“How much house can I afford?” is the question I get more than any other. And there are really two amounts at play here.
The first is what a lender will approve. That part is good ol’ math: your income, your monthly debts, your credit, your down payment, and the loan type. The second is what you’d actually feel good about paying every month, with room left for food, gas, kids, retirement, and the random Tuesday when the AC goes out. Only you can set that one.
Most people start with the first number. I’d much rather you start with the second.
Start with the payment, not the price
A price on its own doesn’t tell you much. Two $400,000 homes can carry very different payments once you add property taxes, homeowners insurance, HOA dues, and mortgage insurance. So pick the monthly payment that fits your life first, then work backward to the price.
That’s exactly why I designed my Payment Planner the way I did. Enter the payment you’re comfortable with, your down payment, and your loan type, and it shows the home price that fits (depending on the rates that day, but it’s a decent ballpark). Switch between conventional, FHA, VA, and USDA loan types to see how each one changes your number. No login, no email, just your potential numbers.
What moves the number most
Interest rate. Even small rate changes shift your price range more than most people expect.
Taxes and insurance. Both vary quite a bit by state and by each individual address, which is why a listing’s tax record beats any average.
Down payment. More down means a smaller loan, and on a conventional loan, 20% down removes PMI. But I never want you draining every account to get there. You’ll still need cash for closing costs and a comfortable cushion after you move in.
Loan type. VA loans have no monthly mortgage insurance. FHA and USDA each have their own monthly fees. Every program changes what the same payment can buy.
What a calculator can’t tell you
The Planner shows what price fits a payment. It doesn’t know your income, your debts, or your credit, and those decide what you’ll actually qualify for. A pre-approval establishes that.
If you’re six months out from buying, that’s the perfect time to chat. Three months is a solid minimum. That gives us plenty of room to strategize instead of scramble at the last minute.
Run your numbers, then text me a home you’ve had your eye on using the form. I’ll help you figure out what the payment could really look like.