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House Affordability Calculator

Estimate the maximum home price you may afford based on income, debts, and DTI guidelines.

Inputs

W-2 income (annual)
$
1099 / SE income (annual)
$
Household income (annual)
$
$ /mo
yrs
%

Optional: reference average rate. You can still edit manually.

$ /mo
% of price

Estimate shown in “At Closing”.

%

Income used: $10,000 /mo

Based on your current inputs.

Reset

Explanation

This section explains what this calculator includes, how income is counted, and how the affordability estimate is produced. It’s designed to be helpful, but it does not replace lender underwriting.

How this calculator estimates affordability
  • We estimate a maximum home price that keeps your monthly payment within the selected DTI guideline.
  • We solve for a price where the monthly payment (P&I + taxes + insurance + HOA) stays inside the allowed budget.
  • Your results update as you change inputs so you can compare different scenarios quickly.
How income is counted (W-2 vs 1099/SE)
  • W-2 income is entered as gross annual income (salary + typical income).
  • 1099 / Self-employed income is often based on averaged net income from tax returns.
  • If you choose Both, we combine eligible income from both sections.
  • Final qualifying income depends on documentation and lender guidelines.
DTI guidelines (Conventional, FHA, VA, Custom)
  • Housing DTI compares housing payment to gross monthly income (not used for VA in this estimate).
  • Total DTI compares (housing + other monthly debts) to gross monthly income.
  • FHA and VA can allow higher DTIs in some cases. Results are estimates—confirm with your lender.
What monthly payment includes
  • P&I (principal & interest) based on your rate, term, and down payment.
  • Property taxes and homeowners insurance based on your inputs (as %/yr or $/yr).
  • HOA / fees if you entered them.
What this calculator does NOT include
  • Credit score and pricing adjustments, lender overlays, reserves, and compensating factors.
  • Loan program specifics like PMI/MIP funding fees unless you add them later.
  • Exact escrow setup, title/settlement details, or lender-specific underwriting rules.

Use this as a planning tool, then confirm numbers with your lender for a final approval scenario.

Closing costs & maintenance (estimates)
  • Closing costs are shown as a simple % estimate for planning (use your Closing Costs calculator for details).
  • Maintenance is optional budgeting only and is not typically counted in DTI underwriting.