Mortgage Calculator 2026 Free - How Much House Can I Afford?

Calculate Your Home Buying Power with 28/36 Rule, PMI, Taxes & Insurance Included

Professional mortgage calculator with verified data. Discover exactly how much house you can afford based on your income, debts, and location. Instant results, 100% free.

Financial Calculator

Free financial calculator to help you make informed decisions about your money.

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Monthly Amount

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How to use this calculator: Enter your financial information in the fields above. Results update automatically as you type. All calculations are performed locally in your browser - we never store or share your personal financial data.

How the Mortgage Calculator Works

Our mortgage calculator helps you estimate your monthly home payment by analyzing your loan amount, interest rate, and term. It calculates your principal and interest payment, then adds property taxes, homeowners insurance, and PMI (if applicable) to give you a complete picture of your housing costs.

1

Enter Home Price

Input the total purchase price of the home. This is typically the listing price or your accepted offer amount.

2

Set Down Payment

Enter your down payment amount or percentage. Traditional loans typically require 20% down, but many programs allow as little as 3-5%. A larger down payment reduces your loan amount and may eliminate PMI.

3

Input Interest Rate

Enter your mortgage interest rate. This is the annual percentage you pay on your loan. Rates vary based on credit score, loan type, and market conditions. Use current rate data or lender quotes for a more realistic scenario.

4

Choose Loan Term

Select your loan term (typically 15 or 30 years). A 30-year mortgage has lower monthly payments but costs more in total interest. A 15-year loan builds equity faster with higher monthly payments.

5

Add Property Details

Include estimated property taxes, homeowners insurance, and HOA fees. These costs are included in your monthly payment if you escrow them with your lender.

6

Calculate & Review

Review your complete monthly payment breakdown including principal, interest, taxes, insurance, and PMI. See your total interest cost over the life of the loan and get an amortization schedule.

Key Factors Considered:

  • Down payment amount (affects loan size and PMI)
  • Interest rate (impacts monthly payment and total cost)
  • Loan term (balances monthly payment vs total interest)
  • Property taxes (varies by location)
  • Homeowners insurance (protects your investment)
  • PMI (required if down payment < 20%)
  • HOA fees (if applicable to property)

Why Use a Mortgage Calculator?

  • Determine what home price you can afford based on your income and debts
  • Compare monthly payments across different loan scenarios
  • Understand how down payment affects your monthly costs
  • See the impact of interest rates on total loan cost
  • Plan your budget with accurate payment estimates
  • Calculate how much home you can afford without overextending
  • Prepare for homeownership costs beyond just the mortgage

Key Terms to Know

Principal
The amount you borrow to purchase the home. This decreases over time as you make payments.
Interest
The cost of borrowing money, expressed as an annual percentage rate. You pay more interest early in the loan.
PITI
Principal, Interest, Taxes, and Insurance - the four main components of your monthly mortgage payment.
PMI
Private Mortgage Insurance - required if your down payment is less than 20%. Typically costs 0.5-1% of loan amount annually.
Amortization
The process of paying off your loan over time through regular payments. Early payments are mostly interest, later payments are mostly principal.
Escrow
Money held by your lender to pay property taxes and insurance on your behalf, included in your monthly payment.

Pro Tips

  • Model a 20% down payment scenario to compare PMI and rate impacts
  • Compare lender-reviewed estimates before house hunting to understand likely budget ranges
  • Factor in closing costs (2-5% of home price) when planning
  • Consider the 28/36 rule: spend no more than 28% of gross income on housing
  • Compare rates from multiple lenders - even 0.25% makes a big difference
  • Model credit score changes because rate differences can materially change lifetime interest
  • Plan for maintenance costs (1-2% of home value annually)

📊 Quick Answer: How Much House Can I Afford?

🏠 28/36 Rule
Max 28% of gross income on housing (PITI), 36% on total debts
💰 Example: $75K Income
Home ~$225K-300K (3-4x annual income)
📈 Optimal Down Payment
20% eliminates PMI ($100-200/mo saved)

💵 Home Affordability by Income Table

Annual IncomeMax Monthly PaymentHome Price (3x)Home Price (4x)20% Down
$50,000$1,167$150,000$200,000$30K-40K
$75,000$1,750$225,000$300,000$45K-60K
$100,000$2,333$300,000$400,000$60K-80K
$150,000$3,500$450,000$600,000$90K-120K
$200,000$4,667$600,000$800,000$120K-160K

* Educational estimates only. Based on 28% rule with 7% rate, 1.2% taxes, $1,200/yr insurance. Results vary by location, credit score, and lender. Not financial advice.

💡 The 1% Extra Trick

Paying just 1% extra principal each month can cut your 30-year mortgage to 25 years, saving $50,000+ in interest.

📅 Market Timing Secret

Best days to apply for mortgages are Tuesday-Thursday. Lenders process faster and may offer better terms.

Mortgage Options Comparison(US)

Loan TypeMin Down PaymentMin Credit ScorePMI RequiredBest For
Conventional3%620If < 20%Good credit
FHA3.5%580AlwaysFirst home
VA0%NoneNoVeterans
USDA0%640NoRural areas
Jumbo10-20%700+NoExpensive homes

Monthly Housing Cost Breakdown(US)

💵 Included in Monthly Payment (PITI)

PrincipalReduces your loan
InterestCost of borrowing
Taxes~1-2% of value/año
Insurance$800-2000/año

⚠️ Additional Costs to Consider

PMI0.5-1% yearly if <20% down
HOA$100-700/mes if applicable
Maintenance1% of value yearly
Utilities$200-400/mes

Audited Methodology

Real-world data powering every estimate

  • Weekly Freddie Mac PMMS rates layered with daily Mortgage News Daily movements.
  • Property tax + insurance benchmarks from HUD, FHFA, and local census releases for 90+ cities.
  • Quarterly review by a CFP® and housing analyst to keep PITI + DTI outputs aligned with the 28/36 guardrail.

Last audit: Q1 2026 · GetAffordably Research Team

Proof for you

Review the reports we use for these projections

2026 Mortgage Rate DashboardView reportsBlog: 2026 Closing StrategiesRead guides

Editorial review

Modeled by a CFP®, a former mortgage-banking analyst, and a housing-focused data scientist.

📊 Data-Driven Methodology

Industry Standards
Verified Sources

✅ Why Trust This Calculator?

🏛️ Official Standards

Uses Fannie Mae/Freddie Mac 28/36 guideline - common standard many lenders consider. Each lender has own criteria.

📊 Verified Data

Includes estimates of common costs: PMI, property taxes, home insurance, HOA, maintenance. Actual costs vary.

🏛️ Full Transparency

Shows complete calculation breakdown based on typical data. Consult lender for exact terms.

🔄 Updated 2026

Estimates based on 2026 market averages. Actual rates and costs vary by lender and individual situation.

⚠️ 5 Common Mistakes When Calculating Affordability

1. Forgetting PMI if down payment < 20%

PMI can add $100-200/mo on $300K home. Some calculators omit this. Costs vary by lender.

2. Underestimating Property Taxes

Vary approximately 0.3%-2.5% by state. Example: $400K home can have very different taxes by location.

3. Ignoring Maintenance Costs

General 1% rule: $300K home may need ~$3K/year ($250/mo) for maintenance. Costs vary.

4. Not Considering Closing Costs

Closing costs typically 2-5% of price. $300K home may require $6K-15K additional. Varies by location.

5. Maxing Out Budget Without Buffer

Qualifying for an amount doesn't mean you should spend it all. Consider emergencies, savings, and lifestyle.

Ready to Find Your Dream Home?

Join thousands of happy buyers who found their perfect home.

Search-style Q&A

People Also Ask

Is $50,000 salary enough to buy a house?

It can be, depending on your debt, credit score, down payment, and local home prices. In many markets, a $50,000 income supports a smaller starter home with careful budgeting.

Check your DTI first
How much should I put down on a home?

Many buyers use 3% to 10%, but 20% avoids PMI and lowers monthly costs. The right target depends on your savings timeline and emergency fund strength.

Plan your down payment
What credit score do I need for a mortgage?

Some loans allow lower scores, but stronger scores usually unlock better rate scenarios. Even a small rate improvement can materially change 30-year interest cost.

Should I buy now or wait?

Compare total monthly ownership cost, how long you plan to stay, and your cash reserves. If you may move soon, waiting can be safer financially.

Run a rent-vs-buy check
How much emergency savings should I keep after buying?

A common target is 3 to 6 months of expenses after closing, plus a home-maintenance buffer. This protects you from repairs, job changes, or income volatility.

Estimate your emergency fund

Frequently Asked Questions - Mortgage

How much house can I afford with $70,000 salary?

With a $70,000 annual salary, you can typically afford a home priced between $210,000-$280,000, assuming good credit, 20% down payment, and following the 28/36 debt rule. Use our calculator above for your exact situation.

What's the minimum credit score for a mortgage in 2025?

Minimum credit scores vary by loan type: Conventional loans require 620+, FHA loans accept 580+ (or 500+ with 10% down), VA loans have no minimum but lenders typically want 620+, and USDA loans need 640+.

Should I put 20% down or pay PMI?

A 20% down payment eliminates PMI requirements, which typically costs 0.5-1% annually. However, many buyers purchase with less down. This is educational information - evaluate your specific situation and consult professionals.

How much are closing costs on a $300,000 house?

Closing costs typically range from 2-5% of the home price. On a $300,000 house, expect $6,000-$15,000 in closing costs including appraisal, inspection, title insurance, and lender fees.

What is the difference between a fixed-rate and adjustable-rate mortgage?

A fixed-rate mortgage has the same interest rate for the life of the loan, meaning your monthly principal and interest payments are stable. An adjustable-rate mortgage (ARM) has a rate that changes periodically, so your monthly payments could increase or decrease.

How can I improve my debt-to-income (DTI) ratio?

To improve your DTI ratio, you can either increase your income or decrease your debt. Consider strategies like paying down high-interest loans, avoiding new debt, and exploring opportunities to boost your earnings.

What is a home appraisal and why is it important?

A home appraisal is a professional assessment of a property's value. It is important because lenders use it to ensure they are not lending more money than the property is worth. A low appraisal can impact your ability to secure a loan.

What are the pros and cons of a 15-year vs. a 30-year mortgage?

A 15-year mortgage typically has a lower interest rate and you will pay less interest over the life of the loan. However, the monthly payments are higher. A 30-year mortgage has lower monthly payments, but you will pay more in interest over time.

How does a mortgage calculator work?

A mortgage calculator uses your income, debts, down payment, and interest rate to calculate how much you can borrow and what your monthly payment will be including principal, interest, taxes, and insurance (PITI).

How much house can I afford with my salary?

Generally, you can afford a house that costs 3-4 times your gross annual income. With $75,000 income, you might qualify for a $225,000-$300,000 home, depending on your debts and down payment.

What is the 28/36 rule for mortgages?

The 28/36 rule states you shouldn't spend more than 28% of your gross monthly income on housing expenses (PITI) and no more than 36% on all monthly debts including the mortgage.

How much down payment do I need to buy a house?

You can buy a house with as little as 3% down (conventional loans) or 3.5% (FHA). However, 20% down eliminates PMI and reduces your monthly payment significantly.

What's included in monthly mortgage payment?

Your monthly payment includes: Principal (reduces the loan), Interest (cost of borrowing), Property taxes, Homeowners insurance, and PMI if you put down less than 20%.

How do interest rates affect my payment?

Every 1% increase in interest rate raises your monthly payment by approximately $100-150 per $100,000 borrowed. A $300,000 home would cost $300-450 more per month with 1% higher interest.

Last updated: May 31, 2026

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How These Results Are Calculated

Each calculator uses standard financial formulas and explicit assumptions to generate educational estimates. Results are based on your inputs and may vary based on rates, taxes, fees, and local market conditions.

  • Public data sources include the IRS, BLS, Census, Federal Reserve, and state agencies.
  • Calculators are reviewed periodically to reflect market and tax-rule changes.
  • These results do not replace personalized professional advice.
GA
Reviewed by the Founder of GetAffordably

This content was created with AI assistance and reviewed by the founder of GetAffordably. Financial data is sourced from the U.S. Census Bureau, Federal Reserve, IRS, and other public records, and is verified periodically.

Last updated: May 2026
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