How to use this affordability calculator
Enter your annual income, current monthly debt payments, and your down payment. Add the interest rate, loan term, property tax rate and insurance. The result shows a conservative maximum home price plus the 28% and 36% limits.
The 28/36 rule
- 28% front-end — housing (principal, interest, taxes, insurance) should stay at or below 28% of gross monthly income.
- 36% back-end — all monthly debt combined should stay at or below 36% of gross income.
"Approved" isn't "comfortable." Lenders approve a maximum, but buying at the top leaves little room for savings and surprises. The conservative figure here is a safer target to live with.
Frequently asked questions
How much house can I afford?
Apply the 28/36 rule to your income, debts, down payment and rate. The calculator estimates a comfortable maximum price.
What is the 28/36 rule?
Housing ≤ 28% of gross income; total debt ≤ 36%. Lenders use similar ratios.
Is my approval amount what I can afford?
Not necessarily — approval is a ceiling, not a comfortable monthly payment. Leave room for the rest of life.
Related calculators & guides
This calculator is for educational and planning purposes only and provides estimates, not financial advice. Lender criteria vary. See how we calculate.