Home affordability

Program rules are the current federal ones. FHA: a 1.75% up-front premium financed into the loan, plus an annual premium of 0.55% above 95% loan-to-value, 0.50% from 90% to 95%, and 0.40% on a 15-year term (HUD Mortgagee Letter 2023-05); under 10% down it runs for the life of the loan. VA: a one-time funding fee of 2.15% on a first purchase, 3.30% on a later one, 1.50% at 5% down and 1.25% at 10%, waived with a service-connected disability rating, and never any mortgage insurance. Conventional: 3% down minimum, PMI until 20% equity.

Market assumptions are estimates, and two of them are deliberately middle-of-the-road. PMI is modelled at 0.50% a year, near the bottom of a roughly 0.3% to 1.5% range that turns on your credit score. Homeowners insurance is 0.42% of value a year, which is below recent national averages and well below Florida and Gulf Coast pricing. Property tax comes from Tax Foundation county effective rates, adjusted for what a new buyer pays rather than the long-tenure average. None of this is a quote.