How to use it
- Enter your monthly gross income.
- Enter your debt-to-income ratio as a decimal.
- Enter your down payment amount in dollars.
- Read the maximum payment and house price results.
What it does – The tool uses your gross monthly income, debt‑to‑income ratio and down payment to output two key numbers: the maximum monthly housing payment you can afford and the highest home price you could buy. Why it matters – Staying within these limits protects you from unaffordable debt, aligns with lender rules, and narrows your home search to realistic options. How to read the results – Maximum Monthly Payment is the most you should spend each month on mortgage, taxes and insurance. Maximum House Price translates that payment into the top price you can consider given your down payment. Use these figures to filter listings, set budgets, and move forward with confidence.
Pro tips
- Round your DTI ratio to two decimal places for accuracy.
- Add a 5‑10% cushion to the max payment to cover unexpected costs.
- Enter the down payment as the total cash amount, not a percentage.
- Double‑check that your income figure is before taxes.
Real-life examples
- First‑time buyer estimating affordability before house hunting.
- Homeowner considering refinancing and wanting to compare current payments to affordable limits.
- Real‑estate investor sizing up a rental property purchase based on cash available.
Case study
Maria earned $6,000 gross monthly, had a 0.40 DTI ratio and $30,000 saved for a down payment. The calculator showed a $3,750 max monthly payment and a $150,000 max house price, letting her focus on homes within her budget and close a deal in weeks.