How Much Mortgage Can I Afford? Smart Answers for Real Buyers

Yes, you can figure this out—without calculators, guesswork, or stress.

Let’s be honest—asking “How much mortgage can I afford?” can feel like stepping into a numbers storm. You get hit with ratios, tools, calculators, and acronyms like DTI and PITI. But here’s what actually matters:

You need a number that fits your life, not just what a bank is willing to lend you.

Step 1: The 28/36 Rule – Your Go-To Starting Point

This is a time-tested guide that lenders (and financially smart homeowners) rely on:

• 28% of your gross monthly income is the max you should spend on total housing costs (this includes principal, interest, taxes, and insurance).

• 36% of your gross income is the max you should spend on all monthly debt payments combined (housing, car loans, student loans, credit cards, etc.).

Let’s say you earn $8,000 per month:

• 28% of that = $2,240 → that’s your target housing budget

• 36% = $2,880 → that’s your total debt limit

Stay within those and you’re living balanced—not house poor.

Step 2: Why It Works in Real Life

The 28/36 rule is about protecting your lifestyle. You still get to eat out, build savings, go on vacation, or handle emergencies—without stressing every time the mortgage payment is due.

It’s not just about what’s technically possible. It’s about what’s comfortable and sustainable.

Step 3: Use Real-Life Numbers (Walkthrough)

Example:

• You make $8,000/month

• You have $1,000/month in other debts

• Your projected housing payment is $1,800/month

Your total debt = $2,800 → right under the 36% threshold
Your housing = $1,800 → just over 22% of your income

✅ That’s a smart, solid setup. Room to live life while building equity.

Step 4: What Lenders Look For (and You Should Too)

Beyond income, lenders consider:

1. Credit Score – Higher scores = better rates and lower monthly payments

2. Down Payment – The more you put down, the less you borrow

3. Interest Rate – A small shift can make a big difference

4. Loan Type & Term – 15-year vs. 30-year? Fixed vs. adjustable? Each affects monthly cost

5. Hidden Costs – Think HOA dues, private mortgage insurance, property taxes

All of this affects what you can actually afford—not just what the loan officer says.

Step 5: What We Tell Our Clients (Straight Talk)

This isn’t about maxing out your preapproval. It’s about feeling good—calm even—when that mortgage payment clears each month.

Think beyond approval letters and spreadsheets. Think about how your life feels with that payment in it.

That’s the kind of mortgage we help you build.

Step 6: What You Can Do Right Now

• Do a quick self-assessment with the 28/36 rule

• Review your current monthly expenses honestly

• Reach out to us—we’ll walk you through your options with no pressure

Even if you’re months away from buying, a quick chat now can save you stress and money later.

📣 Final Thought: It’s Not Just About What You Can Afford—It’s About What Feels Right.

At NEXA Mortgage – Smart‑N‑Loans, we don’t force the numbers. We guide you through them.

We believe your mortgage should empower your life, not stretch it thin. If you're ready to figure out what that number looks like for you, let’s talk.

📞 Call or Text: 321‑321‑9455

📧 Email: [email protected]

Let’s make your mortgage smart, clear, and completely yours.

Empowered by NEXA Mortgage | NMLS #1660690 | Kelly Nadeau, NMLS #1027618 | Equal Housing Lender | Serving: Florida NEXA Mortgage 5559 S Sossaman Rd #1-101, Mesa Arizona 85212 https://nmlsconsumeraccess.org/EntityDetails.aspx/COMPANY/1660690

Some borrowers may qualify with a debt-to-income (DTI) ratio higher than 36%, depending on the loan type and lender guidelines. For example, FHA loans may allow DTI ratios up to approximately 43–50% in certain cases. The 28/36 rule is a trusted guideline for financial safety, not an absolute cap. Always consult with a licensed mortgage advisor to determine what’s best for your individual situation.