How much house can I afford?
Lenders commonly use a guideline called the 28/36 rule: housing costs should stay under 28% of your gross monthly income, and all your monthly debts (housing plus car payments, student loans, minimum credit-card payments, and so on) should stay under 36%. This calculator applies that rule to your numbers and works backward to an estimated home price. All math happens in your browser — nothing is sent anywhere.
What the 28/36 rule is really saying
The "28" protects your day-to-day budget: if housing eats more than about a quarter of gross pay, one surprise expense can cascade. The "36" protects your total debt load: a mortgage on top of heavy car and student-loan payments is how people become "house poor" — owning a home they can't comfortably afford to live in.
Why the estimate can be off
- Property taxes vary wildly. 2% is a middle-of-the-road guess; some states run under 1%, others over 2.5%.
- Insurance depends on location and coverage. Flood and wind zones cost more.
- HOA dues aren't included. Add them to your monthly budget separately — see the payment calculator.
- Your rate is a guess. The rate you actually qualify for depends on credit, loan type, and market conditions. Try the calculator at a rate a point higher and a point lower to see your range.
Educational content — not financial advice. This calculator applies a widely used budgeting guideline for teaching purposes. It is not a pre-approval, a loan offer, or a recommendation of what you should borrow. Talk to a qualified professional about your situation.