Home Affordability Calculator
Your Home Affordability
Payment Breakdown
Understanding Home Affordability
How Home Affordability Works
Home affordability depends on your income, debts, down payment, and current mortgage rates. Lenders typically use the 28/36 rule – your mortgage shouldn’t exceed 28% of your gross monthly income, and total debt payments shouldn’t exceed 36%.
The 28/36 Rule Explained
This standard guideline suggests spending no more than 28% of your gross monthly income on housing expenses and no more than 36% on total debt (including mortgage, credit cards, student loans, etc.).
Key Features of Our Home Affordability Calculator
Custom DTI Ratios
Choose between conservative (36%), standard (43%), or aggressive (50%) debt-to-income ratios based on your financial situation.
Comprehensive Cost Analysis
Calculates not just mortgage payments but also estimates for property taxes and insurance (about 1.25% of home value annually).
Multiple Loan Terms
Compare affordability across different loan terms (10, 15, 20, or 30 years) to find your optimal mortgage duration.