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Calculators / Finance / House affordability
House affordability calculator
Estimate a home-price ceiling from income, debt ratio, rate and down? No—model the supported mortgage from an available monthly housing payment.
On this page
Available mortgage payment1,740
Supported mortgage324,130.01
Indicative home price374,130.01
Calculator controls
How to calculate
Estimate a home-price ceiling from income, debt ratio, rate and down? No—model the supported mortgage from an available monthly housing payment.
Available mortgage payment = income*ratio/100-other; Supported mortgage = (income*ratio/100-other)*(1-(1+apr/1200)^(-months))/(apr/1200); Indicative home price = down+(income*ratio/100-other)*(1-(1+apr/1200)^(-months))/(apr/1200)
Worked example
Gross monthly income: 8000; Maximum housing ratio (%): 28; Monthly housing costs excluding mortgage: 500; Mortgage interest (%): 5; Loan term (months): 360; Down payment: 50000.
Available mortgage payment: 1,740 ; Supported mortgage: 324,130.01 ; Indicative home price: 374,130.01 .
Assumptions and limits
Affordability rules and qualifying rates vary by lender and country. Include taxes, insurance, association fees and stress-test requirements in other housing costs.
Results are rounded for display; calculations use unrounded values. Read our calculation methodology.
Understanding the result
Estimate a home-price ceiling from income, debt ratio, rate and down? No—model the supported mortgage from an available monthly housing payment. The displayed figures use the inputs and formula shown on this page.
When this tool is useful
Use the house affordability to compare a scenario, check an estimate, or verify a manual calculation.
Understanding your inputs
| Input | What to enter |
|---|---|
| Gross monthly income | Enter a number of at least 0.000001 and no more than 1000000000000. |
| Maximum housing ratio (%) | Enter a number of at least 1 and no more than 100. |
| Monthly housing costs excluding mortgage | Enter a number of at least 0 and no more than 1000000000000. |
| Mortgage interest (%) | Enter a number of at least 0.000001 and no more than 100. |
| Loan term (months) | Enter a number of at least 1 and no more than 1200. |
| Down payment | Enter a number of at least 0 and no more than 1000000000000. |
Frequently asked questions
What should I check before using the house affordability result?
Affordability rules and qualifying rates vary by lender and country. Include taxes, insurance, association fees and stress-test requirements in other housing costs.
Is this house affordability result exact?
It is exact for the stated mathematical model and entered values. Real-world results can differ when rates, timing, fees, definitions or measurement conditions differ.