Mortgage Buying Power Calculator

See how an interest-rate change or payment target can affect an estimated loan amount. Use the result to compare home-price scenarios before requesting a personalized preapproval or rate quote.

Affordability Calculator Loader

Get a Personalized Buying-Power Review

How to Use the Buying Power Calculator

  1. Enter the monthly principal-and-interest payment or housing budget you want to evaluate.
  2. Enter an illustrative interest rate and mortgage term.
  3. Add the expected down payment.
  4. Include property taxes, homeowners insurance, mortgage insurance and HOA dues when the calculator provides those inputs.
  5. Compare rate or budget changes one at a time.

A payment calculator starts with a home price and estimates a payment. A buying-power calculator starts with a payment target and works backward toward an estimated loan amount or home price.

Understanding the Result

Estimated loan amount

The principal that fits the entered payment, rate and term assumptions.

Estimated home price

Adds the entered down payment to the estimated loan amount.

Rate comparison

Shows how changing the interest rate while holding the payment constant can change the estimated loan amount.

Planning estimate

Estimated buying power is not a preapproval. Qualification also depends on verified income, debts, credit, assets, property expenses, loan limits and program guidelines.

Worked Example

Illustrative example only—not a rate quote.

With a principal-and-interest budget of $3,000 per month and a 30-year term:

  • At 6.50%, the estimated supported loan amount is approximately $474,600
  • At 6.00%, the estimated supported loan amount is approximately $500,400
  • Estimated difference: approximately $25,700 in loan amount

This example excludes property taxes, insurance, mortgage insurance and HOA dues. Once those expenses are included, less of the total housing budget remains available for principal and interest.

Buying Power vs. a Comfortable Budget

The maximum mortgage someone may qualify for is not necessarily the payment they will be comfortable carrying. Consider other expenses, savings goals, home maintenance and the possibility that taxes, insurance or HOA dues may change.

Get a Personalized Buying-Power Review

Compare the estimated payment with verified income, monthly debts, available funds and current loan options before making a home-price decision.

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