How Much House Can I Afford in 2026?
Use our free home affordability calculator to find out exactly how much house you can afford. By analyzing your income, monthly debts, down payment, and current mortgage rates, this mortgage affordability calculator provides a realistic budget.
You Can Afford Up To
Based on a $0 monthly payment
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What is the 28/36 Rule?
Lenders use the 28/36 rule to determine mortgage affordability. Spend a maximum of 28% of gross monthly income on housing (PITI) and no more than 36% on total debt.
How Does This Home Affordability Calculator Work?
Our home affordability calculator uses your financial inputs to reverse-engineer the maximum home price you can afford. It calculates your maximum allowable monthly payment based on standard lender Debt-to-Income (DTI) ratios, subtracts estimated taxes, insurance, and HOA fees, and then determines the maximum loan amount that payment can support at your given interest rate.
Factors That Affect How Much House You Can Afford
- Income & Debts: Your gross income and existing monthly debt payments dictate your DTI ratio.
- Down Payment: A larger down payment increases your purchasing power and can eliminate PMI.
- Interest Rates: Even a 0.5% change in mortgage rates drastically impacts affordability.
Frequently Asked Questions
How much house can I afford?
Depends on income, monthly debts, down payment, and current mortgage interest rates. A common guideline is the 28/36 rule.
What is a home affordability calculator?
A financial tool that estimates the maximum home price you can comfortably purchase.
How accurate is this mortgage affordability calculator?
Highly accurate based on inputs, including PITI and PMI. Actual affordability depends on credit score and lender.
What does the 28/36 rule mean?
Spend max 28% of gross monthly income on housing expenses, and no more than 36% on total debt service.
Should I include PMI and taxes?
Yes, include Property Taxes, Homeowners Insurance, and PMI if down payment is less than 20%.
How much down payment do I need?
20% avoids PMI, but 3% to 5% is common for conventional loans, or 3.5% with FHA loans.
Can I afford a house with my current income and debt?
Calculate DTI. If total debts plus new housing payment are below 36% to 43% of gross income, you are generally in a good position.
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This home affordability calculator provides estimates only. Consult a lender for official pre-approval.