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:) Someone wants to rent a house. So he likes one and chooses to rent it. And the person who is renting it out says:

Tenant: It costs just $200 per week.

Renter: Oh! It is out of/ dosen't fit my budget.

So the person shows him another house.

Tenant:It will cost just $120 per week.

Renter: Great! That fits/is in my budget.

So in situation 1,what sounds natural:out of/ dosen't fit.

And in situation 2,what sounds natural: fits/is in.

  • Both sound equally fine. It's purely a matter of personal choice which you use. (They do mean different things, however.) – Jason Bassford Supports Monica Mar 10 at 18:44
  • It is “doesn’t” not dosen’t... – Solar Mike Mar 10 at 22:17
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Those are all normal, idiomatic ways of referring to what you can afford.

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My guess is that in OP's exact context the most common preposition would by That's within my budget. That's using a "container" metaphoric reference to "budget" (where the corresponding "too expensive" version would be outside my budget). By the same token That fits my budget is again a container metaphor, but that version isn't so common.

We can also use the "point on a linear scale" metaphoric form (beyond my budget), which is often further restricted to "point on a vertical scale (over / above / under / below my budget).

But we don't often use plain in in this context - probably because the usual "default" meaning of That's in my budget is I have made provision for that in my budget.

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