Is a Mortgage based on 3 times your annual salary?-That is a popular measurement, however, the real measurement is based on a debt ratios. Your ratio is obtained by the monthly debts you are required to pay based on the debts on your credit report. Then your monthly income is thrown in the mix. After which your potential monthly mortgage is placed in the mix.
Most underwriter guidelines would want your ratio to be no higher than 39% of your monthly income. This is the norm, however, under certain circumstances an underwriter might allow a higher ratio.
You might tinker with your ratios by googling a real estate calculator. You would have to know your monthly debts. Do not include utilities, food or gas usage,just things like credit cards, car payments or other debts.
Is a Mortgage based on 3 times your annual salary?-Roughly, closer to 2.5, the higher you go the more it can be.
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