How much home can I afford on my salary?

What are you comfortable with?

A mortgage calculator is a useful tool, but it doesn't take your personal goals into account. Are you planning to start a family? Do you have children who will soon be going to college? What's affordable now may constitute a financial burden later.

Also keep in mind that "can" and "should" are two completely different words. Just because you can get a large loan doesn't mean you should. That's one of the big lessons from the recent financial crisis. And finally, you have to determine what gives you peace of mind. The amount of risk you're willing to accept is a very personal matter.

Related Articles


  • Burnette, Jack. "How Mortgage Calculators Work.", 2010.
  • "Calculating your debt-to-income ratio.", 2010.
  • Morgan, Sarah. "How Much House Can You Afford Now?", July 21, 2009.
  • Ramsey, Dave. "How Much House Can You Afford?", August 3, 2009.
  • Weston, Liz Pulliam. "Don't Bite Off Too Much House." MSN Money, 2010.'tBiteOffTooMuchHouse.aspx