# Affordability Calculator

Calculate how much house you can afford. Get an estimate for a mortgage amount that may fit comfortably within your budget.

Use our Affordability Calculator to help determine how much house you can afford. Affordability is calculated using your annual income, monthly debt, down payment amount, and other factors. Start by entering your income, debts, and down payment. Use the Advanced feature to enter other details about your future home.

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##### You can afford a house up to
{{user.details.affordableValue | currency:undefined:0}}
Based on your income, a house at this price should fit comfortably within your budget. Based on your income, a house at this price may stretch your budget too thin.
{{user.details.payment | currency:undefined:0}}/mo

The above calculator is made available to you as an educational tool only, and calculations are based on information provided by you, the user. Any amount calculated is only an estimate.

This is not an advertisement for the above terms, interest rates, or payment amounts. 1st Funding does not guarantee the applicability of the above terms in regards to your individual circumstances.

Calculations may not take into account certain loan-specific costs, including but not limited to mortgage insurance, mortgage insurance premiums, funding fees, HOA fees, etc.

## Affordability Calculator Help

Our affordability calculator makes it easy to determine what a comfortable monthly payment amount will be for your home purchase based on your income, debts, down payment, and other factors. Here’s the information you’ll need to enter into the Affordability Calculator:

### Annual Income

Enter your annual income as the total of all pre-tax income from you and any co-borrowers.

### Monthly Debt

Your monthly debts will include all monthly payments, including car loans, student loans, credit card payments, personal loans, alimony, and other debts you’re currently paying down.

### Down Payment

Enter the total amount you have available for a down payment. Lenders may require at least a 3% down payment. A higher down payment may lower your monthly payment.

### Debt to Income

Divide your total debts by your total income for debt to income (DTI) ratio, or use our Debt to Income Calculator. A DTI of less than 36% is ideal and anything under 20% is excellent.

### Interest Rate

This is pre-filled with the current average mortgage interest rate. Your actual rate may vary based on your credit score and down payment amount.

### Loan Term

The type of loan you get affects your interest rate and monthly payments. Select a 30- year fixed, 15-year fixed, or 5/1 ARM loan to accurately determine your monthly payment.

### Property Taxes

This is an estimate of property taxes based on the value of the home. Edit this amount if you know the annual property taxes on a home you want to purchase.

### Home Insurance

Home insurance, otherwise known as homeowners insurance, is typically required by lenders. Edit this number if you know how much home insurance will be for the property each month.

### HOA Dues

If a Homeowners Association (HOA) manages some of the maintenance, repairs, and security in a gated community or planned development, include the monthly fees here.

## Contact 1st Funding Today

Now that you have an estimate of how much home you can afford, it’s time to get prequalified for a home loan. Contact a 1st Funding advisor today to get the process started!

## You have questions, we have answers.

Together, we’ll find great mortgage solutions.