How much house can I afford on my salary?

The traditional guideline is 3-4x your annual gross salary. At ,000: ,000-,000 home price range assuming standard debts and a 20% down payment at current rates. The home affordability calculator provides a more precise number based on your actual debts, down payment, and property tax estimate.

What is the monthly payment on a ,000 mortgage at 7%?

At 7% on a 30-year fixed mortgage, a ,000 loan requires approximately ,996/month for principal and interest. Adding property taxes (varies by location, typically -/month) and homeowner insurance (-/month) brings total PITI to approximately ,276-,796/month depending on location.

What credit score do I need to buy a home?

Minimum credit scores: 620 for conventional loans, 580 for FHA loans (with 3.5% down), 500 for FHA with 10% down. VA and USDA loans technically have no minimum but most lenders require 580-620. Higher scores earn lower rates -- a 760 credit score typically earns a 0.5-1% lower rate than a 620 score, saving -/month on a typical mortgage.

How much do I need for a down payment in 2025?

Minimum down payments: 3% conventional, 3.5% FHA, 0% VA and USDA. The optimal is 20% to eliminate PMI. On a ,000 home: minimum ,500 (3% conventional) plus 3% closing costs (,500) = minimum ,000 total. Budget ,000-,000 additional for move-in costs and initial home setup.

What are all the costs of buying a home?

Total home buying costs: down payment (3-20% of purchase price), closing costs (2-5% of purchase price), home inspection (-), moving expenses (,000-,000), initial home improvements and setup (,000-,000), and an emergency fund maintained after closing (3-6 months expenses). The total cash needed is often 8-12% of the home purchase price.

Student Debt and Home Affordability: How Education Loans Affect What You Can Buy

Student loan debt is one of the most significant barriers to home buying for Millennials and Gen Z. Understanding exactly how student loan payments affect DTI, how income-driven repayment plans interact with mortgage qualification, and which loan types are most favorable for high-student-debt buyers is essential for the largest debt-carrying generation of home buyers.

Overview

💡Key Point

What You Need to Know

Student loans affect back-end DTI -- high minimum payments reduce mortgage qualification capacity
Income-driven repayment (IDR) plans can reduce student loan minimum payments for DTI purposes
FHA loans count the actual IDR payment if documented at /bin/zsh -- very favorable for large student loan balances
Conventional loans may use 0.5-1% of student balance if IDR payment is below that threshold
Paying down student loans vs saving for down payment: prioritize based on loan interest rate vs expected home appreciation

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Student Debt and Home Affordability: How Education Loans Affect What You Can Buy

Overview

What You Need to Know

Calculate Your Affordability

Frequently Asked Questions

Frequently Asked Questions

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