Affordability Calculator — How Much House Can You Afford?

How to Use the Home Affordability Calculator

This affordability calculator helps answer the question every home buyer asks first: how much house can I afford? Enter your annual income, monthly debt obligations, planned down payment, credit score, expected interest rate, and loan term. The calculator then estimates three scenarios — conservative, moderate, and maximum — so you can see a realistic range rather than a single number.

Each scenario shows your estimated maximum home price, maximum monthly payment, and resulting debt-to-income (DTI) ratio. From there, click "See payment for this price" to jump straight into the Mortgage Calculator and explore the full payment breakdown for that price point.

What Affects How Much House You Can Afford?

• Gross annual income is the foundation of every affordability calculation — lenders size your maximum payment as a percentage of your income.
• Existing monthly debt (car loans, credit cards, student loans) reduces how much room is left in your budget for a mortgage payment.
• Down payment reduces the loan amount needed for a given home price, which increases what you can afford at the same monthly payment.
• Credit score influences your interest rate and, in PMI-common markets, your mortgage insurance cost.
• Interest rate and loan term directly determine how much loan a given monthly payment can support.
• Property tax, insurance, and HOA fees reduce the portion of your budget available for principal and interest.

How We Calculate Your Affordability (28/36 Rule)

This how much house can I afford calculator is based on the classic debt-to-income guideline used by mortgage lenders: your housing payment shouldn't exceed roughly 28% of your gross monthly income, and your total debt payments (housing plus other debts) shouldn't exceed roughly 36%. The moderate scenario above applies this standard limit. The conservative scenario tightens it to about 22% for a safer monthly payment, while the maximum scenario extends it to roughly 33% for buyers comfortable with a higher payment. The calculator then works backward from your maximum monthly housing budget to estimate the home price and loan amount that fits.

Tips for a Realistic Affordability Estimate

• Use your gross (pre-tax) income, not your take-home pay, since lenders calculate ratios this way.
• Include all recurring debt payments, even smaller ones, for an accurate DTI ratio.
• Don't forget to budget for maintenance, utilities, and moving costs beyond the mortgage payment itself.
• If you're close to the edge between scenarios, consider the conservative estimate to leave a financial cushion.
• Improving your credit score before applying can meaningfully increase your affordable home price.