US Home Affordability Calculator (28/36 DTI Rule)
Determine your maximum home purchase price and loan budget based on annual income, monthly debts, and the standard 28/36 debt-to-income rule.
Determine your maximum home purchase price and loan budget based on annual income, monthly debts, and the standard 28/36 debt-to-income rule.
Determine your maximum home purchase price and loan budget based on annual income, monthly debts, and the standard 28/36 debt-to-income rule. Calculate exact, penny-accurate projections compliant with 2026 IRS • St. Louis FED (FRED) standards using Calconova's deterministic IEEE-754 (Decimal.js) calculation engine with instant breakdowns.
Requires a maximum monthly mortgage payment of $2,800.00 / month (PITI + HOA).
\text{Max Housing} = \min\left(0.28 \times \text{Income}_{\text{mo}}, \, 0.36 \times \text{Income}_{\text{mo}} - \text{Debts}\right), \quad P_{\text{home}} = \frac{\text{P&I} + \text{Tax} + \text{Down} \cdot f}{f + r_{\text{tax}}}Constrains maximum monthly payment to the lower of the front-end (28%) and back-end (36%) limits, then solves for the purchase price based on amortization and property tax rates.
All calculations, amortizations, and scenario projections displayed on this page are strictly for informational and educational purposes. Nothing herein constitutes investment, financial, tax, underwriting, or legal advice. Actual interest rates, closing costs, lender fees, and statutory criteria may vary. Calconova explicitly disclaims all liability for any financial decisions or actions taken based upon these calculations. Users are strongly advised to consult a certified financial planner, CPA, or licensed lending officer prior to executing financial commitments.
Lenders commonly apply the 28/36 rule: your total monthly housing cost (Principal, Interest, Taxes, Insurance, and HOA) should not exceed 28% of your gross monthly income (front-end ratio), and your total monthly debt payments (housing + student loans, car loans, credit cards) should not exceed 36% (back-end ratio).
Yes. FHA loans often allow back-end DTI ratios up to 43%–50% with compensating factors. Fannie Mae and Freddie Mac automated underwriting systems (DU/LP) frequently approve conventional loans up to 45%–50% DTI for borrowers with strong credit scores and cash reserves.
Every dollar committed to fixed monthly debt directly subtracts from your borrowing capacity. For example, a $500/month car payment reduces the mortgage amount you qualify for by roughly $75,000 to $85,000 at current mortgage interest rates.
Beyond your mortgage PITI payment, financial planners advise budgeting 1% to 2% of your home's total value annually for ongoing maintenance and repairs, plus utilities and periodic special assessments.
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