Lenders commonly use debt-to-income ratio guidelines to assess mortgage affordability, often citing a 36% total debt-to-income ceiling (including the new mortgage payment) as a widely used rule of thumb for a manageable home purchase.
This calculator applies that 36% guideline to your annual income, subtracts your existing monthly debt payments to find your maximum affordable mortgage payment, then works backward through a standard mortgage formula (using your specified interest rate and a 30-year term) to estimate a corresponding affordable home price, adding back your down payment.
This gives a rough starting estimate based on one common lending guideline, not an actual mortgage pre-approval — actual affordability depends on your specific lender's criteria, credit profile, property taxes, insurance, and other factors not captured in this simplified calculation.
Because everything runs locally in your browser, results appear instantly and nothing you type or upload is ever sent to a server.
Bookmark this page if you expect to use this tool regularly — it loads fast and behaves the same way every time, with no account needed.
This kind of task shows up constantly in everyday writing, coding, design, and admin work, which is exactly why a dedicated, focused tool saves so much back-and-forth.
Frequently asked questions
Is 36% debt-to-income always the right guideline to use?
It's a widely cited common guideline, but actual lending standards vary by lender and loan type — some allow higher ratios under certain circumstances, so treat this as a general reference point rather than a strict universal rule.
Does this include property taxes and insurance in the affordability estimate?
No, this estimates based on principal and interest only; actual monthly housing costs also include property tax and homeowner's insurance, which would reduce the affordable price further in a complete calculation.