In terms of costs for closing, generally, you can expect to pay an additional 6 - 10% of the homes cost in closing fees including transfer taxes and recording fees.
Also, as to PMI, if you are forced to purchase it (and you won't if you are making 20% downpayment) - be sure to get the Tax-Advantage PMI which rolls the PMI into the mortgage loan and allows you to deduct the PMI payments as mortgage interest on your taxes. It costs roughly the same and, in all ways, is similar to the PMI.
How much you can afford is truly up to you. Here is a site with various mortgage calculators that helps you see just what you pay on various types of loans:
Mortgage calculators and loan calculators
Your escrow is going to include your real estate taxes and, generally, your homeowner's insurance. The taxes can be found on various places on the web. As for the insurance, you simply need to talk to an agent and ask for a rough quote (get the absolute highest deductibles you can - homeowner's insurance is not to replace the busted front gate, it's to replace the house after it burns down). Once you find the totals, simply divide by 12 and get the monthly addition to your mortgage and interest payment.
Also, once you have a perspective house in mind, you can ask the seller to provide you a copy of the utility bills for the last year. He/she doesn't have to give them to you or may not have them, but, as they are interested in making a sale, they may provide them to you. That way you can get a rough estimate as to what your monthly utility expenses will be and budget accordingly.
Saden, you said you paid NO closing costs? I would love to see the HUD1 on that one.
BTW - if you are looking for a house in Baltimore, I have one going up for sale this week. Lovely neighborhood with a Skins fan right across the street. Act now and I won't have to engage an agent and will discount the price.
