Home Affordability Calculator

Compare a comfortable ownership target with a selected upper limit and closing cash. No credit application or account connection needed.

Your comfort target

Monthly ownership target (USD)

Includes principal, interest, property costs and upkeep. This is your target, not loan approval.

Income and household budget

Gross income period

Gross household income (USD)

Existing monthly debt (USD)

Monthly take-home pay (USD, optional)

Other monthly spending (USD)

Retained monthly buffer (USD)

Selected guidelines

Back-end debt limit (%)

Also apply a front-end housing cap

Front-end housing limit (%)

Guidelines are user-selected comparisons. Gross income ratios do not measure disposable income.

Loan

Down payment basis

Down payment amount (USD)

Down payment (%)

Mortgage note rate (%)

Loan term (years)

Mortgage insurance assumption

Annual mortgage premium (% of base loan)

Upfront program fee (% of base loan)

Upfront fee treatment

Use quoted program fees and premiums. LTV tiers are editable planning illustrations, not eligibility rules or insurance quotes.

Property

Property tax basis

Property tax (% per year)

Annual property tax (USD)

Home insurance basis

Annual home insurance (USD)

Home insurance (% per year)

Monthly HOA (USD)

Annual upkeep (% of price)

Closing cash and reserves Apply closing-cash limit

Total available cash (USD)

Retained reserve floor (USD)

Closing costs (% of price)

Additional fixed closing costs (USD)

Down payment, closing costs and retained reserves use separate parts of the same cash balance.

Comfortable target—

Selected upper limit—

Housing allowance / month—

Housing payment / month—

Comfort ownership / month—

Down payment—

Closing costs—

Cash at closing—

Reserve after closing—

Total debt / gross income—

Take-home margin / month—

Selected upper-limit monthly breakdown
Component	USD per month

Other spending includes only the amount you enter. Utilities, moving, tax changes and other omitted living costs are not inferred.

Calculation checks

Affordable price across assumed rates

Three comparisons use the current note rate and nearby rates within 0–100%. These are assumptions, not live quotes.

Rate sensitivity using the same down-payment and cash assumptions
Note rate (%)	Comfortable target (USD)	Selected upper limit (USD)	Cash ceiling (USD)

Alternative down-payment percentages; other assumptions unchanged
Down payment (%)

Household budget planner

With zero changes, this case matches the Calculator. Changes apply only to this planner case.

Annual gross income change (USD, signed)

Monthly debt change (USD, signed)

Monthly budget income basis

Monthly household budget on one income basis
Component	USD per month

Buyer budget brief

Remember this plan on this device Include financial details in Copy, CSV and Print

Exports omit financial details unless selected. The source link always excludes private query and hash data.

Buyer budget brief

2 min read 5 steps 6 terms 3 examples 5 FAQs H = min(I × f, I × b − D)

The comfort target includes upkeep and never exceeds the selected housing allowance or enabled closing-cash limit.

YMYL Reviewed by Calculover Editorial Review · Updated 2026-05-10 · 3 sources

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Walk-through

How to Use This Calculator

5 steps

Your comfort target

Enter gross income, existing debt and a monthly ownership target. Optional take-home pay, spending and a retained buffer describe a separate household budget.

Loan

Choose a fixed down payment, a percent of price or all cash. Enter an assumed note rate, term, mortgage-insurance premium and any upfront program fee.

Property

Choose annual dollars or a price percentage for tax and insurance. Add HOA and upkeep. Only the selected basis enters each monthly calculation.

Closing cash and reserves

Enter total cash and a reserve floor, then closing costs. The calculator allocates this cash once across down payment, closing and retained reserves.

Selected upper limit

Compare the comfort target, upper limit and binding constraint. Rate scenarios and the planner use the same model; exports require an explicit financial-details choice.

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Reference

Formula & Methodology

3 formulas

Selected guidelines

H = min(I × f, I × b − D)

The optional front-end housing cap and the back-end total-debt cap are separate. The smaller available housing allowance applies; no cap represents loan approval.

Loan

M = P × r / (1 − (1 + r)^(-n)); r = 0: M = P/n

P is the financed loan including any financed upfront fee; r is monthly note rate and n is months. At zero rate, principal and interest equal P/n.

Closing cash and reserves

C(P) + R ≤ A; C(P) = DP(P) + CC(P) + U_cash(P)

Available cash minus retained reserve must cover down payment, closing costs and upfront fees paid in cash. Deposits, credits and local adjustments are not modeled.

✓

YMYL

Trust, Methodology & Sources

Reviewed by Calculover Editorial Review · Updated 2026-05-10 · 3 sources

Editorial accountability

Author: Quinn Sumner - Editor

Owner: Quinn Sumner - Editorial owner

Reviewer: Calculover Editorial Review - Source and limitation review

Last reviewed: 2026-05-10

Last verified: 2026-05-10

Data effective: 2026-05-10

Methodology

The optional front-end housing cap and the back-end total-debt cap are separate. The smaller available housing allowance applies; no cap represents loan approval. P is the financed loan including any financed upfront fee; r is monthly note rate and n is months. At zero rate, principal and interest equal P/n. Available cash minus retained reserve must cover down payment, closing costs and upfront fees paid in cash. Deposits, credits and local adjustments are not modeled.

Assumption: No. Rate, tax, insurance, upkeep, closing costs and LTV premium tiers are editable illustrations. Replace them with your local costs and lender quotes.

Assumption: Three comparisons use the current note rate and nearby rates within 0–100%. These are assumptions, not live quotes.

Assumption: The upper limit satisfies the selected gross-income guidelines and any enabled cash limit. Upkeep is shown separately from the housing costs used for DTI.

Limitations & guidance

Available cash minus retained reserve must cover down payment, closing costs and upfront fees paid in cash. Deposits, credits and local adjustments are not modeled.

Other spending includes only the amount you enter. Utilities, moving, tax changes and other omitted living costs are not inferred.

No. The presets are comparisons only. The CFPB removed the old General QM 43% DTI limit; this calculator does not test legal mortgage status or lender eligibility.

Professional guidance: Planning estimate under entered assumptions; not loan approval.

Primary sources

Loan Estimate Explainer - Consumer Financial Protection Bureau

Determine your down payment - Consumer Financial Protection Bureau

General QM Loan Definition: removal of the 43% DTI limit - Consumer Financial Protection Bureau

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Glossary

Key Terms Explained

6 terms

Comfortable target The comfort target includes upkeep and never exceeds the selected housing allowance or enabled closing-cash limit. It is a chosen planning target, not a promise.

Selected upper limit The upper limit satisfies the selected gross-income guidelines and any enabled cash limit. Upkeep is shown separately from the housing costs used for DTI.

Retained reserve floor A reserve is money kept after closing. It is not a second source of down-payment funds and is never added to available cash.

Cash at closing Available cash minus retained reserve must cover down payment, closing costs and upfront fees paid in cash. Deposits, credits and local adjustments are not modeled.

Take-home margin / month Take-home margin subtracts ownership costs, existing debt, entered spending and the retained monthly buffer from take-home pay. Negative margins remain visible.

Mortgage insurance No. Rate, tax, insurance, upkeep, closing costs and LTV premium tiers are editable illustrations. Replace them with your local costs and lender quotes.

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Scenarios

Real-World Examples

3 worked examples

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Income and household budget

Planning estimate under entered assumptions; not loan approval.

Gross household income (USD) 120000 / year Existing monthly debt (USD) 600 / month Back-end debt limit (%) 36

Annual income USD120,000 gives USD10,000 monthly. At 36% total debt, subtract USD600 existing debt: housing allowance is USD3,000 before property costs.

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Loan

Planning estimate under entered assumptions; not loan approval.

Monthly ownership target (USD) 1000; P&I only Mortgage note rate (%) 0 Loan term (years) 10 Down payment amount (USD) 20000

With USD1,000 for principal and interest, zero note rate and 120 months, the loan is USD120,000. A fixed USD20,000 down payment gives USD140,000 before other constraints.

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Closing cash and reserves

Planning estimate under entered assumptions; not loan approval.

Total available cash (USD) 50000 Retained reserve floor (USD) 10000 Down payment (%) 20 Closing costs (% of price) 5

USD50,000 cash minus USD10,000 reserves leaves USD40,000. Dividing by 20% down plus 5% closing gives USD160,000: down USD32,000 and closing USD8,000.

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Reference

Cite This Calculator

APA & MLA

Use either format to cite this calculator in a paper, report, or resource list.

APA

MLA

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Deep Dive

Household budget planner

3 chapters · 2 min read

The comfort target includes upkeep and never exceeds the selected housing allowance or enabled closing-cash limit. It is a chosen planning target, not a promise.

Selected guidelines

The optional front-end housing cap and the back-end total-debt cap are separate. The smaller available housing allowance applies; no cap represents loan approval.

No. The presets are comparisons only. The CFPB removed the old General QM 43% DTI limit; this calculator does not test legal mortgage status or lender eligibility.

Closing cash and reserves

Available cash minus retained reserve must cover down payment, closing costs and upfront fees paid in cash. Deposits, credits and local adjustments are not modeled.

A reserve is money kept after closing. It is not a second source of down-payment funds and is never added to available cash.

Take-home budget

Take-home margin subtracts ownership costs, existing debt, entered spending and the retained monthly buffer from take-home pay. Negative margins remain visible.

No. Rate, tax, insurance, upkeep, closing costs and LTV premium tiers are editable illustrations. Replace them with your local costs and lender quotes.

Financial values stay in this tab unless local memory, financial export or a reviewed financial link is explicitly selected. Source links omit private URL parameters.

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Questions

Frequently Asked Questions

5 questions

Does a DTI preset approve a loan?+

No. The presets are comparisons only. The CFPB removed the old General QM 43% DTI limit; this calculator does not test legal mortgage status or lender eligibility.

Are the starting costs market quotes?+

No. Rate, tax, insurance, upkeep, closing costs and LTV premium tiers are editable illustrations. Replace them with your local costs and lender quotes.

How is closing cash different from a down payment?+

Available cash minus retained reserve must cover down payment, closing costs and upfront fees paid in cash. Deposits, credits and local adjustments are not modeled.

Why can the household margin be negative?+

Take-home margin subtracts ownership costs, existing debt, entered spending and the retained monthly buffer from take-home pay. Negative margins remain visible.

Which data are saved or exported?+

Financial values stay in this tab unless local memory, financial export or a reviewed financial link is explicitly selected. Source links omit private URL parameters.

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Home Affordability Calculator

Affordable price across assumed rates

Household budget planner

Closing-cash savings timeline

Buyer budget brief

Buyer budget brief

How to Use This Calculator

Your comfort target

Loan

Property

Closing cash and reserves

Selected upper limit

Formula & Methodology

Trust, Methodology & Sources

Key Terms Explained

Real-World Examples

Income and household budget

Loan

Closing cash and reserves

Cite This Calculator

Household budget planner

Selected guidelines

Closing cash and reserves

Take-home budget

Frequently Asked Questions

Get a branded PDF of your results

Affordable price across assumed rates

Household budget planner

Closing-cash savings timeline

Buyer budget brief

Buyer budget brief

How to Use This Calculator

Your comfort target

Loan

Property

Closing cash and reserves

Selected upper limit

Formula & Methodology

Trust, Methodology & Sources

Key Terms Explained

Real-World Examples

Cite This Calculator

Household budget planner

Selected guidelines

Closing cash and reserves

Take-home budget

Frequently Asked Questions

Get a branded PDF of your results

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