How Much House Can I Afford?
Find out exactly how much house you can afford based on your salary, monthly debts, and down payment. Uses the 28/36 rule lenders actually use. 2026 US rates.
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How it works
Calculation methodology
How Lenders Calculate What You Can Afford
Your maximum loan approval isn’t random — it’s based on the 28/36 rule that virtually every conventional lender uses. The front-end ratio caps your total housing payment at 28% of gross monthly income. The back-end ratio caps all your debt payments at 36%.
What Goes Into PITI
Your “housing payment” for qualification purposes includes all four components of PITI: Principal (reduces your loan balance), Interest (cost of borrowing), Taxes (property tax escrowed monthly), and Insurance (homeowners insurance plus PMI if down payment is under 20%).
Why Existing Debt Destroys Buying Power
On a $90,000 salary, your 28% housing limit is $2,100/month. If you have a $600/month car payment and $200/month in student loan minimums, you’ve already used $800 of your 36% back-end limit ($2,700). That leaves only $1,900/month for housing — not the $2,100 the front-end alone would allow. Your effective buying power dropped by $30,000+ before even talking to a lender.
2026 Market Context
The FHFA conforming loan limit is $832,750. FHA loans allow 3.5% down with 580+ FICO. VA loans offer 0% down for eligible veterans and active military. First-time buyer programs vary by state — many offer $5,000–$25,000 in down payment assistance grants.
Once you know your target price range, use our Mortgage Calculator to see the exact monthly payment, full amortization schedule, and total interest paid. The Freddie Mac average 30-year fixed rate was 7.28% in the week of October 1, 2026.
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