How Much House Can I Afford?
Calculate the maximum home price you can afford based on your income, debts, and down payment. Uses the 28/36 rule that lenders use.
Car loans, student loans, credit cards, etc.
You Can Afford Up To
$294,000.00
Loan Amount
$234,000.00
Monthly Payment
$1,895.54
Front-End DTI
28.4%
Back-End DTI
35.9%
Monthly Payment Breakdown
Principal & Interest$1,479.04
Property Tax$294.00
Homeowners Insurance$122.50
Total Monthly$1,895.54
DTI Breakdown
Housing
Other Debts
Available
0%28% guideline36% guideline100%
Down Payment Analysis
20.4%
Down Payment %
$60,000.00
Down Payment
No PMI
PMI Status
The 28/36 Rule Explained
Lenders use the 28/36 rule to determine how much you can borrow. The front-end ratio (28%) limits housing costs, while the back-end ratio (36%) limits total debt obligations.
What Counts as Housing Costs?
- Mortgage principal and interest
- Property taxes
- Homeowners insurance
- PMI (if down payment is less than 20%)
- HOA fees (if applicable)
Tips to Afford More Home
- Increase your down payment to reduce the loan amount
- Pay off existing debts to lower your DTI ratio
- Improve your credit score for a lower interest rate
- Consider a longer loan term (30-year vs 15-year)
Disclaimer
This calculator is for informational purposes only and should not be considered financial advice. Consult with a qualified financial professional before making any financial decisions.