# Mortgage Affordability Calculator

This calculator is used to determine how much of a mortgage you can afford. It  based on your gross income and current outstanding debt. 28/36 Ratio is the standard formula for mortgage affordability. The maximum home loans that a bank will lend often based on this.
Custom Search
 Mortgage Calculator Mortgage Affordability Calculator Car Loan Calculator #nav{position:fixed; top:20px; left:30px;width:86px;height: 67px; border:1px solid #aaa;display: none;background: #fafafa;padding-left: 8px;padding-right: 8px;padding-top: 12px}
 *Gross monthly income  Total Down Payment    *Monthly Debt Payments  Annual cost for insurance   Annual cost for property taxes *Annual interest rate  *Mortgage terms %   Year(s)Month(s)    Calculation Results: Mortgage affordabilityOwning a home, and incurring a mortgage is usually one of the most important financial aspects of a person's life. Different factors are that affect a persons ability to make payments on a mortgage, especially in terms of income and and taxes. It has a major impact on one's sense of financial security since a house has historically been the largest piece of one's investment portfolio at retirement.Standard formula for mortgage affordabilityTo mortgage lenders, 28/36 is the ratio of a borrower’s debts to their gross income.This means the monthly mortgage payment, plus monthly property taxes, plus monthly house insurance may not exceed 28% of gross monthly income. The 36% refers to a similar ratio, it refers to the fact that total long term debt from all sources may not exceed 36% of gross monthly income. Long term debt is generally defined as any debts with more than 10 monthly payments still outstanding. Top Use:    Mortgage Affordability Calculator - Income:6000.00 Interest rate:4.5% term:30YearsRecent user inquiry: