BMO Affordability Calculator

Calculate how much house you can afford with our free BMO-style affordability calculator. Determine your maximum home purchase price based on your income, expenses, and down payment.

Your Financial Profile
Tell us about your income and debts

Gross income before taxes

Car loans, credit cards, student loans, etc.

Loan Parameters
Expected loan terms

Maximum Home Price

You can afford

$413,337

Based on 41% DTI ratio

Max Loan Amount

$353,337

Monthly Payment

$2,233

Debt-to-Income Analysis
Monthly Income$6,667
Existing Debts$500
Max Housing Payment$2,233
Total DTI Ratio41%

Good DTI Ratio

Your DTI is within acceptable limits for most lenders.

Important Notes

• This is an estimate based on standard lending guidelines

• Actual approval depends on credit history, employment, and other factors

• Consider additional costs like property tax, insurance, and maintenance

• Most lenders prefer a DTI ratio below 43%

How to Use Our BMO-Style Affordability Calculator

Our affordability calculator works just like BMO's calculator to help you determine how much house you can afford. Simply enter your financial information to get instant results:

  • Annual Income: Enter your gross annual income
  • Monthly Debts: Include all monthly debt payments (credit cards, car loans, etc.)
  • Down Payment: Input your available down payment amount
  • Interest Rate: Enter the current mortgage interest rate
  • Loan Term: Choose your preferred loan term (15, 20, 30 years)

What You'll Get

  • Maximum home purchase price you can afford
  • Recommended monthly mortgage payment
  • Debt-to-income ratio analysis
  • Down payment percentage
  • Total monthly housing costs

Benefits of Our BMO-Style Calculator

  • Free to Use: No registration or fees required
  • Accurate Calculations: Uses standard affordability formulas
  • Comprehensive Analysis: Considers all your financial factors
  • Mobile Friendly: Works on all devices
  • Instant Results: Get answers immediately

Understanding Home Affordability

Home affordability is determined by several factors including your income, existing debts, down payment, and current interest rates. Lenders typically use the 28/36 rule:

  • 28% Rule: Your monthly housing costs shouldn't exceed 28% of your gross monthly income
  • 36% Rule: Your total monthly debts shouldn't exceed 36% of your gross monthly income

Frequently Asked Questions

How accurate is this calculator compared to BMO?

Our calculator uses the same mathematical formulas as BMO and other major banks, ensuring accurate affordability calculations.

What factors affect my affordability?

Your income, existing debts, down payment amount, credit score, and current interest rates all impact how much house you can afford.

Should I include taxes and insurance?

Yes! For a complete picture, use our mortgage calculator with taxes and insurance to get your total monthly payment.

What if my debt-to-income ratio is too high?

Consider paying down existing debts or increasing your down payment to improve your affordability.

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