Mortgage Affordability Calculator
Calculate how much house you can afford based on income, debts, down payment, and mortgage rate.
Mortgage Affordability Calculator
Your Finances
Income, debts, down payment & rate
Affordability Estimate
Smart Insights
Personalized takeaways from your numbers.
Real-Life Examples
$120K · 20% down
The Formula Behind It
Max payment ≈ 28% of gross monthly income (housing ratio)Variables
- 28% housing · 36% total debt
How It Works
- Enter annual gross household income.
- Add monthly debt payments (car, student loans, etc.).
- Set down payment percentage and mortgage rate.
- View maximum affordable home price and monthly payment.
About Mortgage Affordability Calculator
The Mortgage Affordability Calculator estimates how much house you can buy using the industry-standard 28/36 rule — housing costs up to 28% of gross monthly income and total debt up to 36%.
Understanding the 28/36 Rule
Lenders use these ratios to qualify borrowers. The 28% covers principal and interest (PITI). The 36% includes all monthly debt obligations. Staying within these limits improves approval odds and financial stability.
Beyond the Calculator
Remember to budget for property taxes, homeowner’s insurance, HOA fees, maintenance, and closing costs. A pre-approval from your lender provides the most accurate affordability figure.
Frequently Asked Questions
How much house can I afford?
Lenders typically use the 28/36 rule — housing costs up to 28% of gross monthly income and total debt up to 36%.
What is the 28/36 rule?
No more than 28% of gross income on housing (PITI) and 36% on all debt including car loans and credit cards.
Does down payment affect affordability?
Yes. A larger down payment reduces the loan amount, lowering monthly payments and potentially increasing what you can afford.
Are property taxes included?
This calculator estimates principal and interest. Add taxes and insurance for full PITI budgeting.
What income should I enter?
Use gross (pre-tax) annual household income — the figure lenders use for qualification.
Is this for US mortgages?
Yes. Uses common US underwriting ratios. For Indian home loans, see our EMI calculator.