🏡 Home Affordability Calculator
📊 Affordability Results
Enter your financial information to get a personalized recommendation.
📅 Amortization Details
Enter your details and click "Calculate Affordability" to see the amortization schedule
🧮 Understanding Home Affordability
Determining how much house you can afford involves evaluating your income, debts, and expenses.
Where: P = Loan amount, M = Monthly P&I payment, r = Monthly interest rate, n = Number of payments
Additional Costs to Consider:
- Property taxes: Vary by location, can significantly impact monthly payment
- Homeowners insurance: Protects your home and belongings
- PMI: Required if down payment is less than 20%
- HOA fees: Monthly community maintenance fees
- Maintenance: Budget 1-2% of home value annually
Tips to improve affordability:
- Increase down payment to reduce loan amount and eliminate PMI
- Pay down existing debt to improve DTI ratio
- Improve credit score for better interest rates
- Consider a longer loan term for lower monthly payments
- Look for homes in less expensive areas
Use this calculator to find a home price range that fits your financial situation.
🧭 How to Use This Calculator
- Select your preferred currency from the dropdown at the top of the calculator.
- Enter your annual income — your monthly income will be calculated automatically.
- Enter your monthly debts, such as car loans, student loans, and credit card payments.
- Fill in your expected mortgage interest rate and loan term in years.
- Adjust the housing ratio and total DTI ratio settings if you want to use limits different from the recommended 28% / 36% guideline.
- Add your down payment, plus estimated property tax, insurance, and HOA fees.
- Click Calculate Affordability to see your maximum home price, loan amount, monthly payment, DTI ratios, and a recommended price range.
- Use the Yearly / Monthly tabs below your results to view the full amortization schedule for your estimated loan.
- Click Reset at any time to clear all fields and run a new calculation.
❓ Frequently Asked Questions
What is DTI and why does it matter?
DTI stands for debt-to-income ratio. Lenders use it to gauge how much of your income already goes toward debt payments. A lower DTI generally means more room in your budget for a mortgage, which is why keeping your housing and total DTI within recommended limits improves affordability and loan approval odds.
What's the difference between the Housing DTI and Total DTI ratios?
Housing DTI (front-end ratio) only counts your mortgage payment, taxes, insurance, and HOA fees against your income. Total DTI (back-end ratio) adds in all other monthly debts too, like car loans and credit cards, giving lenders a fuller picture of your overall debt burden.
Why is my affordable price shown as a range instead of one number?
The maximum price reflects the top of what your income and DTI limits can support. The range (roughly 80% to 100% of that maximum) gives you a more comfortable target that leaves some financial flexibility, rather than stretching your budget to its absolute limit.
Does this calculator include property taxes, insurance, and HOA fees?
Yes. The monthly payment and DTI calculations factor in the property tax, homeowners insurance, and HOA fees you enter, in addition to principal and interest, giving you a more complete picture of your true monthly housing cost.
How can I increase how much home I can afford?
Common options include increasing your down payment to lower your loan amount, paying down existing debt to improve your DTI ratio, improving your credit score to qualify for a better interest rate, or choosing a longer loan term to reduce your monthly payment.