortgage just like the rest of us.

This round covers Oklahoma, Pennsylvania, Rhode Island, and South Carolina. Rate assumed is 6.75% on a 30 year fixed with 20% down.

Oklahoma

Address: 1550 E 29th St, Tulsa, OK 74114

  • Purchase price: $10,000,000
  • Beds: 5
  • Bathrooms: 6.5
  • Living: 14,998 sqft
  • Lot size: 175,111 sqft (4.02 acres)
  • Monthly payment (20% down, 30 yr at 6.75%): $51,888/mo

Pennsylvania

Address: 16 Street Rd, New Hope, PA 18938

  • Purchase price: $16,500,000
  • Beds: 6
  • Bathrooms: 6.5
  • Living: 15,460 sqft
  • Lot size: 322,344 sqft (7.40 acres)
  • Monthly payment (20% down, 30 yr at 6.75%): $85,615/mo

Rhode Island

Address: 14 Pawcatuck Ave, Westerly, RI 02891

  • Purchase price: $23,500,000
  • Beds: 8
  • Bathrooms: 9.5
  • Living: 10,599 sqft
  • Lot size: 119,354 sqft (2.74 acres)
  • Monthly payment (20% down, 30 yr at 6.75%): $121,936/mo

South Carolina

Address: 25 E Battery St, Charleston, SC 29401

  • Purchase price: $28,000,000
  • Beds: 6
  • Bathrooms: 6.5
  • Living: 11,367 sqft
  • Lot size: 13,504 sqft
  • Monthly payment (20% down, 30 yr at 6.75%): $145,286/mo

What This Means For Regular Buyers

Obviously most of us aren't shopping in this price range. But the math behind these payments is the exact same math that applies to your first home. Price, down payment, and rate all combine to create your monthly number.

If you want to run your own numbers on a realistic price range, you can use my payment and closing cost calculator. And if you're not sure how much home you can actually afford in the first place, my affordability calculator will get you a solid starting point.

I write educational posts on buying your first home. More state by state comparisons like this one are coming.

Originally shared by u/SamTMortgageBroker in r/NewbHomebuyer — view the original thread.