How Much House Can You Afford?

This calculator uses the same DTI math a real underwriter uses, with state-specific tax and insurance defaults. The number it returns is a strong directional estimate — usually within 5-10% of what a wholesale underwriter will approve. Three things move the real number: your actual credit score and tradelines, the actual property's tax and HOA, and the lender's overlay on top of the program guideline. A real pre-approval pulls your credit and verifies income, which can push the number up or down. The honest answer: trust this for shopping; get a written pre-approval before you offer.

Different DTI ceilings. Fannie Mae caps DU at 50% back-end. FHA's automated underwriting (TOTAL Scorecard) can approve up to 57% with strong compensating factors. VA underwrites primarily to residual income and routinely approves 50%+ back-end DTI. On the same income, the program with the higher ceiling produces the higher max house price — assuming your file fits the program's other rules (FICO, occupancy, property type).

Front-end DTI is your housing payment (PITI plus HOA and MI) divided by gross monthly income. Back-end DTI adds all other monthly debt: car payments, student loans, credit-card minimums, child support, alimony. Front-end is what your home costs. Back-end is what your home plus your existing debt costs. Conventional and Non-QM programs don't strictly enforce a front-end limit. FHA officially caps front-end at 31%. Either way, back-end is the binding constraint for almost every file.

You need roughly $145,000-$160,000 in gross annual income with 10% down, current rates, no other debts. The exact number depends on your state (property tax + insurance), your loan program, and your existing monthly debts. Use the calculator above with your real numbers. For most U.S. states, the answer sits in that income range. In high-property-tax states (TX, NH, NJ), shift the floor up; in low-tax states (CO, ID, AL), shift it down.

Roughly $85,000-$100,000 gross income with 10% down, depending on state taxes, insurance, and your other debts. With 20% down and no other monthly debts, you can stretch into the high-$70Ks. The calculator above will give you a state-tuned number in 5 seconds.

Sometimes. FHA's 57% DTI ceiling is a real advantage when your DTI runs hot relative to your income. The cost: FHA charges a 1.75% upfront MIP financed into the loan, plus monthly MIP for the life of the loan (vs conventional PMI that drops off at 20% equity). If you can qualify on conventional at 45-50% DTI, conventional is usually cheaper over the long run. If you can't, FHA opens the door — and you can refinance to conventional once you build equity.

National calculators use national-average assumptions: 1.0% property tax (most states are higher), 0.35% insurance (way too low for California, Florida, Texas), and they ignore PMI on under-20% down payments. They also don't apply the program-specific DTI ceiling. Our calculator runs state-tuned tax and insurance, applies the real program ceiling, and includes PMI/MIP automatically. The number you see here is closer to what a real lender will approve.

Yes. Self-employed borrowers have three paths: (1) Conventional/FHA/VA using 2 years of tax returns and IRS Schedule C/K-1 income. The challenge is that legitimate business write-offs reduce qualifying income. (2) Bank statement loans (Non-QM) using 12-24 months of business or personal bank statement deposits as income proof. (3) DSCR loans for investment properties — qualifies on the property's rental income, not your personal income. The right path depends on how your tax returns look and what you're buying.

This calculator gives you an estimate based on what you enter. A pre-approval is a real underwriter reviewing your real W-2s, tax returns, credit pull, assets, and debts — then issuing a written letter that listing agents will read before they read your offer. In a seller's market, a pre-qualification letter (which is basically what a calculator produces) often gets your offer thrown out. Pre-approval takes 24-72 hours with us once we have your documents.

24-72 hours from receipt of complete documents (W-2s, tax returns, pay stubs, bank statements, ID). We pull your file against 20+ wholesale lenders and bring you the side-by-side comparison — rate, points, fees, monthly payment. You see who wins for your scenario before you commit to a lender. Most other brokers send your file to their one or two preferred lenders. We name the lenders. We send the comparison sheet. That's the work.