Home Affordability & Buying Calculators

How Much House Can You Really Afford?

The 28/36 rule gives you a reliable starting point. Lenders want your total housing payment — principal, interest, taxes, and insurance (PITI) — at or below 28% of gross monthly income. Your combined debt payments, including car loans, student loans, and credit cards, should stay under 36%. A household earning $100,000/year with $500/month in existing debt can typically afford a home priced around $350,000-$400,000 with a 10% down payment at current rates.

Three big costs determine what you can actually buy: the down payment, closing costs, and the ongoing monthly payment. The down payment is the cash you bring to the table — anywhere from 3% to 20% of the purchase price depending on the loan type. Closing costs add another 2-5% on top of that, covering appraisal fees, title insurance, and lender charges. On a $350,000 home with 10% down, you need $35,000 for the down payment plus $7,000-$17,500 for closing costs. First-time buyers often underestimate these upfront expenses and end up short at the closing table. Use our mortgage payment calculators to see exactly what your monthly PITI payment would be at different price points.

Your loan program also shapes affordability. FHA loans accept lower credit scores and smaller down payments but add mortgage insurance premiums. VA loans offer zero-down options for eligible veterans. Conventional loans with 20% down avoid PMI entirely, lowering the monthly cost. Explore the differences in our loan program calculators to find the best fit for your financial situation.