Home Affordability Calculator
Enter your income, existing debts, down payment, interest rate and loan term to see the maximum home price you can likely afford.
Home Affordability Calculator
Estimate the maximum home price you can afford based on your income, debts, down payment and a target debt-to-income ratio.
Lenders typically cap your total debt payments (mortgage plus other debts) at a percentage of your gross income. This calculator applies that limit to your income and subtracts your existing debts to find your maximum affordable mortgage payment, then converts that into a maximum loan amount and home price.
Example
- With the default values shown above, this calculator returns: Maximum Monthly Housing Payment ≈ USD 2,200.00; Maximum Loan Amount ≈ USD 348,063.80; Maximum Home Price ≈ USD 388,063.80.
Frequently Asked Questions
What debt-to-income ratio should I use?
Many lenders cap total housing-related debt around 28% of gross income, and total debt (housing plus other debts) around 36–43%. This calculator uses your chosen overall limit minus your existing debts to find your housing budget.
Does this include property tax and insurance?
No, this is a simplified estimate covering loan principal and interest only. Actual affordability also depends on property tax, homeowners insurance and HOA fees, which reduce your true available loan payment.