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In today's expensive housing market, it's not a mystery why someone making $100,000 a year would see homeownership as out of reach.

With more than two decades as a real estate professional, I tell my clients to be honest about what fits their financial reality, not just the bank's formulas. Unless you're buying a home with cash (unlikely), it's valid to ask if you can afford to take out a mortgage on an above-average salary.

Let's start by making a key distinction. The amount you borrow for your home loan and the amount you qualify for are different. Although a lender may approve you for a large loan, that doesn't mean it's a smart financial move for your life or budget.

The key is understanding how much you can borrow, your monthly budget and home prices in your l

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