Home Affordability Calculator

Determine how much home you can realistically afford based on your income, debt, and financial goals.

Your Financial Info

Enter your income and debt information

Annual Income$6,250/month

Monthly Debt Payments

Down Payment %

Interest Rate (APR)

Monthly Insurance Estimate

Max Home Price

$264,177

Down Payment: $52,835

Loan Amount: $211,342

Monthly Payment

$1,750

Principal & Interest:$1,335.82

Property Tax:$264.18

Insurance:$150

Total PITI:$1,750

This calculator uses standard lending guidelines. Your actual approved loan amount may vary based on credit score, employment history, and other factors lenders consider.

Understanding Affordability Guidelines

The 28/36 Rule

Lenders typically use two ratios to determine how much you can borrow:
• 28% Rule: Housing costs should not exceed 28% of gross income
• 36% Rule: Total monthly debt should not exceed 36% of gross income

Debt-to-Income (DTI) Ratio

Your DTI ratio is your total monthly debt payments divided by your gross monthly income. Lower ratios are better and show lenders you manage debt responsibly.