United States Home Affordability Calculator
Estimate a home price from your income, monthly debts and down payment. The result uses the selected country’s assumptions and is not a lender approval.
$321,754.48
Supports a maximum mortgage of $261,754.48 with your $60,000.00 down payment.
$2,216.67
Total monthly cap$1,695.99
Principal & interest$520.67
Monthly escrow items6.74%
Buffer qualificationDebt-to-Income (DTI) Ratios
Statutory LimitsHousing costs (P&I + taxes + insurance) as a percentage of gross monthly income.
Total monthly commitments (housing + credit cards + car loans) divided by gross income.
Calculation is instantly saved in this shareable URL.
🗄️ Saved Comparison Scenarios (Side-by-Side)
How this home affordability estimate is calculated
This estimate uses gross income, existing debts, a down payment, and the calculator's country assumptions. It is a planning estimate, not a lender decision; real underwriting also considers verified net income, living costs, credit history, and product-specific rules.
Dual Debt-to-Income (DTI) Limits
The model applies the selected profile's housing-cost and total-debt limits, when configured, to gross monthly income and the monthly debts you enter. These are calculator assumptions, not universal lending limits; actual lenders may use different income, expense, and debt definitions.
Rate and income-multiple assumptions
Where configured for a country, the estimate applies a higher assessment rate or an income-multiple cap. It does not reproduce every central-bank rule or lender affordability assessment; check the linked country guide and current lender terms.
Down Payment & LTV Thresholds
Mortgage insurance rules depend on the loan program and jurisdiction. In this estimate, insurance is included only when its rate is entered and the modeled loan-to-value threshold is exceeded.
What the estimate includes—and leaves out
The calculator estimates a maximum housing payment from income and configured debt limits, then searches for a home price using the entered deposit, interest rate, term, property tax, insurance, HOA, and any modeled mortgage-insurance cost. A country profile can also apply a higher assessment rate or an income-multiple limit. Change the assumptions to compare scenarios rather than treating the result as a borrowing promise.
The US preset uses 28% of gross income for housing costs and 36% for total monthly debt as budgeting assumptions. These are not universal lender limits, FHA rules, or an approval decision. Review the CFPB's home-buying guidance and confirm current terms with a lender.
It does not assess your credit file, verify income, calculate household living costs or every purchase tax, or reproduce a lender's full underwriting rules. Actual affordability depends on your finances, property, loan product, and current local requirements. Confirm eligibility and transaction costs with a lender and relevant authority.
Calculation Methodology & Proof
How much can I borrow?
We cap the housing payment using the selected country's DTI and/or income-multiple rules, then search for the most expensive home whose PITI still fits.
- Compute the maximum monthly housing budget from DTI (and other debts).
- If the country stresses rates, use rate + buffer (or the floor) to size the loan.
- Binary-search home price so PITI (including tax, insurance, PMI, HOA) fits the budget.
- Apply an income-multiple cap when it binds (UK, IE, NO, …).
Important Caveats & Planning Assumptions
- Credit, reserves, and property type are ignored.
- Lender overlays can be tighter than the published rule of thumb.
Frequently Asked Questions
Expert answers to common questions
Why is the max price not just income × 4?
Taxes, insurance, HOA, existing debts, rate, and term all consume the same housing budget. A 4.5× cap (UK) and a 28/36 DTI cap (US) can produce very different ceilings.
What are Ireland's Central Bank mortgage rules?
First-time buyers (FTB) have a Loan-to-Income (LTI) limit of 4.0× gross income and a 90% LTV limit (10% deposit). Second and subsequent buyers (SSB) have a 3.5× LTI limit and 90% LTV limit. Buy-to-let (BTL) has a 70% LTV limit. Lenders hold a 15% flexibility allowance.
What is a Principal Home Bridging Loan in Ireland?
A short-term loan (up to 18 months) allowing homeowners to purchase a new principal home before selling their existing property, with zero capital repayments required during the term.
What is the stressed rate?
In CA, AU, HK and similar markets you must be able to afford a higher hypothetical rate. We qualify the loan at that stress rate, then show the actual payment at today's rate.
Is this an approval?
No. Lenders also check credit, employment, property, and reserves. Treat the result as a planning ceiling.