How can people buy a house in PR if they make less

In the US, without a substantial down payment and the income you stated, the US banks wouldn’t lend for a mortgage either. A good general rule of thumb to determine the amount of a home you can afford (granted this is in the US where cost of living is higher and there are more taxes being withheld from income) is 3x your income level for a year. So if you are making apx $40,000/yr, ideally a house you can afford would be in the range of apx $120,000. The banks are protecting themselves - you will have general living expenses (clothes, entertainment, transportation, home repairs, etc),  taxes, insurance, utilities and other expenses in addition to the mortgage. If the cost of living is cheaper in PR (I’d tend to think there is not that big of a COL gap considering my last few trips this year - Costa for things like food and gas are significantly higher than they used to be), you may be able to stretch the 3x salary factor to possibly 4x with perfect credit. Just some things to consider.

In Puerto Rico you don't pay property taxes on your property if it is the one you currently use as residence. Unlike in the main land in U.S. on a property of $250,000 your current mortgage payment would be around the $1,100 with home insurance. Also FYI in Puerto Rico not every one makes minimum wage there are lots of family that make way over $6,000 a month. And a $250,000 is just about average of a new construction, depending on island location most residential properties on good living condition would be around the $150,000-$450,000 market price.

I spoke with Banco P. They use the standard 30% rule, no more than 30% of your gross can go to mortgage and debt service.  Also they want a 20% down payment.  Other banks, Oriental for example, may have different requirements.

I own a home and I must pay real estate taxes twice a year, Jan-Jun and Jul-Dec.

All local banks use the same loan to debts ratios for example:

FHA mortgage loan finance up to a 96.50% of the property price, your total debts including the mortgage have to be 43% or less of your income. Only 3.5% down payment requiere.

VA mortgage loan finance 100% of the property price and your total debts including the mortgage have to be 41% or less of your income. No down payment requiere.

Convencional mortgage loan finance up to 80% of the property value and your total debts including the mortgage have to be 45% or less of your income. Requieres down payment of 20%.

William how is it that you are paying CRIM (Real Estate Taxes)? If it is your main residence you get an exception up to $15,000, unless you are a military disable veteran and get total CRIM exemption. If your property value in a mayor downtown with a property value over $300,000? If so you only have to pay what ever taxes exceed the $15,000 exemption. Every home owner in Puerto Rico qualify for it only for their main residence, and you need to request.

FYI every one can qualify for a FHA loan as long they have been resident of Puerto Rico for 6 months.

What is the property tax  rule if you own a home but it is not your main home because you live in the states? I have a condo and will retire in about 3 years but keep my main residence in The states.
How can I find out what my taxes should be?

i'm a disabled veteran @ Hernandez Realty

For the Puerto Rico property tax exemption, it applies as long it is your main residence in Puerto Rico. If you plan on living in the states partially and in Puerto Rico to keep the P.R. property tax exemption you will have to live at the property at least 6 months put of the year.

As a disable veteran in Puerto Rico you have a much better deal on the real Estate market and benefits. If you need assistance or any orientation let me know I am a Army Veteran My self, send me a private message if you wish.

Cordially
Hernandez Perez Realty