Think You Can’t Afford to Buy a Home in San Antonio? It May Be Time to Run the Numbers Again

If buying your first home has felt completely out of reach, you may be working with outdated assumptions.

Between mortgage rates, home prices, property taxes and everything we hear about affordability, I understand why many potential San Antonio homebuyers have decided to wait.

But here's something that might surprise you: starter-home affordability in San Antonio has recently improved.

A recent Redfin analysis reported by the San Antonio Express-News found that a buyer would need an estimated annual income of about $62,859 to afford a typical starter home in San Antonio. That's down 3.7% from a year earlier. The estimated cost of a starter home represented about 22.5% of the area's average income in the analysis.

Does that mean everyone earning $63,000 can automatically buy a house? Of course not.

But it does mean that if you haven't talked with a lender or looked at your buying options recently, it may be worth taking another look.

Your Home-Buying Budget Is More Than Your Salary

One of the biggest mistakes potential buyers make is trying to determine what they can afford based on an online mortgage calculator.

Those calculators can be useful for getting a general idea, but they don't tell the whole story.

A lender will look at several factors when determining your buying power, including your income, debts, credit profile, down payment, loan program and current interest rates.

Then we also have to consider the costs associated with the particular property.

Here in Greater San Antonio, that means paying close attention to property taxes, homeowners insurance and HOA fees, when applicable.

Two homes with the exact same $250,000 purchase price can have noticeably different monthly payments.

That's why I encourage my buyers to think about their comfortable monthly payment first, rather than simply asking, "What's the most expensive house I can qualify for?"

Those are two very different questions.

You May Not Need 20% Down

This is another misconception that keeps potential first-time buyers renting longer than necessary.

You don't necessarily need a 20% down payment to purchase a home.

Depending on your qualifications, there are conventional and FHA financing options with much smaller down payments. Eligible military service members and veterans may also have access to VA financing, which can offer a zero-down-payment option.

The right program depends on your individual situation.

And remember: your down payment isn't the only cash consideration. Buyers may also have closing costs, prepaid expenses, inspections, option money and other expenses associated with purchasing a home.

That's where having a plan before you start touring homes becomes so important.

Today's San Antonio Market Gives Buyers More Choices

There's another reason I think potential buyers should reconsider the market.

Inventory has increased.

According to the San Antonio Board of REALTORS®, the San Antonio area had approximately 6.13 months of housing inventory in June 2026, a level generally considered a more balanced housing market.

That doesn't mean every house is negotiable or that buyers can name their price.

It means you may not be dealing with the same market your friend or family member experienced several years ago.

More inventory can mean more choices, more time to compare properties and, depending on the particular home, opportunities to negotiate terms with a seller.

That's especially important for first-time homebuyers who may need some help keeping their upfront costs manageable.

Don't Shop Based Only on the Price of the House

This is one of the most important pieces of advice I can give a buyer.

Imagine you're comparing two San Antonio homes.

Home A is $225,000.

Home B is $235,000.

At first glance, Home A seems like the obvious choice if you're trying to keep your payment low.

But what if Home A has significantly higher property taxes? What if it needs a roof soon? What if Home B has a lower tax rate, newer major systems and the seller is willing to contribute toward closing costs?

Suddenly, the comparison isn't nearly as simple.

I want my buyers looking at the whole picture, not just the number on the listing.

What If You're Not Ready Yet?

You don't have to be ready to buy next month to start preparing.

In fact, I'd rather have someone contact me before they're ready.

Maybe your credit needs some work.

Maybe you need to save additional money.

Maybe your debt-to-income ratio needs to improve.

Or perhaps you're actually in better shape than you thought.

The only way to know is to stop guessing and find out.

A good lender can help determine where you stand financially, and then we can build a realistic real estate plan around those numbers.

If buying isn't right for you today, that's okay. Now you have information and a direction instead of wondering.

Where Can First-Time Buyers Find Homes Around San Antonio?

Greater San Antonio gives buyers a wide range of communities and price points.

Depending on your budget, commute, lifestyle and priorities, your search might include areas such as Converse, Live Oak, Northeast San Antonio, the Far West Side, South San Antonio, New Braunfels and surrounding communities.

But location shouldn't be chosen based solely on where you can find the least expensive house.

We also need to consider your commute, property taxes, HOA requirements, the condition of the property and what matters most to you.

Sometimes expanding your search by only a few miles can open up entirely different possibilities.

The First Step Isn't Touring Houses

I know touring homes is the fun part.

But before we start opening doors, I want you to understand your numbers.

What's your comfortable monthly payment?

What loan programs might you qualify for?

How much money should you expect to need?

What price range keeps you within your comfort zone?

Once we know those answers, house hunting becomes much more productive—and a lot less stressful.

Thinking About Buying Your First Home in San Antonio?

Don't count yourself out because of something you heard online or because someone told you that you need a huge down payment.

Let's find out what your numbers actually look like.

Whether you're ready to buy now, six months from now or you're simply trying to figure out where to start, I'm happy to help you put together a plan.

Veronica Clinkscales, REALTOR®
VLC Realty Group – powered by Realty ONE Group Emerald
210-710-0394