Tool · Affordability
What the 28/36 rule actually says about your budget
Debt-to-income limits are the guardrail underwriters use. We show you where your numbers land against those thresholds — and let you move the thresholds — without ever telling you what you can afford.
Default assumptions & where they come from
Every pre-filled figure below is editable. Example inputs (home price, income) are illustrations, not data; the assumptions listed here stand in for real-world statistics, so each carries its public source.
- Interest rate: 6.5% (30-year fixed)Editable. Near the Freddie Mac PMMS 30-year average at verification; the live figure is on the Fee & Rate Index.
- Property tax rate: 1.26%/yr of valueU.S. median effective rate (annual real-estate tax ÷ home value) from ACS tables B25103/B25077. State rates in the tool override this.
- Homeowners insurance: $1,584/yrNational average HO-3 premium (2022 data year). Varies sharply by state; state figures in the tool override this.
Your numbers
The 28/36 rule is the common underwriting guideline. It is a threshold, not a verdict.
Car, student loans, minimum credit-card payments — not rent.
Housing budget under the 28/36 rule
$2,380/mo max
The housing limit is what binds your budget here.
Illustrative home price at this budget
$343,582
Derived by inverting the amortization formula with your rate, down payment, and county tax assumption. Insurance and taxes are held inside the budget.
28.0%
28% cap
35.6%
36% cap