GPM's are another option that allow you to start at a lower payment and qualify for more house (larger loan amount). These loans have payments that start low and increase at predetermined times. The monthly payments will eventually be higher in order to catch up from the lower payments. In fact, your loan will be negatively amortizing during the early years of the loan, then pay off the principal at an accelerated pace through the later years. These loans are best used in a rising market where the property value will stay ahead of the loan balance. I would also recommend that your income be on the rise beyond cost of living adjustments in order to handle the future increases.