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Written by the EachTools Team

Last updated: January 2026

How House Affordability Is Calculated

Lenders use your income, debts, and down payment to determine the maximum home price you can afford, typically using a 28/36 debt-to-income ratio rule.

Steps

Enter your gross annual income.
Input your monthly debt payments.
Enter your down payment amount.
Input the expected interest rate and loan term.
See the maximum home price you can afford.

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