How Much House Can I Afford?
Enter your income, monthly debts, and down payment to see the maximum home price you can comfortably afford — based on the trusted 28/36 debt-to-income rule used by mortgage lenders nationwide.
Your Financial Picture
That's $10,000 per month before taxes
Include car loans, student loans, credit card minimums, child support, etc.
Your Budget
You Can Afford Up To
$398,438
max home purchase price
Housing DTI
28.0%
Limit: 28%
Total Debt DTI
34.0%
Limit: 36%
Comfortable Budget
$318,750
Loan Amount
$338,438
Estimates based on the 28/36 DTI rule. Actual approval depends on credit score, employment history, and lender requirements. PMI auto-calculated for down payments under 20%.
How Much House Can I Afford? — FAQs
How much house can I afford?
The general rule is that your housing costs (mortgage principal, interest, property taxes, insurance, and HOA if applicable) should not exceed 28% of your gross monthly income, and your total monthly debt payments (including your mortgage) should not exceed 36%. Our calculator uses these DTI ratios, along with your down payment, interest rate, and loan term, to determine the maximum home price you can afford. Enter your income and debts above to get a personalized estimate.
What is the 28/36 rule?
The 28/36 rule is a common lending guideline. The '28' means your housing costs (PITI — principal, interest, taxes, and insurance) should be no more than 28% of your gross monthly income. The '36' means your total debt payments — including your mortgage, car loans, student loans, credit card minimums, and child support — should be no more than 36% of your gross monthly income. Lenders use these ratios to assess whether you can comfortably afford a mortgage. You can adjust both ratios in the advanced settings of this calculator.
What is a debt-to-income (DTI) ratio?
Your debt-to-income ratio compares your monthly debt obligations to your gross (pre-tax) monthly income. There are two types: front-end DTI (also called the housing ratio) measures only your housing costs against your income, while back-end DTI includes all monthly debt payments. For example, if you earn $10,000/month and have $2,800 in housing costs, your front-end DTI is 28%. Most conventional lenders look for a front-end DTI of 28% or less and a back-end DTI of 36% or less, though some loan programs allow higher ratios.
What debts should I include in the monthly debt payments field?
Include all recurring monthly debt obligations that appear on your credit report: auto loans, student loans, personal loans, credit card minimum payments, child support or alimony payments, and any other installment loans. Do not include everyday expenses like groceries, utilities, gas, or subscriptions — only formal debt obligations. If you're unsure, check your most recent credit report for a complete list of your monthly debt payments.
How does my down payment affect how much house I can afford?
Your down payment directly increases your purchasing power because it reduces the loan amount you need. A larger down payment also improves your loan terms and may eliminate the need for private mortgage insurance (PMI) — which is required when you put less than 20% down. PMI adds to your monthly housing costs, effectively reducing the maximum home price you can qualify for. Use the down payment slider to see how different amounts impact your affordability.
Does my credit score affect how much house I can afford?
Yes. While this calculator estimates affordability based on income and debts, your credit score determines the interest rate you qualify for — and a lower rate means you can afford a higher-priced home. A credit score above 740 typically secures the best rates, while scores below 680 may result in rates 0.5% to 1.5% higher. Over a 30-year loan, even a 0.5% rate difference can change your maximum affordable price by tens of thousands of dollars. For a precise figure, get pre-approved with a lender.
Why is my affordable price lower than I expected?
If the result seems low, it's usually because of high existing monthly debts, a small down payment, a high interest rate, or conservative DTI limits. Try reducing your monthly debts, increasing your down payment, or adjusting the DTI ratios in the advanced settings. Keep in mind that some loan programs (like FHA, VA, and USDA) allow higher DTI ratios than the standard 28/36 convention. However, buying at the absolute maximum of your affordability leaves little room for property maintenance, emergencies, or lifestyle changes — consider the 'comfortable budget' figure as a more sustainable target.