Simple Mortgage Calculator

Home Loan Income Qualification Calculator

See the home price and loan amount you may qualify for based on income, debts, and DTI rules.

Enter your gross income and monthly debts to estimate a qualifying housing payment (PITI) under typical front-end and back-end DTI caps. We’ll convert that payment into an estimated max loan and home price, and show your current scenario’s required income if you already have a target budget.
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Your Current Scenario: PITI Breakdown

Allowed vs. Actual Housing Payment

“Allowed Housing” is the smaller of front-end and back-end DTI caps using your income and debts.

Enter Income, Debts & Loan Details

Results

Max housing (DTI cap)
$2,800.00
Max loan (est.)
$339,193.10
Max home price (est.)
$429,193.10
PMI / mo (target)
Not required
P&I (target)
$2,334.95
PITI (target)
$2,934.95
Front-end DTI (target)
29.3%
Back-end DTI (target)
34.3%
Required income (annual)
$125,783.71
Monthly income (current)
$10,000.00

Results are estimates only and do not constitute loan approval. DTI limits vary by program and lender.

How to Use This Calculator

Enter your gross annual income (or combined income for joint borrowers) and your monthly debt obligations (credit cards, auto loans, student loans, etc.). Choose a loan term and interest rate, then add estimated taxes, insurance and HOA to model your PITI. You can also set DTI caps to match common guidelines (e.g., 28/36, 31/43, etc.).

Inputs Explained

  • Gross annual income: Before-tax income (all sources).
  • Monthly debts: Minimum required payments on recurring debts.
  • Rate & term: Used to convert a housing payment into a loan amount.
  • Taxes & insurance: Annual estimates (we convert to monthly).
  • HOA: Monthly dues, if applicable.
  • Down payment: For a target home price scenario and PMI estimate.
  • DTI caps: Your max allowed housing ratio (front-end) and total ratio (back-end).

Understanding Your Results

We compute a max housing payment using your DTI caps, then subtract taxes, insurance, HOA and (if needed) PMI to find max principal & interest. From that we derive the max loan and an estimated max home price (adding your down payment). We also show your scenario’s front-end & back-end DTIs and the required income for your target price and down payment.

Front-End vs. Back-End DTI

Front-end DTI is your housing payment (PITI) as a percentage of gross income. Back-end DTI is housing plus all other monthly debts as a percentage of gross income. Lenders compare both to program limits.

The “4 Cs” Lenders Evaluate

  • Capacity: Income stability and DTI.
  • Capital: Savings/assets for down payment and reserves.
  • Collateral: The property’s value and condition.
  • Credit: Credit history, score, and depth.

Ways to Improve Your Qualification

  • Reduce revolving debt balances to lower minimum payments.
  • Increase down payment to cut PMI and required loan size.
  • Choose a longer term (e.g., 30-year) to reduce P&I payment.
  • Improve credit profile to qualify for a lower rate.

Glossary

PITI: Principal, Interest, Taxes, Insurance. PMI: Private Mortgage Insurance, typically required with <20% down. DTI: Debt-to-Income ratio.