Buy yourself a new home is a long process especially on the way you pay it. You need to consider the front payment and of course the monthly payment. You can consult this matter to your financial consultant or you can make your own calculation using home affordability calculator. There are things that you need to put inside the calculator and what you will get is the rough calculation on the home price that you are qualified and affordable to buy.
Most people will use mortgage loan to buy a new house. Before they set up and go to the bank to apply for the loan, they can use the home affordability calculator to calculate their affordability. People can make simple or more detailed calculation. First, all they need to enter is the interest rate, payment period (how long they expected to make monthly payment) and amount of monthly payment itself. The result is the home price that they can afford to.
For more detailed calculation, they need to enter more information inside the home affordability calculator. They need to enter the down payment and closing cost, mortgage rate, minimum monthly payment that they can afford and other information such as monthly income and payment period. The main result will be the price of home that they can afford. Although it was not as detailed as what people can have from their financial consultant, but at least it will give people the big picture on how much money that they have and the house price that they can afford to have in the current time.