Enter your details to see how much house you can afford…
Uses 28/36 rule: 28% of income for housing, 36% total debt. Includes property tax, insurance, HOA, PMI. Shows max home price, monthly payment, and debt-to-income ratios.
Can you really afford that dream home? A House Affordability Calculator instantly reveals how much house you can buy based on income, debts, down payment, interest rates, and local costs—preventing overbuying and mortgage stress. In 2025, with median home prices at $412,300, 30-year rates at 6.8%, and DTI limits at 36–43%, this tool helps you stay within budget while factoring property taxes, insurance, PMI, and HOA fees. Whether you’re in California, Texas, UK, Australia, or UAE, Gcalculate.com delivers personalized home price ranges, monthly payment estimates, and pre-approval readiness in seconds. This SEO-optimized, human-written, copyright-free guide covers the House Affordability Calculator, rules of thumb, 2025 benchmarks, and pro tips—helping you buy confidently and avoid financial traps.
The calculator typically uses the debt-to-income (DTI) ratio, often recommending housing costs (mortgage, taxes, insurance) stay below 36% of gross income. For example, with a $5,000 monthly income and $1,000 in debts, a DTI of 36% suggests up to $1,800 for housing, supporting a home price of about $300,000 with a 20% down payment at 5% interest over 30 years.
Combines the 28/36 rule, DTI ratios, and loan qualification formulas to determine maximum home price and monthly payment.
Core Formula:
Steps:
| Income | Max Home Price (28/36 Rule) | Monthly Payment | Down Payment (20%) |
|---|---|---|---|
| $80,000 | $310,000 | $1,870 | $62,000 |
| $100,000 | $390,000 | $2,340 | $78,000 |
| $120,000 | $468,000 | $2,810 | $93,600 |
| $150,000 | $585,000 | $3,510 | $117,000 |
| $200,000 | $780,000 | $4,680 | $156,000 |
Rule of Thumb: Home price = 3–5× annual income
| Input | Value |
|---|---|
| Income | $100,000 |
| Debts | $500/mo |
| Down | $50,000 |
| Rate | 6.8% |
| Tax | 1.2% |
| Insurance | $1,200/yr |
Max Monthly: $2,333 (28%) Max Debt: $3,000 (36%) Max Home Price: $415,000 Loan: $365,000 Monthly P&I + Costs: $2,750
| Input | Value |
|---|---|
| Income | $80,000 |
| Down | 5% of price |
| PMI | 0.8% |
Max Home Price: $335,000 Down: $16,750 Loan: $318,250 Monthly: $2,410 (incl. PMI)
| Input | Value |
|---|---|
| Income | $200,000 |
| Debts | $1,500/mo |
| Down | $150,000 |
Max Home Price: $895,000 Monthly: $5,380
| Factor | Impact |
|---|---|
| Income | Higher = larger loan (3–5×) |
| DTI Ratio | 28/36 (conservative), 43% (FHA/VA) |
| Down Payment | 20% avoids PMI, lowers rate |
| Credit Score | 760+ = 0.5% lower rate |
| Property Tax | 0.3–2.5% of price |
| HOA/Insurance | $100–$500+/mo |
| PMI | 0.5–1% if <20% down |
| Region | Avg Income | Max Home Price | Monthly |
|---|---|---|---|
| USA | $75,000 | $360,000 | $2,160 |
| UK | £40,000 | £380,000 | £1,900 |
| Australia | AUD 95,000 | AUD 720,000 | AUD 4,100 |
| Canada | CAD 85,000 | CAD 680,000 | CAD 3,600 |
| UAE | AED 25,000/mo | AED 3.2M | AED 12,500 |
Use the House Affordability Calculator on Gcalculate.com → Input $120,000 income, $500 debt, $60,000 down → Get $525,000 max home, $3,150 monthly, pre-approval ready
Enter income ($100K), debts ($500), down ($50K) → get $415K max home, $2,750 monthly using 28/36 DTI.
$390,000–$468,000 (3–5× income), $2,340–$2,810 monthly at 6.8%.
Yes — 28% housing, 36% total debt keeps finances healthy.
Yes — input local rate (1.2% avg.) for true monthly cost.
PMI added ($100–$300/mo) until 20% equity.
Yes (FHA/VA) — but riskier. Stick to 36% for comfort.
760+ = 0.5% lower rate → $100–$200/mo more house.
A House Affordability Calculator is your 2025 home-buying compass—turning $120,000 income into a $525,000 home with $3,150/month and 20% down. On Gcalculate.com, factor DTI, PMI, taxes, and insurance for realistic budgets across USA, UK, AUS, UAE. Don’t guess—calculate, pre-approve, win.