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How Much House Can I Afford? (2026 Calculator Guide)

MRBy Michael Reyes, CFP® Updated June 30, 2026 6 min read

Quick Answer

A common rule is the 28/36 guideline: keep housing under 28% of gross monthly income and total debt under 36%. On a $75,000 salary (~$6,250/month), that's about $1,750 for housing — roughly a $270,000 home with 20% down at current rates. Rough income-to-price at 20% down and ~6.5%: $50k income ≈ $175k home, $100k ≈ $370k, $150k ≈ $565k. Your down payment, rate, and other debts move the number a lot.

"How much house can I afford?" has two answers: what a lender will approve, and what you can comfortably live with. Here's how to figure both, using the rule lenders actually apply.

The 28/36 rule

28% — housing

Your total housing payment (PITI) should stay under 28% of your gross monthly income.

36% — total debt

All debt — mortgage plus car, student loans, and credit cards — should stay under 36%.

How much home by income

Estimated affordable home price, assuming 20% down, a ~6.5% 30-year rate, ~1.1% property tax, and no other major debts.

Annual incomeMax housing/mo (28%)Affordable home
$50,000$1,167~$175,000
$75,000$1,750~$270,000
$100,000$2,333~$370,000
$125,000$2,917~$467,000
$150,000$3,500~$565,000

Estimates only — your rate, down payment, taxes, and debts change the result. Run your exact numbers →

Qualifying vs. comfortably affording

Lenders qualify you on gross income, but you pay the mortgage from your take-home pay. Many buyers aim below their maximum to keep room for savings and emergencies.

Run the numbers

Estimate your payment with the mortgage calculator, check your ratios with the debt-to-income calculator, and see your real take-home first with the take-home pay calculator. See also how much down payment you need.

Frequently Asked Questions

How much house can I afford on my salary?

A common guideline is the 28/36 rule: keep your total housing payment under 28% of your gross monthly income, and all debt under 36%. On a $75,000 salary (about $6,250/month), that's roughly $1,750 for housing — enough for about a $270,000 home with 20% down at current rates. Your exact number depends on your down payment, rate, debts, and property taxes.

What is the 28/36 rule?

It's a lending guideline: spend no more than 28% of your gross monthly income on housing (the 'front-end' ratio) and no more than 36% on total debt including the mortgage, car loans, and credit cards (the 'back-end' ratio). Lenders use these ratios to decide how much you can borrow.

How much income do I need to buy a $350,000 house?

Roughly $95,000 a year, assuming 20% down, a ~6.5% rate, and no major other debts. The monthly payment (PITI — principal, interest, taxes, insurance) would be about $2,200, which is about 28% of a $95,000 income. Less debt or a bigger down payment lowers the income needed.

Does my down payment affect how much house I can afford?

Yes, a lot. A bigger down payment means a smaller loan, a lower monthly payment, and — once you hit 20% down — no PMI. It also directly raises the price you can afford at a given income. Even going from 5% to 20% down can add tens of thousands to your budget.

Do lenders count my other debts?

Yes. The 36% back-end ratio includes your car payment, student loans, credit card minimums, and the new mortgage. High existing debt reduces how much you can borrow, because less of your income is available for housing. Paying down debt before applying can increase your budget.

Should I borrow the maximum I qualify for?

Not necessarily. Qualifying for a payment and comfortably affording it are different. Lenders look at gross income, but you live on net (take-home) pay after taxes and retirement contributions. Many buyers target a payment below their max to leave room for savings, emergencies, and life.