<prompt> Human: So my longtime girlfriend and I are in the process of buying a house. We found out she was pregnantCool, but bad timing! in the middle of coming to a price with the bank Short Sale. We still have time to back out either with taking the money down hit or if there is something wrong with the inspection as the offer states we can back out if there is something major wrong. We are first time home buyers so all the home buying stuff is new. Also will be first time parents as well...so thats all new to us. We need to figure out if we can afford this. I did a bunch of calculations of our finances and I think we can afford it. We are combining our incomes and debts so that hopefully this can be a bit easier, she probably couldnt afford it to pay exactly half. So I created a throwaway and seriously need some help. We dont want to raise a kid in an apartment or condotownhouse, but if thats the only option so be it.Anyways here are our details:Salary: Mine after taxes and up to my matching 401k- 37,752.84Hers after taxes-29,110.92Total for lazy: 66,863.76She doesnt have much saved up and I have about 10,000 we were going to use for closing costs and new home stuff.We have a USDA Rural Loan, the offer accepted was for 232,000 with about 3k back at closing. We dont have 20 down so we will be paying PMI and doing 0 down. The estimated monthly payment for the mortgage, PMI and taxes will be 1,710 and I am hoping that is high, but thats what our bank told us the estimate is. I have 1 school loan and she has 2, we also have a car loan. Minimums on the school loans are 563.13Car Loan is 175.00 and we have discussed getting a smaller car, but the car loan has the highest interest rates and will be our main focus after we sign on the house.My loan still has about 14k left and I am unsure of hers, she has one that is similar to mine and another that is higher, maybe 20k. Car loan is the lowest at about 7kI checked a couple of websites for average cost of a child for the first year and came out with an average of 12,000, but it has to include child care, maybe not for 5 days a week as we could possibly arrange some working from home.We live in the New England area.If it helps I am 27 and she is 25. We were talking about marriage after buying a house, but that will be put on later. I know there are a ton more details I could provide, and I will if they are needed just let me know what you need.Here is a link to a google doc that has the information in a spreadsheet with some necessities. I tried to make this look pretty, but realistically I dont post a lot and am kind of freaking out. We havent told anybody about the pregnancy yet either.EDIT:RemovedTL;DR In middle of buying house, unexpected pregnancy. Can we afford it?EDIT:I wanted to clarify that I posted NET income not Gross. Gross is about 86,000.I want to thank everybody for the great advice, it has been extremely eye opening. We have been looking for a house for at least 6 months and I guess all of this stuff went over our heads. I am in the process of talking with my SO and getting on the same page with her to make our plan forward, whether that is renting or buying something a whole lot cheaper. Either way we are looking for ways to get our earnest deposit back and move forward. I removed the link to the google doc.Thanks again everybody it has been really helpful!Assistant: if there is something wrong with the inspection as the offer states we can back out if there is something major wrongIANAL, but having recently purchased a house, I believe anything from the inspection major or not gives you cause to back out and get your earnest money back. And since the inspection always gives you something this light switch is wired goofy, the gutters should be cleaned out, you are probably in the clear here if you do decide to back out.Human: That is SUPER relieving. This gives us some more time to think this one over. Thanks, I was wondering if this was possible.  <response>: Yep, you can come back after the inspection with a lower offer, or absurd list of repairs, too. Talk to your agent, and dont screw them out of their eventual commission by switching agents if youre looking again in a few years. 