Wealthy PotHome Affordability Calculator
How much house can you afford? Find the highest home price that fits your income, debts and down payment under the 28/36 rule, FHA and Fannie Mae limits, at today's average mortgage rate, with taxes, insurance and PMI included.
How to use the home affordability calculator
Enter your gross household income, your monthly debt payments and your down payment. The calculator finds the highest home price whose full monthly payment (principal, interest, property tax, insurance, mortgage insurance and HOA dues) fits the debt-to-income limit you choose, and shows the same answer under the other common limits so you can see the range from comfortable to the most a lender might approve.
How much house can you afford by income
Under the 28/36 rule, at 7.4% for 30 years, with $400 a month of other debts and a down payment worth 60% of a year's income:
| Income | Down payment | Home price | Monthly payment |
|---|---|---|---|
| $50,000 | $30,000 | $150,000 | $1,087 |
| $75,000 | $45,000 | $237,502 | $1,750 |
| $100,000 | $60,000 | $322,579 | $2,333 |
| $125,000 | $75,000 | $407,656 | $2,917 |
| $150,000 | $90,000 | $492,732 | $3,500 |
| $200,000 | $120,000 | $662,886 | $4,667 |
| $250,000 | $150,000 | $833,039 | $5,833 |
Property tax at 0.89% of the price a year, insurance at $1,737 a year and PMI at 0.6% of the loan under 20% down. Your area may differ a lot: see property tax by state and home insurance costs.
How mortgage rates change what you can afford
A $100,000 income, $60,000 down and $400 of other debts, 28/36 rule:
| 30-year rate | Home price | Principal and interest |
|---|---|---|
| 5.5% | $369,858 | $1,759 |
| 6% | $356,259 | $1,776 |
| 6.5% | $343,520 | $1,792 |
| 7% | $331,585 | $1,807 |
| 7.4% (current average) | $322,579 | $1,818 |
| 8% | $309,913 | $1,834 |
The debt-to-income limits
- 28/36 rule of thumb. Housing up to 28% of gross income, all debts up to 36%. Not an agency rule, but a sensible target for a payment you can carry comfortably.
- FHA: 31/43. HUD's standard limits for manually underwritten FHA loans: the total mortgage payment up to 31% of effective income and all fixed payments up to 43%, with room up to 37/47 or 40/50 when the borrower has compensating factors such as cash reserves.
- Fannie Mae: 36% total. The maximum total debt-to-income ratio for manually underwritten conventional loans, up to 45% with the required credit score and reserves.
- Stretch: 50% total. The most Fannie Mae accepts when its automated underwriting system approves the loan. Being approved at this level does not make the payment comfortable.
FHA vs conventional
FHA loans need as little as 3.5% down. They add an upfront mortgage insurance premium of 1.75% of the loan, usually financed, and an annual premium, typically 0.55% of the loan on a 30-year mortgage with less than 5% down, paid for the life of the loan. Conventional loans with under 20% down carry private mortgage insurance, which can be cancelled once you reach 20% equity. The calculator applies HUD's full premium chart, by loan size, down payment and term. For a payment on a specific house, use the mortgage calculator; to weigh buying against renting, our rent vs buy guide and calculator.
About the data
Mortgage rates: Freddie Mac Primary Mortgage Market Survey, week of October 8, 2026. Debt-to-income limits: Fannie Mae Selling Guide B3-6-02 (April 2, 2025) and HUD Handbook 4000.1 (revised August 12, 2026), including the FHA mortgage insurance premium chart (Appendix 1.0). PMI range: Freddie Mac. Property tax default: ratio of the Census Bureau's 2024 median real estate taxes paid ($3,211) to the median home value ($360,600). Insurance default: NAIC average homeowners (HO-3) premium for 2023. Estimates for general information, not a loan approval or financial advice.
Frequently Asked Questions
How much house can I afford on $100,000 a year?
About $322,579 with $60,000 down, $400 a month of other debts and a 7.4% 30-year rate, if you keep housing costs to 28% of gross income. That is a monthly payment of about $2,333 including property tax, insurance and PMI.
What is the 28/36 rule?
A common rule of thumb, not a lender requirement: spend no more than 28% of your gross monthly income on housing (mortgage, property tax, insurance, mortgage insurance and HOA dues) and no more than 36% on all debts combined, housing included.
What debt-to-income ratio do lenders allow?
It depends on the loan. Fannie Mae allows a total debt-to-income ratio of up to 36% on manually underwritten loans, or 45% with strong credit and reserves, and up to 50% when its automated system approves the loan. FHA's standard manual limits are 31% for the mortgage payment and 43% for all debts, higher with compensating factors such as cash reserves.
What counts as debt in the debt-to-income ratio?
Your new housing payment plus monthly payments on car loans, student loans, credit card minimums, other installment loans, leases and alimony or child support. Everyday bills such as utilities, phone and groceries do not count, but they still have to fit in your budget.
How much do I need for a down payment?
FHA loans need at least 3.5% down. Conventional loans with less than 20% down require private mortgage insurance, which Freddie Mac puts at roughly $30 to $70 a month for every $100,000 borrowed. With 20% down there is no PMI.
Which mortgage rate does the calculator use?
Freddie Mac's weekly survey average: 7.4% for a 30-year fixed loan and 6.73% for a 15-year loan as of October 8, 2026. Your own rate depends on your credit, down payment and lender, so change it to the rate you are quoted.
