Fiscalgrove
Calculators

United States calculators

US

Choose your market

Home Affordability Calculator

Find out how much house you can afford based on your income, debts, and down payment, using the same 28/36 debt-to-income guideline lenders use.

$

Income before taxes, for all borrowers on the loan.

$

Car loans, student loans, credit card minimums, etc.

$
%
years
%

Auto-filled from your state's average rate — a placeholder until you have a specific property and county rate.

$
$

Leave at $0 if not applicable.

Max home price$308,268.84
Max loan amount$268,268.84
Max monthly housing payment$2,240.00
Front-end ratio limit$2,240.00
Back-end ratio limit$2,480.00
Front-end DTI28.00%
Back-end DTI33.00%

Your front-end (housing) ratio is the binding constraint on how much you can afford — it produces the lower of the two housing-payment ceilings, so it sets your max home price.

How this calculator works

Answering "how much house can I afford" comes down to a debt-to-income (DTI) test most US lenders still use as a baseline, known as the 28/36 rule. It has two parts: your front-end ratio — housing costs alone (principal, interest, taxes, insurance, and HOA) — shouldn't exceed 28% of your gross monthly income, and your back-end ratio — every monthly debt payment you have, housing included — shouldn't exceed 36%.

Max housing payment = min( income × 28%, income × 36% − other debts )

Whichever side of that formula is smaller is your "binding constraint" — the real ceiling on your housing budget. From that maximum monthly payment, the calculator subtracts estimated property tax, homeowners insurance, and HOA dues to find how much is left for principal and interest, then solves backward through the standard amortizing-loan formula to a maximum loan amount, and adds your down payment to get a maximum home price.

Worked example

Consider a household with $8,000 in gross monthly income, $400 in other monthly debts (a car payment and a credit card minimum), a $40,000 down payment, a 6.5%30-year rate, a property tax rate around Texas's state average of 1.6%, and $1,600/year in homeowners insurance. The front-end limit is $2,240/month (28% of income); the back-end limit is $2,480/month (36% of income minus the $400 in debts). The front-end limit is lower, so it binds — the household's maximum monthly housing payment is $2,240. Working backward through taxes and insurance, that supports a maximum loan of roughly $268,269 and, with the $40,000 down payment added back in, a maximum home price of about $308,269 — with a front-end DTI of exactly 28% and a back-end DTI of 33%.

What affects your result

  • Gross income — the base both ratios are calculated against; higher income raises both ceilings proportionally.
  • Existing debts — every dollar of car loan, student loan, or credit card payment eats directly into your back-end ratio and can lower your max home price.
  • Down payment — a larger down payment doesn't change your max monthly payment, but it directly raises your max home price dollar-for-dollar.
  • Property tax rate — states like New Jersey and Illinois have effective rates 4-5x higher than Hawaii or Alabama, which meaningfully changes how much of your housing budget is left over for principal and interest.
  • Interest rate — a higher rate means each dollar of loan-eligible payment buys less loan amount, lowering your max home price even if your income doesn't change.

A note on accuracy

The 28/36 rule is a widely used, conservative underwriting guideline — not a universal legal limit. Some conforming and FHA loans allow higher back-end ratios with strong compensating factors like excellent credit or large cash reserves; this calculator intentionally uses the conservative standard so your estimate stays sustainable rather than a stretch. Property tax defaults to your state's published average and should be confirmed with your county assessor once you have a specific property. For general guidance on affordability and DTI, see the Consumer Financial Protection Bureau.

Frequently asked questions

How much house can I afford on $100k a year?

On a $100,000 annual salary ($8,333 gross monthly income), assuming $400 in other monthly debts, a 10% down payment, a 6.5% 30-year rate, and average property tax and insurance, the 28/36 rule points to roughly $320,000-$350,000 in home price — the exact figure depends heavily on your down payment, debts, and local property tax rate. Plug your own numbers into the calculator above for a precise estimate.

How much house can I afford on an $80,000 salary?

On an $80,000 salary (about $6,667 gross monthly income) with modest other debts, the front-end 28% rule caps your housing payment around $1,867 a month, which — after taxes and insurance — typically supports a home in the $230,000-$260,000 range with a standard down payment. Your state's property tax rate and your down payment size shift this significantly, so use the calculator with your real numbers.

What mortgage can I afford?

Lenders typically apply the 28/36 rule: your total housing payment (principal, interest, taxes, insurance, and HOA) shouldn't exceed 28% of your gross monthly income, and your total debt payments (housing plus car loans, student loans, credit cards, etc.) shouldn't exceed 36%. Whichever of those two limits is lower — called the 'binding constraint' — sets your real affordability ceiling. This calculator applies both ratios and works backward to a maximum home price.

How much home can I afford calculator — what does it actually calculate?

This calculator takes your gross monthly income, existing debts, down payment, target interest rate and term, and estimated property tax and insurance, then applies the 28% front-end and 36% back-end debt-to-income limits to find your maximum monthly housing payment. It then works backward through taxes, insurance, and HOA to solve for the loan amount — and therefore home price — that payment supports.

Is the 28/36 rule the only standard lenders use?

No — the 28/36 rule is the classic conservative guideline, but many conforming and FHA lenders will approve back-end DTI up to 45% or even 50% with strong compensating factors like a high credit score, cash reserves, or automated underwriting approval. This calculator defaults to the conservative 28/36 standard so you get a comfortable, sustainable estimate rather than the maximum a lender might technically approve.

Does this include my down payment and closing costs?

The calculator factors your down payment into the home price (loan amount + down payment = home price), but it does not include one-time closing costs. Use our Closing Cost Estimator alongside this calculator to budget for the cash you'll need at the closing table, on top of your down payment.

Related calculators

Mortgage CalculatorEstimate your full monthly PITI payment once you have a target price.Debt-to-Income CalculatorCheck your front-end and back-end DTI ratios in detail.Mortgage Payoff CalculatorSee how extra payments shorten your loan once you have one.