Estimate how much home may fit your budget by comparing your income, monthly debts, down payment, estimated mortgage payment, Housing DTI, and Back-End DTI.
Affordability Rule
Affordability Status: Moderate
estimated affordable home price
Monthly Payment
$3,100
Total PITI + HOA + PMI
Housing DTI
31.0%
Limit: 31%
Back-End DTI
31.0%
Limit: 43%
Loan Amount
$386K
13% down
Down Payment
$60,000
At closing
Monthly P&I
$2,504
Principal and interest
Monthly Tax
$446
Estimated
Monthly Insurance
$150
Home insurance
Cash Needed
$78K
Down + closing + reserves
Max Housing Payment
$3,100
At 31% front-end limit
Remaining Income
$6,900
After housing and debts
Your income-to-housing ratio is the limiting factor
Your front-end housing DTI limit (31%) is the binding constraint. Your income supports up to $3,100/mo for housing.
The CFPB's free Your Home Loan Toolkit has worksheets for estimating your total monthly payment, checking what share of your income it takes up, and seeing how much cash you'll have left over.
Housing DTI (Front-End)
How much of your income goes to the house payment
Back-End DTI (Total Debt)
How much of your income goes to all debts combined
Monthly Payment Breakdown
What makes up your $3,100/mo payment
Affordability at Different Rules
How DTI limits affect your estimated price range
Cash Needed to Buy
Total: $78,382 to close
Monthly Income Allocation
How $10,000/mo gross income is used
How each change would affect your estimated affordable price from the current scenario.
Lower rate
-0.5% on interest rate
+$18K
to affordable price
Bigger down payment
+$10,000 down
+$9K
to affordable price
Less monthly debt
-$200/mo debt
+$0
to affordable price
15-year term
Switch to 15-yr
-$93K
to affordable price
Lower property tax
-0.3% tax rate
+$15K
to affordable price
Housing DTI (Front-End)
Monthly housing payment includes: Principal and interest, property tax, homeowners insurance, HOA fees, and PMI.
Back-End DTI (Total Debt)
All monthly debts include: car loans, student loans, minimum credit card payments, personal loans, child support, and alimony.
Think of it like a bucket of money
Your monthly income is like a bucket of money. Your house payment takes one scoop from the bucket. Your car, credit cards, student loans, and other debts take more scoops. DTI tells you how much of the bucket is already spoken for before you pay for groceries, gas, savings, and life.