Enter your details and click "Calculate" to see how much home you can afford
What This Calculator Does
This calculator analyzes your income, monthly debts, and down payment to determine a comfortable home price range. It considers standard debt-to-income ratios used by lenders.
Who Is This For
Prospective home buyers who want to set a realistic budget, anyone starting their home search, and buyers looking to understand their purchasing power in the Miami market.
How It Works
Enter your annual income, monthly debt payments, available down payment, expected interest rate, and loan term. The calculator will show you the maximum home price you can afford.
Frequently Asked Questions
What debt-to-income ratio do lenders use?
Most lenders prefer a total DTI of 43% or less, with housing costs (including mortgage, taxes, insurance) not exceeding 28-31% of gross income.
Does this include property taxes and insurance?
This calculator provides an estimate based on principal and interest. Budget an additional 1-2% of home value annually for taxes and insurance.
How does my credit score affect affordability?
Better credit scores qualify for lower interest rates, which increases your purchasing power. A 1% rate difference can significantly impact affordability.
Should I buy at my maximum affordability?
It is often wise to buy below your maximum to maintain financial flexibility for emergencies, maintenance, and lifestyle expenses.