House Affordability Calculator
Calculate how much house you can afford based on income, debts, down payment, and mortgage rates. Determine maximum home price and monthly payment within your budget.
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Your Financial Information
$
Your gross annual income before taxes
$
Car loans, student loans, credit cards, etc.
$
Amount you can put down upfront
Loan Details
%
yrs
Additional Costs
$
$
$
You Can Afford
Maximum Home Price
$296,570
Maximum Loan Amount
$256,570
Total Monthly Payment
$1,857
Monthly Payment Breakdown
Principal & Interest$1,300
Property Tax$250
Home Insurance$100
HOA Fees$100
PMI (Private Mortgage Insurance)$107
Debt-to-Income Ratios
Front-End Ratio
29.7%
Target: ≤ 28%
Back-End Ratio
37.7%
Target: ≤ 36%
⚠ May not qualify
Your debt ratios exceed standard guidelines. Consider options below.
💡 Recommendations
- Consider reducing existing debts or increasing down payment
- Save for 20% down payment to avoid PMI and reduce monthly costs
- Housing costs exceed 28% of income - consider a lower price range
- Total debt exceeds 36% of income - pay down debts before buying
- Get pre-approved by lenders for actual qualification
- Budget for maintenance (1-2% of home value annually)
- Keep emergency fund of 3-6 months expenses
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How Much House Can You Afford?
This calculator uses the 28/36 rule and your financial information to determine a realistic home price range. Staying within these guidelines helps ensure comfortable mortgage payments.
The 28/36 Rule Explained
- Front-End Ratio (28%): Housing costs ≤ 28% of gross income
- Back-End Ratio (36%): Total debt payments ≤ 36% of gross income
What\'s Included in Housing Costs
- Principal and interest (P&I)
- Property taxes
- Homeowners insurance
- HOA fees (if applicable)
- PMI (if down payment < 20%)
Beyond the Calculator
- These are guidelines, not hard limits
- Consider your job stability and savings
- Leave room for lifestyle expenses
- Budget for maintenance (1-2% of home value annually)
- Get pre-approved to know your actual qualification
Frequently Asked Questions
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