Find out exactly what income is required to comfortably afford a $300k property based on today's rates. Let's see how your numbers stack up.
Quick answer: ~$86,000/year using the 28% rule
Using the 28% rule, you need ~$85,500/year ($7,125/month) gross income to afford a $300,000 home with 20% down at 7%. With 10% down that increases to ~$98,000/year to cover the higher loan amount and PMI.
You can afford a home around
$329,000
Based on your current income, debt, and housing cost assumptions.
Monthly Housing Budget
$2,330
This appears to be within a comfortable borrowing range.
Estimated Loan Amount
$269,000
Estimated Cash Needed (Down + Closing)
$70,000
Estimates based on your inputs. Actual results may vary. Terms →
Keep track of multiple affordability setups.
| Down Payment | Loan Amount | Est. Monthly Payment | Salary Needed (28%) |
|---|---|---|---|
| 3.5% ($10.5k) | $289.5k | ~$2,490/mo | ~$106,700/yr |
| 5% ($15k) | $285k | ~$2,446/mo | ~$104,800/yr |
| 10% ($30k) | $270k | ~$2,296/mo | ~$98,400/yr |
| 20% ($60k) | $240k | ~$1,996/mo | ~$85,500/yrBest |
Estimates include P&I, ~1.2% property tax, $100/mo insurance. PMI added under 20% down.
Your mortgage payment shouldn't exceed 28% of gross monthly income. On a $300k home with 10% down at 7%, payment is ~$2,296/mo - requiring ~$98k/yr at that ceiling. If you save a full 20% down, you only need ~$86k.
Total debt (mortgage + car + student loans) should stay under 36% of gross income. With $500/mo in existing debt, you need closer to $119,000/yr to qualify for a $300k home at that 10% down payment bracket.
$300,000 is a common entry-level price point in many growing markets. Taking advantage of 3.5% FHA requires higher income (~$107k) due to larger balances and mandatory mortgage insurance.
Don't Forget These Hidden Costs
Lenders qualify you on mortgage payment alone. Real monthly cost includes HOA, maintenance (budget 1% of value/yr = $3,000/yr on $300k), utilities, and closing costs ($6k–$9k upfront). Factor these in before stretching to the top of your approval range.
Estimates based on your inputs. Actual results may vary. Terms →