Mortgage Affordability Calculator
Understand your financing capacity as part of your transition planning.
How This Calculator Can Help
During a life transition, understanding what you can realistically afford is essential for making informed decisions. This calculator helps you evaluate your financial capacity based on income, debts, and other factors.
Use this tool to explore scenarios related to your transition — whether you're considering retaining the family home, planning for post-sale housing, or evaluating refinancing options.
Planning Scenarios
- Determining if an equity buyout is financially sustainable
- Understanding post-sale housing affordability
- Evaluating refinancing capacity after removing a party from the mortgage
- Providing documentation for negotiations or mediations
Calculate Your Affordability
Understanding Your Results
The calculator provides estimates based on the information you enter. Key factors that affect affordability include:
Debt-to-Income Ratio
Lenders typically prefer your total monthly debts (including the new mortgage) to be no more than 43% of your gross monthly income.
Down Payment
A larger down payment reduces your loan amount and monthly payments, and may eliminate private mortgage insurance requirements.
Interest Rate
Even small changes in interest rates can significantly impact your monthly payment and total loan cost over time.
Additional Costs
Property taxes, insurance, and HOA fees add to your monthly housing costs beyond the mortgage payment itself.
Important Information
This calculator provides estimates for planning purposes only. Actual loan approval and terms depend on your complete financial profile, credit history, employment verification, and current lender requirements. Results should not be considered a loan offer or commitment.
For a formal assessment of your financing options, consult with a licensed mortgage professional. If you need prequalification documentation for legal proceedings or negotiations, request a formal prequalification letter.
Related Planning Tools
Use these additional resources to support your transition planning.