Can I Buy a House in LA Making $100K? Yes, Here's Exactly How | The Borges Team

Can I Buy a House in LA Making $100K? Yes, Here's Exactly How

Making $100,000 in Los Angeles and wondering if homeownership is realistic? Yes, it absolutely is. With the right strategy combining smart loan choices with LA's generous down payment assistance programs, you can afford homes in the $550,000 to $700,000 range with as little as 1% down from your own funds.

The Short Answer
$100K income = $550K to $700K home

With LA's down payment assistance programs providing up to $161,000, many $100K earners are buying homes they thought were out of reach.

Your Numbers: What $100K Actually Buys

Let's run the real math. Here's what lenders look at when you earn $100,000:

Standard Qualification on $100K
Gross Monthly Income $8,333
Max Housing Payment (31% front-end DTI) $2,583
Max Total Debt (43% back-end DTI) $3,583
Estimated Buying Power $550K to $700K
Want to know your exact number? I can walk you through the math for your specific situation.
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What Can You Afford in LA?

Get your estimated buying power in 60 seconds

Combined income before taxes

Car payments, student loans, credit cards, etc.

Cash available (DPA programs can add $100K+)

What $550K to $700K Buys in LA (January 2026)

Let's be real about what's available at this price point. Here's what $100K buyers are finding across LA County:

San Fernando Valley

Panorama City, Sun Valley, Sylmar, North Hills

3BR/2BA homes: $550K to $700K

San Gabriel Valley

El Monte, Azusa, Pomona, Baldwin Park

3BR/2BA homes: $500K to $650K

Gateway Cities

Paramount, South Gate, Bell Gardens, Downey

3BR/2BA homes: $550K to $700K

Antelope Valley

Lancaster, Palmdale

4BR/3BA homes: $400K to $550K

Want More Options?

Condos and townhomes in pricier areas like Glendale, Burbank, Pasadena, and Long Beach often fall in the $500K to $700K range, giving you access to neighborhoods where single-family homes exceed $900K.

Not sure which neighborhoods fit your lifestyle? Let's talk about what matters most to you.
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How Down Payment Assistance Changes the Game

The biggest barrier for most $100K earners isn't qualifying for the mortgage. It's the down payment. Here's where LA's programs make homeownership possible:

LIPA (Low Income Purchase Assistance) Up to $161,000

What it provides: Up to $161,000 for down payment and closing costs

Your contribution: As little as 1% from your own funds

Repayment: Silent second loan with no monthly payments until you sell or refinance

Eligibility: Low-income limits, first-time buyer, 660+ credit, City of LA

MIPA (Moderate Income Purchase Assistance) Up to $115,000

What it provides: Up to $115,000 for down payment and closing costs

Your contribution: As little as 1% from your own funds

Repayment: Silent second loan with no monthly payments for 30 years

Eligibility: Moderate-income limits (most $100K earners qualify), first-time buyer, 660+ credit

LA County HOP Up to $100,000

What it provides: Up to $85,000 (HOP-120) or $100,000 (HOP-80)

Coverage: Unincorporated LA County and participating cities

Repayment: Silent second loan

Eligibility: Income limits vary, first-time buyer required

Traditional 20% Down vs. With DPA
Home Price $650,000
Traditional 20% Down Payment $130,000 needed
With MIPA (program covers most) ~$6,500 needed (1%)
Your Savings $123,500
Not sure which DPA program you qualify for? I work with these programs every week and can check your eligibility.
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Loan Options for $100K Earners

Loan Type Down Payment Best For
FHA + DPA ~1% yours + program funds Most $100K buyers, easiest path
Conventional 3% $19,500 on $650K Good credit, some savings
VA Loan 0% Veterans and active military
Conventional 10% $65,000 on $650K Lower PMI, more equity

2026 Tax Benefits: Your Hidden Advantage

The Big Beautiful Bill Act (July 2025) made homeownership even more attractive. Here's what $100K earners get as homeowners:

Annual Tax Benefits: $650K Home (24% Bracket)
Mortgage Interest Deduction (~$36K x 24%) $8,640 savings
Property Tax via SALT (~$8K x 24%) $1,920 savings
PMI Deduction (new for 2026!) ~$500 savings
Annual Tax Savings ~$11,000/year
What This Means

Your $11,000 annual tax savings equals $917/month effectively back in your pocket. This significantly reduces your true cost of homeownership compared to renting, where you get zero tax benefits.

Your Next Steps: From $100K Earner to Homeowner

  1. Calculate your exact buying power using the calculator above. Your number may be higher or lower than $650K depending on your debts and down payment.
  2. Check DPA program eligibility based on your income, household size, and target area. MIPA covers most $100K households.
  3. Complete homebuyer education early. Most programs require HUD-approved classes, so do this now to be ready.
  4. Get pre-approved with a lender experienced in DPA programs. Not all lenders participate.
  5. Start your home search in neighborhoods that match your budget. Focus on areas where your buying power gives you options.

Frequently Asked Questions

Can I afford a house in Los Angeles making $100K?
Yes. With $100K household income and typical debts, you can afford homes between $550,000 and $700,000. With down payment assistance programs providing up to $161,000, many $100K earners buy homes in the $600K to $700K range with as little as 1% down.
How much house can I afford on $100K salary in LA?
Approximately $550K to $600K with conventional financing, or $650K to $700K when using FHA loans combined with down payment assistance programs like MIPA or LIPA.
What neighborhoods can I afford on $100K?
With a $550K to $700K budget: San Fernando Valley (Panorama City, Sun Valley, Sylmar), San Gabriel Valley (El Monte, Azusa, Pomona), Gateway Cities (Paramount, South Gate, Downey), and Antelope Valley (Lancaster, Palmdale). Condos available in pricier areas.
What down payment do I need making $100K?
Minimums: 0% (VA), 3.5% (FHA), 3% (conventional). But with LA assistance programs, you may only need 1% from your own funds, about $6,500 on a $650K home instead of $130,000 for 20% down.
Is $100K a good salary to buy in LA?
Yes. $100K household income puts you in a strong position, especially with current DPA programs. You qualify for most assistance while having enough income for homes in the $550K to $700K range where real options exist.
Still have questions? I'm happy to answer them. No obligation, just straight talk about your options.
📞 (213) 444-2225
JB

Justin Borges

Team Leader, The Borges Real Estate Team | DRE# 01940318

Disclaimer: This article provides general information about home affordability in Los Angeles. Actual loan approval depends on credit score, debt-to-income ratio, employment history, and other factors. Down payment assistance program terms, income limits, and availability change frequently. Consult with a qualified lender for guidance specific to your situation. Tax benefits depend on individual circumstances. Consult a tax professional.