Mortgage Affordability Calculator

Find out what you can afford based on your income and current market rates. This calculator is pre-filled with today's national median home price and the latest 30-year fixed mortgage rate.

What is PITI?

Principal + Interest + Taxes + Insurance. These four components make up your total monthly housing payment. If you put less than 20% down, PMI (Private Mortgage Insurance) is added as a fifth cost.

The 28/36 Rule

Lenders use two ratios to qualify borrowers. The front-end ratio (28%) caps housing costs at 28% of gross monthly income. The back-end ratio (36%) caps all debt payments at 36%. Exceeding these limits reduces approval odds and signals financial stretch.

$440,411
20% ($88,082)
7.400%
1.2%
$1,500
$0
$120,000
Total Monthly Payment
$3,005
Stretching

You exceed the 28% guideline. Lenders may still approve, but budget carefully.

Monthly Breakdown

Principal & Interest $2,439
Property Tax $440
Home Insurance $125
Total $3,005

Debt-to-Income

28%
36%
Front-end DTI (housing / income) 30.0%
Monthly gross income $10,000

Lifetime Cost

Loan amount $352,329
Total interest paid (30 yrs) $525,874
Total cost of ownership $1,169,833
Current mortgage rate sourced from FRED (Freddie Mac Primary Mortgage Market Survey). Median home price from Redfin. This calculator is for educational purposes only and does not constitute financial advice.