Home Affordability Calculator

Determine how much house you can afford based on your income, debts, and financial situation with professional DTI analysis.

Income Information

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$
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Monthly Debts

Add Monthly Debt
Total Monthly Debts: $0

Debt-to-Income Ratio

0%
Back-end DTI Ratio
0% 36% 43% 50%+

Maximum Home Price

$0
Based on 28/36 rule
Max Loan
$0
Monthly Payment
$0

Affordability Analysis

Income Allocation

Monthly Gross Income: $0
Max Housing Payment (28%): $0
Max Total Debt (36%): $0
Available for Housing: $0

Recommendations

Payment Breakdown by Home Price

Understanding Debt-to-Income (DTI) Ratios

Lenders use your Debt-to-Income (DTI) ratio as a primary way to measure your ability to manage monthly payments and repay the money you plan to borrow.

Front-End Ratio (Housing Ratio)

This is the percentage of your gross monthly income that goes toward housing costs.

Ideal: 28% or lower.
Includes: Principal, Interest, Taxes, Insurance (PITI), and HOA fees.

Back-End Ratio (Total Debt Ratio)

This measures the portion of your income needed to cover all of your monthly debt obligations.

Ideal: 36% or lower.
Includes: Housing costs PLUS credit cards, car loans, student loans, etc.

How to Improve Your Affordability

  • Pay down debt: Reducing monthly obligations lowers your DTI and increases your borrowing power.
  • Increase down payment: A larger down payment lowers your monthly mortgage payment and can remove the need for Private Mortgage Insurance (PMI).
  • Check your credit score: A higher score often secures a lower interest rate, which reduces your monthly payment.