How Much Home Can I Afford?

Calculate your maximum home price based on income, debts, and down payment. Get your affordable price range in seconds.

Your Financial Details

Monthly: $8,333

Car loans, credit cards, student loans, etc.

Your Affordable Price Range

Maximum Home Price (43% DTI)

$609,771

Down Payment: $121,954 (20%)

Loan Amount: $487,817

Conservative Estimate (36% DTI)

$494,409

Down Payment: $98,882 (20%)

Loan Amount: $395,527

Recommended: This safer DTI ratio provides more financial cushion

Estimated Monthly Payments

Maximum (43% DTI)$3,083
Conservative (36% DTI)$2,500
Current Monthly Debts$500

💡 Tips to Increase Affordability

  • •Increase down payment to 20% to avoid PMI
  • •Pay down existing debts to improve DTI ratio
  • •Shop for lower interest rates (0.5% = significant savings)
  • •Consider FHA loans with 3.5% down payment

Ready to get pre-approved for your dream home?

Get Pre-Approved NowCall (908) 698-0150

How This Calculator Works

1

Income Analysis

We calculate your maximum monthly housing payment based on industry-standard debt-to-income ratios (36%-43%).

2

Debt Consideration

We subtract your existing monthly debts to determine available housing budget. Lower debts = higher affordability.

3

Loan Calculation

Based on your down payment and interest rate, we calculate the maximum home price you can afford.

Important Disclaimers:

  • Estimates Only: This calculator provides estimates for informational purposes. Actual affordability depends on credit score, employment history, assets, and lender requirements.
  • DTI Standards: Most lenders use 43% max DTI, but some programs allow up to 50%. The 36% estimate is conservative and recommended for financial safety.
  • Additional Costs: Home affordability includes property taxes, insurance, HOA fees, utilities, and maintenance not shown in this calculator.
  • Pre-Approval Required: Get an official pre-approval letter to confirm your actual buying power and strengthen your offers.

Get Your Exact Numbers: Contact Jimmy Joseph MBA at (908) 698-0150 for a personalized affordability analysis with current rates.