Our free mortgage affordability calculator helps you figure out exactly how much house you can afford based on your income, down payment, and loan details. It automatically factors in property taxes, insurance, and even private mortgage insurance (PMI) if you need it. You’ll get an instant monthly payment estimate (PITI) and see if it fits common lender guidelines, so you can shop for homes with confidence.
Mortgage Affordability Calculator
Find out if the home you want fits your budget. Uses your income, down payment, loan details, and estimated costs.
How to use the mortgage affordability calculator
Step 1 – Enter the house price
Type in the purchase price of the home you’re considering. This is the total price before any down payment.
Step 2 – Add your annual income
Enter your total yearly income before taxes. Lenders typically use gross income to determine affordability.
Step 3 – Enter your down payment
Type the amount of cash you plan to put toward the home at closing. If this is less than 20% of the home price, the calculator will ask if you want to include PMI.
Step 4 – Add your credit score
Enter your credit score. If you don’t know the exact interest rate you’ll get, the calculator will estimate one based on your score.
Step 5 – Set your loan term
Choose your loan length, such as a 30-year fixed, 20-year, or 15-year mortgage. Shorter terms mean higher monthly payments but less interest over the life of the loan.
Step 6 – Property taxes and insurance
If you know the exact annual property tax or insurance cost, enter it here. If you leave them blank, the calculator will estimate based on average rates.
Step 7 – Decide on PMI
If your down payment is under 20%, you’ll see a PMI section. PMI is an extra monthly cost that protects the lender. We recommend checking “yes” if you aren’t sure, so you don’t underestimate your payment.
Step 8 – Click calculate
Hit the “Calculate Affordability” button. The calculator will instantly show:
- Your estimated monthly payment (PITI, and PMI if selected)
- The maximum monthly payment you can afford using the 28% rule
- Whether your purchase fits within those guidelines
Tips for using your results
- If your payment is higher than the affordable amount shown, try increasing your down payment, looking at a lower home price, or choosing a longer loan term.
- Including PMI when unsure gives you a safer estimate and avoids surprise costs later.
- Remember that other debts like car loans or credit cards will also affect lender approval.