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Home Affordability Calculator

Find out how much house you can afford based on your income, debts, and down payment using the 28/36 rule.

Your Financial Profile

$100,000
$30K$500K
$500/mo

Car loans, student loans, credit cards, etc. (not housing)

$60,000
36%

Most lenders allow up to 43%. Conservative: 36%

Loan & Property Details

Maximum Home Price

$365,000

Stretch AffordabilityPMI Required

Monthly Payment Breakdown

Principal & Interest
$1,988
Property Tax
$365
Insurance
$150
PMI
$127
Total Monthly$2,630

Debt-to-Income Summary

Gross Monthly Income$8,333
Housing Ratio (front-end DTI)30.0% ⚠
Total DTI (back-end)37.6% ⚠
Down Payment$60,000 (16.4%)
Loan Amount$305,000

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Your Results

Max Home Price
$365,000
Monthly Payment
$2,630
Total DTI
37.6%
Down Payment
$60,000 (16.4%)

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Frequently Asked Questions

How much house can I afford on my salary?

A common guideline is the 28/36 rule: your monthly housing costs (mortgage, taxes, insurance) should not exceed 28% of your gross monthly income, and total debt payments should not exceed 36%. On a $100,000 salary that's roughly $2,333/month for housing.

What is the debt-to-income (DTI) ratio?

DTI is your total monthly debt payments divided by gross monthly income. Most lenders require a DTI below 43% to qualify for a conventional mortgage. A DTI below 36% is considered excellent.

How does the down payment affect affordability?

A larger down payment reduces your loan amount, lowers monthly payments, and eliminates PMI once you reach 20%. It also signals lower risk to lenders, potentially qualifying you for better interest rates.

What costs should I budget for beyond the mortgage?

Budget for property taxes (typically 1–2% of home value annually), homeowner's insurance (~$1,200–$2,400/year), HOA fees if applicable, maintenance (1% of home value/year), and closing costs (2–5% of purchase price).

What credit score do I need to buy a house?

Conventional loans typically require a 620+ credit score. FHA loans allow scores as low as 580 with 3.5% down. Higher scores (740+) unlock the best interest rates, potentially saving tens of thousands over the loan term.

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