Note: This includes Private Mortgage Insurance (PMI), which adds to your monthly cost.
Your total debt payments (including mortgage, car loans, and credit cards) should ideally stay under 36% of your gross income. Factors That Lower Your Buying Power Compare current mortgage rates for today - Bankrate
If you target a total monthly payment of $1,500 (including principal, interest, taxes, and insurance):
Lenders often prefer that your total housing costs do not exceed 28% of your pre-tax income.
To comfortably afford a $1,500 monthly housing payment, financial experts and lenders generally recommend: At least $5,350 to $6,000 .
