Home Affordability Calculator
This calculator turns your income, debts and down payment into an estimated home price range using assumptions you can see and change. It is a planning estimate, not a pre-approval.
Your income and debts
Before taxes and deductions.
Money for the down payment only — keep closing costs and reserves separate.
Loan assumptions
Ownership costs
Ratio assumptions
These are the guidelines the estimate applies. They are commonly discussed starting points, not rules that apply to every borrower.
Estimated home price range
$250,000 – $275,000
A planning range based on the assumptions you entered. It is not a pre-approval and not a recommendation of what to spend.
At the top of that range
Around $275,000, the estimated monthly housing payment breaks down like this.
Principal & interest
$1,549/mo
Property taxes
$252/mo
Homeowners insurance
$150/mo
Mortgage insurance
$123/mo
Estimated housing payment
$2,073/mo
What's driving the estimate
- Gross monthly income
- $7,500
- Max housing payment used
- $2,100
- Estimated loan amount
- $245,000
- Down payment
- $30,000
- Resulting housing ratio
- 27.6%
- Resulting total DTI
- 35.0%
The housing-ratio assumption is the tighter constraint here.
Want to understand this number?
How this calculator works
The estimate works backwards. First it converts your income into a maximum monthly housing payment two ways: the housing-ratio assumption applied to gross income, and the total-debt assumption applied to gross income minus your existing monthly debts. The smaller of the two is used.
Then it searches for the highest home price whose full payment — principal, interest, taxes, insurance, mortgage insurance and HOA — fits inside that limit, given your down payment. The lower end of the range is a deliberately more conservative figure.
Because every assumption is visible and editable, you can see exactly which one is moving the answer.
What it can't tell you
- Affordability is not the same as approval. Lenders review credit history, assets, employment, property type and program rules that no calculator can see.
- It also isn't advice about what you should spend. A payment that fits a ratio can still be uncomfortable in real life.
- Down payment assistance, gift funds, non-taxable income adjustments and self-employment income calculations aren't modelled.
- Closing costs and cash reserves are separate from the down payment figure entered here.