The question that keeps first-time buyers up at night
How Much House Can I Afford?
Punch in your income and debts. We'll tell you the truth — even if it's not what you want to hear. 😅
Uses the 28/36 rule — the same formula lenders actually use to decide your fate.
🤔 The million-dollar question (maybe literally): Banks use the 28/36 rule to decide how much money they'll trust you with. This calculator uses the exact same math to find your maximum home price. Think of it as a financial reality check — but a friendly one.
Be honest — the calculator won't judge you. Hover the ⓘ icons for plain-English explanations.
Maximum Home Price
$269,032
based on the 28% rule — this is your ceiling
Comfortable
$228,677
Still have a life
Max Affordable
$269,032
The official limit
Stretch
$295,935
Hope you like ramen
Monthly Breakdown (at Max Price)
Mortgage (P&I)
$1,448
Property Tax
$269
Home Insurance
$150
Total Housing Cost
$1,867
Your DTI Scorecard
Three price ranges — pick your comfort level
🔢 Got a price range? Let's get specific.
Now that you know what you can afford, plug a specific home price into our Mortgage Calculator to see your exact monthly payment, amortization schedule, and total interest.
Open Mortgage Calculator →This is the formula banks actually use. Now you know their secret:
28% Rule — Housing Costs
Max housing: $1,867/month
(28% × $6,667 monthly income)
36% Rule — All Debts Combined
Max for housing after debts: $2,000/month
(36% × $6,667 − $400 existing debts)
We use the stricter of the two (28% rule) because that's what a responsible lender does. And we're responsible. Mostly.
Slay your debts first. Every $300/month in debt you eliminate adds roughly $50K–$80K to your buying power. That car payment might be costing you a bedroom.
Stack that down payment. A bigger down payment directly increases what you can afford AND may kill PMI. Double win.
Buff your credit score. Higher score → lower rate → more home for the same monthly payment. It's the ultimate life hack for home buying.
Go long on the term. A 30-year term has lower monthly payments than 15, which means a higher max price. The trade-off: you pay more interest total. But hey, you can always pay extra.
Can I actually buy more than the "max affordable" amount?
Technically, yes — some banks will approve you for more. But just because you CAN doesn't mean you SHOULD. Being "house poor" (gorgeous house, empty fridge) is a real thing. We recommend the "Comfortable" range if you enjoy things like vacations and eating out.
What if I'm self-employed?
Use your net income (after business expenses). Fair warning: lenders will want 2 years of tax returns and will scrutinize every deduction. That home office write-off? It just lowered your borrowing power. The irony is real.
Gross income or net — which do I use?
Banks use gross (pre-tax). That's what this calculator uses too. But here's the thing: your actual take-home is lower, so the "Comfortable" range is probably closer to what feels right in real life.
What about closing costs?
Ah yes, the surprise at the finish line. Budget 2–5% of the home price for closing costs ON TOP of your down payment. On a $300K home, that's $6K–$15K extra. Nobody warns you about this, so we just did. You're welcome.