How Much House Can I Afford? Affordability Calculator

Your estimate

—

estimated affordable home price

Maximum housing payment—
Loan amount—
Principal & interest—
Property tax (monthly)—
Down payment share—

Estimates only. Figures are rounded and assume the inputs stay the same for the whole period.

Estimates only: Results are based on the numbers you enter and simplified assumptions. They are not a loan offer, rate quote or financial advice. Actual terms depend on the lender and your situation.

How much house can you afford?

This calculator works backward from your income. It applies lender-style debt-to-income (DTI) limits to find the largest total housing payment you can carry, subtracts property taxes, insurance and HOA dues, and converts what remains into a loan amount at the interest rate you enter. Add your down payment and you have an estimated price range.

Choose the conservative setting (28% housing / 36% total debt) if you want room in your budget for retirement saving, childcare or an irregular income. The stretch setting (31% / 43%) reflects ratios some loan programs accept, but a larger payment leaves less margin for error.

Why affordability is more than approval

Lenders look at ratios; your budget has to handle everything else. Before you settle on a price, plan for:

Closing costs, often a few percent of the loan amount, due at signing.
Maintenance and repairs — a common planning figure is 1% to 2% of the home’s value per year.
Utilities, which are usually higher in a house than an apartment.
An emergency fund that stays intact after your down payment. See the emergency fund calculator.

Keep going

Take the price from this tool into the mortgage calculator to see the full monthly payment, and read how much house can I afford? for a deeper look at ratios, down payments and loan programs.

Frequently asked questions

What is the 28/36 rule?

It is a traditional lending guideline: housing costs (principal, interest, taxes and insurance) should stay at or below 28% of gross monthly income, and all monthly debt payments including housing at or below 36%. Many loan programs allow higher ratios, but staying near these levels leaves room for saving and surprises.

Does this calculator use gross or take-home income?

Gross income — your pay before taxes — because that is how lenders calculate debt-to-income ratios. Your comfort level should also reflect your take-home pay, so compare the resulting payment against your actual budget.

What counts as monthly debt?

Include minimum credit card payments, car loans, student loans, personal loans, child support and alimony. Do not include utilities, groceries or your current rent, since rent will be replaced by the new housing payment.

Can I get approved for more than this calculator shows?

Possibly. Some programs allow debt-to-income ratios above 43%, especially with strong credit or large cash reserves. Being approved for a larger loan does not mean the payment will be comfortable, so treat this estimate as a sensible ceiling rather than a floor.

Learn more

First-Time Home Buyer Guide: How to Buy Your First Home Step by Step — A step-by-step first-time home buyer guide: prepare credit and savings, compare loans and assistance programs, get preapproved, make an offer and close.
How Mortgage Payments Work: Principal, Interest, Escrow and PMI — How mortgage payments work: principal and interest, amortization, escrow for taxes and insurance, PMI and how extra payments shorten your loan — with examples.
How Much House Can I Afford? Ratios, Down Payments and Hidden Costs — How much house you can afford based on income, debts and down payment: the 28/36 rule, debt-to-income ratios, closing costs and hidden ownership costs.