“Allso be aware that there are programs for teachers, nurses, law enforcement, social workers etc that provide below market rates.”

My wife works for the Navy, I am not sure if this qualifies for the lower rate? Yeah, ideally we should borrow $417K meaning that we should buy a house around $480K max but my wife likes houses that are selling around $530K-$590K at current market. Of course, If prices go down another 10%-15% in a year or two then we won’t have any problem.