Home Affordability Calculator

It treats your monthly mortgage budget as the total available for principal and interest, property taxes, home insurance, PMI, and HOA fees. After subtracting the additional costs, it uses your interest rate and loan term to estimate the loan amount, then adds your down payment to reveal the maximum affordable home price.

No. This calculator estimates a home price from your monthly mortgage budget. It does not evaluate income, debt-to-income ratio, credit, assets, or lender requirements. Your credit score can affect the interest rate a lender offers, which in turn affects the home price your budget can support. Actual loan approval and affordability depend on your financial circumstances and loan terms.

A common starting point is the 28/36 rule. Aim to spend no more than 28% of your monthly income before taxes on housing. Keep all monthly debt payments, including housing, car loans, student loans, and credit cards, at or below 36% of that income. Your monthly mortgage budget in this calculator includes principal, interest, property taxes, home insurance, PMI, and HOA fees. Choose an amount that also leaves room in your take-home pay for other debts, savings goals, utilities, maintenance, and emergency expenses; those expenses are not included in the calculation.

Property taxes, insurance, PMI, and HOA fees use part of your monthly mortgage budget before any money goes toward principal and interest. A higher interest rate also reduces the loan amount the remaining budget can support. A larger down payment or lower costs may increase your estimated home price.

No budget remains for principal and interest, so the estimate cannot support a financed loan. The displayed home price may be limited to your down payment. Increase your budget or review the costs, and remember that even a cash purchase has ongoing housing expenses.

Yes. Property taxes, home insurance, PMI, and HOA fees under Additional Costs are included in your budget and reduce the amount available for the loan. Each cost can be entered monthly or annually.

Automatic property taxes use 1.2% of the estimated home price annually; home insurance uses 0.5%. Both are broad planning assumptions and update as the estimated price changes. Enter local figures for greater accuracy. A custom value, including zero or blank, stops automatic updates; Reset to auto restores them.

When the down payment is below 20% of the home price, PMI is estimated at an annual rate of 0.75% of the loan amount and included in your monthly mortgage budget. This leaves less available for principal and interest, reducing your estimated home price. Automatic PMI is recalculated as the estimated home price changes and becomes zero at a down payment of 20% or more. Enter your own dollar amount or use the percentage estimator for a custom estimate. Entering your own value, including zero or clearing the field, stops automatic estimates and preserves your entry. Click Reset to auto to re-enable automatic estimates. Actual lender rates and cancellation rules vary.

No. Budget separately for closing costs, moving expenses, utilities, maintenance, and repairs. Closing costs often run about 2% to 5% of the loan amount, but vary by loan and location.

Yes. Select the Download option above the calculator, then choose Download PDF or Download Excel from the menu to save your estimated home price and monthly mortgage budget.

Use the Mortgage Payment Calculator to estimate the monthly mortgage payment when you know the price of the home.