Home Affordability Calculator
Discover how much house you can afford based on your income, debt, down payment, and current interest rates. Get pre-qualified estimates with professional debt-to-income calculations.
Your Financial Information
Affordability Results
Maximum Home Price
$325,000
Loan Amount
$275,000
Monthly Payment
$1,833
Payment Breakdown
DTI Analysis
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How Home Affordability is Calculated
Key Calculations
Monthly Income
Annual Income ÷ 12
Max Housing Payment
Monthly Income × DTI Ratio
Max Home Price
(Loan Amount + Down Payment)
DTI Ratios Explained
Front-End DTI
Housing expenses ÷ Gross income. Recommended max: 28%
Back-End DTI
All debt payments ÷ Gross income. Recommended max: 36%
PITI Components
Principal, Interest, Taxes, Insurance
💡 Important Considerations
- • This calculator provides estimates based on traditional lending guidelines
- • Actual loan approval depends on credit score, employment history, and other factors
- • Consider additional costs like HOA fees, maintenance, and utilities
- • It's wise to stay below maximum DTI ratios for financial flexibility
- • Interest rates and lending standards vary by lender and loan program
Related Calculators
Mortgage Payment Calculator
Calculate exact monthly payments for a specific loan amount.
Calculate Payment →Debt-to-Income Calculator
Calculate your current DTI ratio and see how it affects loan approval.
Check DTI →Home Affordability Guide
The 28/36 Rule
Your monthly housing payment should not exceed 28% of your gross monthly income, and your total debt payments should not exceed 36% of your gross monthly income.
Down Payment Impact
A larger down payment reduces your monthly payment and may eliminate PMI. Consider 20% down to avoid private mortgage insurance and secure better rates.
Hidden Costs
Don't forget property taxes, insurance, HOA fees, maintenance, and utilities. These can add 1-3% of the home's value annually to your costs.