Home Mortgage Talk
Home Mortgage Types Home Equity Loans Mortgage Process Calculators

Affordability Calculator

Monthly Income (before taxes)

Borrower Co-Borrower Total
Base employment income $ $ $
Overtime $ $ $
Interest/Dividends $ $ $
Other $ $ $
Total monthly income $

Monthly Payments on Existing Debt

Car loan $ $ $
Student loan $ $ $
Credit cards $ $ $
Other $ $ $
Total monthly payments $

Monthly Housing Expense for New Loan

Mortgage payment, including principal and interest $
Real estate taxes $
Insurance $
Total monthly housing payments $
A general guideline is that your front-end ratio, which is calculated by taking your expected monthly housing payments and dividing by your monthly pre-tax income, should not exceed 28.

In general, your back-end ratio, which is calculated by taking your existing debt obligations and dividing by your monthly pre-tax income, should not exceed 36.

Related Links
How Much of a Loan Can I Afford?
Disclaimer: The information on this web site is provided for informational purposes only and no guarantee, either explicit or implied, is made regarding its accuracy.
 
Copyright © 2004-2007, homemortgagetalk.com. All rights reserved.