Mortgage Affordability Calculator

Mortgage Affordability Definition

Use our free online mortgage affordability calculator to see whether or not you are financially prepared to purchase a new home. Ever year, millions of people take a leap of faith and decide to purchase a new home to start a new milestone in their life.

Nonetheless, mortgages are long financial commitments that require a great deal of stability in both career and household finances. Use this calculator to see the amount you can reasonably finance on a new home.

This calculator is very easy to use and asks simple questions. You will see a few inputs that ask you to put in your:

• Annual Income – Total Household Income
• Monthly Debts – Credit Cards, Student Loans, Car Loans and other monthly expenses
• Down Payment – How much money you will put towards your new home
• Years – The life of the mortgage you are seeking (Typically anywhere between 20-40 years)
• Mortgage Rate – The interest rate on the loan
• Debt to income ratio: Total household income compared to total debt

Once you have filled out the inputs with your information, at the very end of the calculator form, you will see a button that says “calculate”. Press this button to get your calculations.

From there, you will get an estimate of the amount of a home you can reasonably afford. Obviously, the more money you make and the less debt you have, the more expensive of a home you can afford.

To get the best estimate, be sure that you are using the most accurate information and that you are totally cognizant of all of your month debts. You can play around with the numbers and just small things such as the interest rate and down payment to get a better of idea of what type of interest rate you should shop for along with how much money you should reasonably put down in order to afford the home you desire.

Check out some of the related calculators 15 vs 30 year mortgage, interest only mortgage, and others.

How to Calculate Mortgage Affordability

Let's be honest - sometimes the best mortgage affordability calculator is the one that is easy to use and doesn't require us to even know what the mortgage affordability formula is in the first place! But if you want to know the exact formula for calculating mortgage affordability then please check out the "Formula" box above.

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You can get a free online mortgage affordability calculator for your website and you don't even have to download the mortgage affordability calculator - you can just copy and paste! The mortgage affordability calculator exactly as you see it above is 100% free for you to use. If you want to customize the colors, size, and more to better fit your site, then pricing starts at just $29.99 for a one time purchase. Click the "Customize" button above to learn more!