Home Affordability Calculator
How much house can you really afford?
Max affordable home price:
Est. monthly payment:
Payment as % of income:
How to use this calculator
Enter your annual income, monthly debts, down payment, mortgage rate and property tax, then press Calculate. Max affordable price and monthly payment appear.
Worked example
A household earning $100,000 a year with $500 in monthly debts can typically carry a total housing payment around $2,300 - about 28% of gross income. With a $60,000 down payment at a 6.5% rate that points to a home in the low $300,000s, depending on property tax.
What the result means
The tool returns the maximum home price your income and debts can support under standard lender guidelines. It is a ceiling, not a target - buying below it leaves room for rate rises, repairs and life.
The rules behind the number
- Housing costs (principal, interest, tax, insurance) should stay near or under 28% of gross income.
- Housing plus all other debts should stay near or under 36%.
- Interest rates move the affordable price more than any other input - a point of rate can shift it by tens of thousands.
Frequently asked questions
Can I spend more than 28%?
Yes - many people do - but every point over it squeezes your other goals. Lenders approve on the back-end ratio; the 28% guide is your own safety check.
Does the down payment change the price?
Directly. A bigger down payment means a smaller loan, which buys a higher price for the same monthly payment.
Pre-approval letters quote the top of your range, but the smart ceiling is lower: account for maintenance (roughly 1% of the home's value a year), utilities you do not pay today, and a rate buffer if you finance with an adjustable loan. Buying below the calculator's max keeps those realities from biting.