"You might have to look at different areas and consider the differences."

Always, but there are certain factors that aren't so pliable. Getting a loan based on your income at a stable job means that you need to live within a reasonable area to continue to access that job. Six years ago when I was looking for a house I could have moved to a lower cost of living area, but that would have meant a 90 minute commute or changing jobs (at which time would have been an irresponsibly risky move.) Another factor was the question of changing school districts, and custody arrangements with the kids father. I wasn't, but I know some who are restricted by custody agreements where they are required to live in certain districts or within X number of miles of the other parent. People in those situations don't get to shop around and find other areas to live.