Mortgage - Monthly Payment How Much Can You Afford Monthly?
Lenders will usually allow you to spend 28% of your total -- or gross -- monthly income to make mortgage payments of principal, interest, taxes and insurance. The table below shows how much 28% is at various income levels.
|
Annual Income |
Gross Monthly Income |
Affordable Monthly Payment** |
|
$20,000
|
$1,667
|
$467
|
|
$25,000
|
$2,083
|
$583
|
|
$30,000
|
$2,500
|
$700
|
|
$35,000
|
$2,917
|
$817
|
|
$40,000
|
$3,333
|
$933
|
|
$45,000
|
$3,750
|
$1,050
|
|
$50,000
|
$4,167
|
$1,167
|
|
$60,000
|
$5,000
|
$1,400
|
|
$70,000
|
$5,833
|
$1,633
|
|
$80,000
|
$6,667
|
$1,867
|
|
*$100,000
|
$8,333
|
$2,333
|
(Click the Monthly Payment for Corresponding Loan Amounts)
* For incomes over $100,000, add together the two appropriate columns
** Principle and interest only; taxes, insurance and any homeowner fees not included. These will raise your monthly payment and reduce the amount of principle and interest and total loan amount you can afford. Loan amounts are based on a 30-year fixed-rate mortgage. For incomes over $100,000, add together the two loan amounts and add your down payment. |
