How much house can I afford on $105,000 a year?
A home up to about
$361,144
On $105,000 a year, you could afford a home up to about $361,144 with a 20% down payment of $72,229. The mortgage payment would be about $1,969 a month, or $2,450 with property tax and home insurance.
- Down payment
- $72,229
- Mortgage
- $288,915
- Payment a month
- $1,969
What it costs each month
| Mortgage payment | $1,969 |
| Property tax | $331 |
| Home insurance | $150 |
| Total | $2,450 |
|---|
How your down payment changes it
| Saved for a down payment | Home up to | Mortgage | Payment a month |
|---|---|---|---|
| $14,769 (5%) | $295,374 | $280,605 | $1,912 |
| $30,976 (10%) | $309,758 | $278,782 | $1,900 |
| $72,229 (20%) | $361,144 | $288,915 | $1,969 |
How it’s worked out
Lenders usually keep housing costs (mortgage, property tax, insurance and PMI) under 28% of your gross income, and all your debt payments under 36%. On $105,000, that's $2,450 a month for housing.
Assumes no other debts, 1.1% property tax, $1,800 a year home insurance and 0.5% PMI below 20% down, using the 28/36 guideline. Freddie Mac’s average 30-year fixed rate was 7.24% on 29 October 2026.
- Uses the 28/36 guideline: housing costs (mortgage, property tax, insurance, PMI and HOA fees) up to 28% of gross income, and all debt payments up to 36%. Lenders can approve higher ratios, so this is a comfortable limit rather than the most you could be lent.
- Assumes all your savings go towards the down payment. Closing costs, usually a few percent of the price, are extra.
- PMI is charged while your down payment is under 20%.
Frequently asked questions
How much house can I afford on $105,000 a year?
On $105,000 a year, you could afford a home up to about $361,144 with a 20% down payment of $72,229. The mortgage payment would be about $1,969 a month, or $2,450 with property tax and home insurance.
How much down payment do I need on $105,000?
With $14,769 saved, you could buy a home up to about $295,374. With $30,976 saved, you could buy a home up to about $309,758. With $72,229 saved, you could buy a home up to about $361,144.