Interactive

Can you afford a $300k, $400k, or $500k house?

Tap a price. Tell us your income. See the verdict — with the monthly payment and the income a lender actually wants you to earn.

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What-if scenarios

Stretch — out of reach today

A $400,000 home is a stretch right now.

Your back-end DTI would be 49% — above the 45% ceiling most lenders won’t cross.

Trim the payment by $943/mo

Put more down, lock a better rate, or pay off high-interest debt.

Or earn $31,443+/yr more

Comfortable at this price needs about $116,443 annual income.

Your debt-to-income (DTI)

Total monthly debts ÷ gross monthly income

49%
36% comfortable 3645% tight > 45% stretch

Monthly payment breakdown

Principal & interest

$2,335

Property tax

$367

Home insurance

$117

PMI

$225

Total PITI$3,043

Loan amount $360,000 · Down payment $40,000 · LTV 90%

The rule lenders actually use

Most conventional lenders cap your total monthly debts (housing + car + student loans + credit cards) at 36% of your gross monthly income, and will stretch to 43–50% with strong credit and cash reserves. Your housing payment alone should stay near 28% of gross income. That’s the “28/36 rule.”

The verdict above uses those thresholds to decide whether a given home price is comfortable, tight, or out of reach.

Four levers to afford more

  • Rate: a 1% lower rate can raise your max price by roughly 10–12%.
  • Down payment: crossing 20% removes PMI, which alone saves $100–$300/month on a typical loan.
  • Debts: every $100/month of debt paid off = roughly $15,000–$20,000 more home you can afford.
  • Loan term: a 30-year is the default, but many lenders also offer 40-year loans that stretch payments further.

The income you need at a glance

Rough annual income required to afford each price comfortably (36% DTI, 10% down, 6.75% rate, $450/mo existing debts, national-average tax & insurance).

Home priceMonthly PITIComfortable incomeStretch income
$200,000~$1,600$55,000$43,000
$300,000~$2,350$80,000$63,000
$400,000~$3,100$105,000$83,000
$500,000~$3,800$130,000$105,000
$600,000~$4,550$155,000$125,000
$750,000~$5,700$195,000$155,000
$1,000,000~$7,600$260,000$205,000
$1,500,000~$11,400$390,000$310,000

Comfortable = 36% back-end DTI. Stretch = 45% back-end DTI (lender max for strong profiles). Actual approval depends on credit, reserves, and location.

Frequently asked questions

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