Mortgage Prequalification Calculator

Mortgage Prequalification Calculator - How much of a home and mortgage can you afford? - Use this loan qualifying calculator to determine the approximate maximum amount of mortgage and home you can qualify for based on your income and debt. Results will indicate your qualifications using 4 different types of loans; interest-only, 30, 20 and 15 year mortgages. The more exact your information entered the more accurate the estimate will be.

Mortgage Qualifying Calculator Instructions

Step 1: Enter Income
Step 2: Enter Liabilities
Step 3: Enter Assets
Step 4: Select Mortgage Rate
Click "How Much of a Home Can I Afford to Purchase."

Mortgage Qualifying Calculator ///

Step 1: Income
Enter the total "Gross" monthly income for each borrower. Gross is before "taxes" are taken out. If more than two borrowers you can combine the amounts onto one line.
Borrower A Borrower B
Monthly Income
Step 2: Monthly Bills ///
Enter the total of the "Minimum Required Payments" for each of the type of liabilty indicated below.
Auto Loan(s)
Credit Card(s)
Student Loan(s)
Personal Loan(s)
401 K / Retirement Account Loan(s)
Other Loan(s)
Other Liabilities - these may or may not be reported on your credit report but must be used during loan qualifying.
Alimony / Palimony
Child Support
Liens / Judgement
Step 3: Funds Available ///
Enter the total amounts of funds available. You may elect to use all or part of the funds indicated. If you are selling a home, you can enter your estimated "net" proceeds that will be used for the purcahse.
Checking / Savings
401K / Retirement Accounts
Net Proceeds From Sale of Home
Step 4: Mortgage Interest Rate ///
Select the estimated current mortgage rate you will be able to obtain. (Note: if using an adjustable rate mortgage, you must qualify at the fully indexed rate, which will be approximately the same as a 30 year fixed in most cases).
Interest Rate
Loan Qualification Summary ///
Summary of information provided used for loan qualification purposes
Totals Total Income: Total Liabilities:
Funds Available: Income to Debt: %
Loan Qualifying Results w/ Four Different Types of Mortgages ///
Loan qualification results. Four different types of mortgage terms are provided to show the difference in mortgage amounts based on the type of mortgage amortization used. Calculator assumes maximum qualifications and sales prices using the majority of your available funds. If you wish to use less of your available funds, deduct the amount from the maximum loan. If doing 100% financing, your maximum loan amount is your maximum sales price.
Interest Only 30 Year Fixed 20 Year Fixed 15 Year Fixed
Max. Sales Price
Max. Loan Amount
Down Payment
Loan to Value % % % %
Mortgage Payment (P.I. only)
Est. Monthly Taxes & Insurance (2.35%**)
Est. P.I.T.I Payment
Front-End Ratio % % % %
Back-End Ratio % % % %
Est. Closing Costs
(Est. at 3.25%***)
Suggested Min. Cash Reserves at Closing
Total Funds Required for Closing
Total Funds Available
Funds Remaining after Closing
Loan Qualifying Calculator Disclosure* - The information provided on or through this site is for purposes of general consumer education only and is not intended as a substitute for advice from a qualified professional, such as, but not limited to, a lawyer, mortgage broker, accountant, investment advisor, insurance broker, financial planner, real estate agent or home inspector. We can not and do not guarantee the accuracy or the applicability of this information to your circumstances. We encourage you to seek personalized advice from qualified professionals regarding all personal finance and real estate issues.

Estimate Monthly Taxes & Insurance** - This is an estimated amount of the property taxes, homeowners insurance and possible private mortgage insurance. This may vary from area to area. Property taxes estimated at 1.25% per year. Homeowners insurance estimated at .03% per year and PMI estimated at .875% per year.

Estimated Closing Costs*** - This is an estimate of the closing costs associated with obtaining a mortgage loan. Includes points, loan origination fees, title, escrow / attorney and misc. other fee's typically associated with a loan in California. Fee's may be higher or lower dependant on area and qualifications.

Continue reading here: Mortgage Loan Qualification Calculator

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Readers' Questions

  • susie
    How much will i prequalify for?
    2 months ago
  • I'm sorry, but as an AI language model, I don't have access to personal financial information or the ability to determine someone's prequalification amount for a loan or any other financial product. To find out how much you may prequalify for, it's best to reach out to a lender or financial institution directly, as they will consider factors such as your income, credit history, and debt-to-income ratio to determine your eligibility and the amount you could prequalify for.
    • Kaelyn
      How to calculate prequalification for mortgage?
      1 year ago
    • To calculate prequalification for a mortgage, you'll need to provide information about your income, assets, and liabilities. You'll also need to provide information about the loan you're seeking, such as the amount you want to borrow, the type of loan, and the term. First, a lender will use your income information to calculate your debt-to-income ratio. This ratio is a measure of how much of your monthly income is going toward paying off debt, such as credit cards and car loans. Your debt-to-income ratio will determine how much money you can borrow. Next, the lender will look at your assets and liabilities. They'll want to make sure you have enough money to cover the down payment and closing costs associated with the loan. They'll also look at your credit scores to determine your creditworthiness. Finally, the lender will consider the amount you're requesting to borrow and the type of loan you're seeking. They'll use this information to determine your prequalification amount. Your prequalification amount is not necessarily the amount of the loan you'll be approved for. It's an estimate of how much you can borrow from the lender. They may approve a higher or lower amount depending on other factors.