Home Affordability Calculator

Determine how much house you can afford based on the 28/36 rule used by lenders. This calculator considers your income, existing debts, down payment, and current interest rates to give you a realistic home buying budget. Most lenders require your housing payment (including principal, interest, taxes, and insurance) to stay under 28% of your gross monthly income, while total monthly debt payments should not exceed 36%. Having a larger down payment (20%+) avoids private mortgage insurance (PMI) and increases your buying power. Pre-approval gives you confidence when shopping and strengthens your offer. Consider that homeownership costs extend beyond the mortgage—budget for property taxes (1-2% of home value), homeowner's insurance, maintenance (1% annually), and utilities. First-time buyers may qualify for FHA loans with as little as 3.5% down or USDA loans in rural areas with no down payment required.