Mortgage Approval Calculator

Use this calculator to determine the maximum mortgage for which you can qualify and get approved - for FHA or Conventional Mortgage.

That largely depends on your income and current monthly debt payments. This approval calculator evaluates these important variables and determines your maximum mortgage and resulting maximum monthly housing payment for which you can qualify.

This Financial Calculator requires SUN's Java™ Plug-in. If you see this message you will need to download SUN's Java™ Plug-in. This can be done automatically by clicking the yellow bar at the top of your browser and choosing “Install ActiveX Control”.
    You can also get SUN's Java™ Plug-in here: Get the Java™ Plug-in!

    For more information about this Plug-in please visit: SUN's Java™ Plug-in
    For more information these financial calculators please visit: Financial Calculators from KJE Computer Solutions, LLC

Mortgage Approval Calculator - Definitions

Monthly income - Total monthly income from all sources. All income should be entered before taxes.
Monthly housing expenses - Your monthly houses expenses from the housing expenses worksheet. The items entered as housing expenses make up the taxes and insurance portion of your monthly PITI (principal, interest, tax and inurance) payment.
Monthly liabilities - Your monthly liabilities from the liabilities worksheet. Your monthly liabilities are used to calculate your maximum PITI.
Monthly housing payment (PITI) - This is your total Principal, Interest, Tax and Insurance (PITI) payment per month. This includes your mortgage principal, interest, real estate taxes, hazard insurance, association dues or fees and principal mortgage insurance (PMI). Maximum monthly payment (PITI) is calculated by taking the lower of these two calculations:

  1. Monthly Income X 28% = monthly PITI
  2. Monthly Income X 36% - Other loan payments = monthly PITI

Maximum principal and interest (PI) - This is your maximum monthly mortgage principal and interest payment. It is calculated by subtracting your monthly taxes and insurance from your monthly PITI payment. This maximum mortgage calculator uses your maximum PI payment to determine the mortgage amount that you could qualify and be pre-approved.
Start interest rates at - The current interest rate you could receive on your mortgage loan. This is used as the starting point for displaying a range of interest rates and the resulting mortgage amount.
Term in years - The number of years over which you will repay this loan. The most common mortgage loan terms are 15 years and 30 years.